In a strategic move to expand its presence in the Indian market, tech behemoth Cisco Systems on Wednesday announced its plans to commence manufacturing operations in India.
The US tech giant said that it is eyeing $1 billion worth of combined exports and domestic market production from India, which will be seen as a boost to India’s vision of becoming a global manufacturing hub.
Speaking to CNBC-TV18, Cisco CEO Chuck Robbins revealed that the manufacturing facility will come up in the southern Indian city of Chennai. Robbins also expressed optimism that the facility will be up and running within the next 12 months.
As per reports, Cisco plans to manufacture a select few high-volume products and gradually expand its product portfolio in India.
Robbins described India as the “number one growth opportunity over the next decade” and added that it will contribute almost 10 percent to the company’s revenue in the coming years.
“I think when you talk to government leaders, the consistency around the single mission what they believe they can achieve for India is clear and we are excited to be a small part of it,” Robbins told PTI.
Cisco’s manufacturing plans were announced after a meeting between Chuck Robbins and Prime Minister Narendra Modi in New Delhi on Wednesday.
Delighted to meet you @ChuckRobbins and good to see @Cisco harnessing the wide range of opportunities available in India. https://t.co/AvtvwrrHYj
— Narendra Modi (@narendramodi) May 10, 2023
Cisco’s plan to manufacture in India stems from its strategy to establish a diverse and resilient global supply chain. By supporting India’s ambition to become a global manufacturing hub, Cisco aims to tap into the country’s rapidly developing digital economy.
“India is of strategic importance for Cisco, and we continue to bet on India. Today’s announcement marks a significant milestone to power the next phase of growth for Cisco,” Daisy Chittilapilly, Cisco’s Country Head, told Reuters.
Prime Minister Modi’s government has been actively working to position India as a global electronics hub, attracting suppliers and device assemblers to establish their operations in the country.
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