Last year, Samsung stopped manufacturing Television sets in India after the Government of India imposes 5% customs duty on the import of Open Cell TV Panels.
Do note that Open Cell TV Panel accounts for 65-70% of the total production cost of an LCD or LED Television.
Now, after the Government imposes 5% customs duty, Samsung starts importing Television sets in India from their Vietnam Manufacturing unit under the Free Trade Agreement Policy between the two countries. Of course, Samsung’s decision helps them to reduce the production cost of television in India but their market share decreases. That’s because, between the round trip time of a Television set in between Vietnam and India, the trend of product changes in the country.
In September this year, the Government of India waived off that 5% customs duty (that they take for importing open cell TV Panels) as their decision affecting the Make in India program. So, now reports are coming Samsung again starts Manufacturing Television Sets in India starting next year.
To again start manufacturing Television sets in the country, Samsung partners with Dixon Technologies (a contract manufacturing company of consumer electronics products). In fact, the sources close to the developement reveals the manufacturing starts early next year and if that happens then experts believe the price of Television Sets in India decreases by 3% of the current price.
Right now, the Indian Television Market size is around 14 million units and New Entrants like Xiaomi, Vu and Thomson are giving strong competition to companies like Samsung, LG, and Sony.
