Blue Star commences construction of new world-class manufacturing facility at Sri City

Blue Star Climatech Limited, a newly formed wholly-owned subsidiary of Blue Star Limited, is in the process of establishing a new state-of-the-art manufacturing facility at Sri City, located in the Andhra Pradesh district of Chittoor. The company performed Bhoomi Pujan this morning and has laid the groundwork at the site.

The company intends to invest Rs 550 crores in this Plant, which will cover an area of 20 acres, in stages over the next few years. This plant will be highly automated, ensuring that the products manufactured are competitive on a global scale. The Corporation of this Plant will also seek IGBC Gold Rated Green Building certification. The first phase of 30,000 square metres will be completed by July 2022. As a result, this facility, which will primarily manufacture rooms, will be operational by Q2FY23. ACs with a maximum annual capacity of 12 lakh units.

Blue Star Climatech has applied to the Indian government's PLI scheme to manufacture heat exchangers and sheet metal components at this facility in Sri City because the plant is closer to southern ports, the company will be able to manage logistics more quickly and efficiently. Furthermore, the establishment of this Plant will benefit the local communities in and around its vicinity, as it is expected to create employment for approximately 1500 people.

“Setting up this Plant is a part of our strategic initiative to significantly scale up our manufacturing operations by investing in world-class, Industry 4.0 manufacturing facilities. Aligning ourselves to the ‘Make in India’ initiative and leveraging on the PLI scheme by the Indian Government, we intend to manufacture certain components in-house at this facility. A firm believer in Aatmanirbhar Bharat, we are well on our trajectory to become one of the largest Indian manufacturers in the AC&R industry,” said B Thiagarajan, Managing Director, Blue Star Limited.