Omron to open first Indian medical devices plant in Tamil Nadu -sources

OMRON

30/05/2023 04:30

By Praveen Paramasivam
       CHENNAI, May 30 (Reuters) - Japan's Omron  6645.T  will
open its first medical device factory in India in the southern
state of Tamil Nadu, two local government sources with direct
knowledge said on Monday, the latest foreign manufacturer to set
up operations in the region. 
    Omron will make devices including blood pressure monitors
and will invest nearly 1.3 billion Indian rupees (about $15.7
million) to set up the plant, the sources said, declining to be
identified ahead of an official announcement later on Tuesday.
        The company did not respond to a request for comment
from Reuters.
  
    The Japanese company makes electrical equipment ranging from
blood pressure monitors to industrial switches and will become
the latest global manufacturer to enter or ramp up production in
Tamil Nadu, which has in recent months attracted investments
from Hyundai Motor  005380.KS , Nike shoemaker Pou Chen
 9904.TW  and SoftBank Group-backed  9984.T  Ola Electric.
    Omron last month forecast sales of its cardiovascular
equipment to gradually recover on the easing of COVID-19 curbs
in China and the peaking out of inflation mainly in the United
States and Europe.
    It also said it would focus on "capturing demand in India,"
where it expects sales of blood pressure monitors to soar in the
coming years, spurred by an aging population and lifestyle
changes.
    Omron's healthcare devices are currently manufactured in
Japan, China and Vietnam, according to its website.
    On Monday, the Tamil Nadu state government said six other
Japanese manufacturers had signed agreements to invest 8.19
billion rupees ($99 million) during a visit by state officials
to Japan.
    More investments were expected in the medical technology
space going ahead, one of the government sources said.
    
        ($1 = 82.5944 Indian rupees)

 (Reporting by Praveen Paramasivam in Chennai; Editing by Aditya
Kalra and Christian Schmollinger)
 ((Praveen.Paramasivam@thomsonreuters.com; +91 867-525-3569;))