Schneider Electric breaks ground on its second smart factory in Telangana

Schneider Electric, the global leader in digital energy management and automation, on Thursday held the ground-breaking ceremony for its planned State-of-the-Art Smart Factory at GMR Industrial Park in Hyderabad.

Sri KT Rama Rao, Minister of IT, Industries, Municipal Administration, and Urban Development, Telangana, Emmanuel Lenain, Ambassador of France to India, and Jayesh Ranjan IAS, Principal Secretary to the Government of Telangana, Industries, and Commerce Department, attended the event.

"This will be India's 31st manufacturing factory and the country's 8th smart factory. We also have the vision to make this an advanced lighthouse as the first factory in Hyderabad. We will deploy a lot of digital technologies and automation in this factory, which will make the operation very efficient, improve the reliability of our service, uptime, and power consumption, and this will make us very competitive, and we will be able to serve our customers much better," said Javed Ahmad, Sr. Vice President, Global Supply Chain, International Region, Schneider Electric.

"Our products are in high demand not just in India, but also globally. W e are planning for the future since we have a favourable forecast. Based on it, we developed industrial plans to build this factory to satisfy demand not only from India but also from our global clients. As a result, 75% of what we manufacture will be for worldwide clients. So our existing facility in Hyderabad is already full at its capacity. As a result, we needed to grow, and we decided to expand another about itself," Ahmad added.

With an investment of about 300 crores in the state, the factory will be spread over 18 acres and will be the company's second factory in Telangana, serving as a harbinger of growth while strengthening resilience in supply chain operations. The new facility will be developed in two phases. The first phase with 2 lakh sq. ft. facility area is expected to be completed in September 2023.

With the first factory, Schneider Electric realized that the supplier base in Hyderabad was not as strong as in other states. "Many of the components had to be purchased from outside the state, but as we have developed and been able to welcome suppliers, they have set up factories, and they are also in the process of setting up more factories. So, I believe we are building a supplier base that will allow us to monitor more suppliers in Phase 2 and sell more localised material from Telangana and Hyderabad," said Ahmad.

Minister K T Rama Rao at the ceremony, said, "I congratulate Schneider Electric on this momentous occasion. The upcoming smart factory will greatly contribute to the state's economy, which is bolstering its position as a leading investment hotbed. With India rising as an economic powerhouse, the opportunities are huge. We believe this facility, apart from catering to the needs of the industry, will also magnify revenue generation opportunities and boost job creation."

Speaking at the ground-breaking ceremony, the Ambassador of France, Emmanuel Lenain, said, "I am proud to congratulate Schneider Electric on this new milestone. This factory will be a demonstration of how state-of-the-art technology can support sustainable manufacturing and job creation. It is also emblematic of Telangana's economic dynamism and attractiveness for French businesses. Schneider Electric's decades-long presence in India is a success story that mirrors the strength of the Indo-French partnership and France's commitment to helping India meet its sustainable development goals."

"Today is a proud moment for us. The new upcoming state-of-the-art smart factory is a testament to our commitment to making Hyderabad a leading manufacturing hub in the country. We will be investing over INR 300 crores in this project, which will in turn create additional 1,000 jobs. We believe that as an industry leader, it is the most opportune time for us to accelerate our efforts and contribute to the economic growth of the country and individual states. We follow India for India and India for Globe strategy, manufacturing in India for local consumption and global exports to over 30 countries. This project is set to contribute to our ongoing efforts for Aatmanirbhar Bharat. And I thank the State of Telangana for the support extended to make this dream a reality," said Anil Chaudhry, Zone President, India and CEO & MD Schneider Electric India Pvt. Ltd.

Ahmad added, "The vision behind this facility is to cater to the needs of our customers and be more resilient against future disruptions. The upcoming smart factory will harness the power of Industry 4.0 technologies to make better and faster decisions for enhanced customer experience. This new facility with 75% export volume capacity will strengthen our position as a reliable export hub for our global customers. Our manufacturing base expansion in Telangana will also amplify our contributions to Make In India program."

Schneider Electric is constantly leveraging new-age technologies to meet ever-changing customer needs. The company's success is resonated across the world. The existing Schneider Electric Smart Factory in Hyderabad recently earned the recognition of an Advanced Lighthouse by the World Economic Forum. Manufacturing mission-critical products, this Hyderabad smart factory has leveraged Schneider Electric's Fourth Industrial Revolution (4IR) based EcoStruxure Solutions backed by AI deep learning, IIOT infrastructure, and both predictive and prescriptive analytics.