The current price of comparable models is in the range of Rs 4,500 upwards. Initially, the handsets would be available only in West Bengal and would be rolled out all over India by early next fiscal.
"We should launch the handsets by mid-October. We want to offer affordable handsets without compromising on the quality," Sanjay Ghosh, managing director, Simoco told Business Standard. The company would also launch a few high-end models at a price point of Rs 13,000.
"We are expecting sale of 10,000 handsets in the first month itself," said Ghosh. The company feels there is a bigger potential in the rural market for the low priced models. The company is also looking at tie-ups with mobile service providers. Company executives claim that plans will be finalised in a month.
At present the company has launched 8 models in West Bengal, priced between Rs 2,000 and Rs 9,500. "By December 2006, we should clearly be the number two in eastern market, next only to Nokia," claims Ghosh.
The company, at present, is manufacturing their handsets in Kolkata with a monthly capacity of 30,000 handsets and is looking at expansion of capacity to 50,000 handsets per month.
"We would be investing close to Rs 30 crore (Rs 300 million) next financial year to increase our capacity," said Ghosh. The company would also be exporting handsets, to Bangladesh by October-end 2006.
Initially, the company expects to export close to 2 lakh handsets every year. The company is also looking at exports to Sri Lanka and Nepal.
"We are looking at capturing a 3 per cent market share in eastern India by the end of this year and a 7 per cent market share all over India by next year," said Ghosh.
