Television (TV) manufacturers have started to hike prices as open-cell prices get costlier. Laptops and smartphones may see price increases as well. The price of open-cell panels has gone up 15 per cent on average and is even higher for big-screen TVs, according to manufacturers.
One of the main components in the manufacturing of TV sets, open cells contribute to 60-65 per cent of the manufacturing cost.
While open cells are used in the manufacturing of mobile phones, their contribution is relatively lower when weighed up against TVs.
Also, premium phones have huge margins due to which the price increase is typically absorbed by the brand.
"Last year, prices of open cells were depressed. Prices have been on the rise since the start of this calendar year. Since January, prices have gone up 15-17 per cent," says Atul Lall, managing director (MD), Dixon Technologies (India).
For 32-inch TVs, the price of an open cell had dropped to about $27 per panel last year.
Since the company is into contract manufacturing, it passes on the entire price increase to its client.
Lall explains that there has been a consolidation between four to five-panel manufacturers in China, causing prices to spiral. Super Plastronics, which is a Kodak brand licensee, is also hiking the prices of its TV sets by 10 per cent from June.
This story is from the June 02, 2023 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the June 02, 2023 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
Hindalco mulls $1.2 billion IPO for Novelis
Hindalco Industries, owned by billionare Kumar Mangalam Birla, is considering seeking about $1.2 billion in the initial public offering of its US-based unit Novelis, Bloomberg News reported on Wednesday.
Byju's ‘pulling ahead' with scalable sales, lower prices
Cash-strapped educational technology (edtech) firm Byju's has reduced the prices of its products.
"Dialling up our portfolio is a priority for HUL'
How do you expect new channels to grow? In modern trade, our market shares are higher than in general trade.
2Ws drive growth as auto retail sales rise 27% in Apr
Demand grew for all automobile categories on stable fuel prices
Why silent on Ambani, Adani? PM jibe at Rahul
Cong labels BJP 'tempo of corruption', says Modi nervous after three phases of polls
L&T Q4 profit rises 10% to ₹4,396 cr, beats estimates
Engineering conglomerate Larsen & Toubro (L&T) on Wednesday reported a 10 per cent rise in its net profit attributable to the owners of the company for the January-March quarter (Q4FY24) on the back of improved operational performance.
'Our bolt-on value-accretive M&A strategy will be deployed'
Hindustan Unilever (HUL) expects volume recovery both for the company and the fast-moving consumer goods industry, says RITESH TIWARI, chief financial officer at HUL.
Al Express cancels 91 flights as cabin crew calls in sick
After Vistara cancellations, it's the turn of another Tata airline to face crisis
Mr Dependable: Why Indigo is Rahul Dravid of aviation
Analysts turn bullish as stock soars 83% in past year
Prospects and valuation, not past returns, should be your guide
Sector and thematic funds attracted ₹46,137 crore in 2023-24, the largest inflow across all fund categories, according to data from the Association of Mutual Funds in India (Amfi).