Blue Star Ltd, a leading air-conditioning and commercial refrigeration company, has set an ambitious target to double its exports within the next three years. Currently, the company’s exports are valued at approximately Rs 800 crore, and Blue Star’s Managing Director, B Thiagarajan, aims to reach Rs 1,600 crore in exports by expanding their international presence.
Thiagarajan highlighted the company’s plans to penetrate new markets, stating, “We were only in the Middle East (earlier). This year, we have opened an office in the US, Japan, and Europe. So, we want to enter these markets.” Blue Star is capitalizing on the “China plus one strategy,” as businesses seek alternatives to China, and exploring opportunities to position India as a viable option.
The company’s decision to expand internationally is driven by the substantial market potential in the US and Europe, particularly in the air-conditioning (AC) sector. These regions have a significantly larger AC market compared to India, presenting a lucrative opportunity for Blue Star.
In addition to their international expansion plans, Blue Star recently secured a significant contract worth over Rs 500 crore from the Bengaluru metro. This accomplishment further bolsters their position in the market and sets a positive trajectory for future growth.
Thiagarajan outlined the company’s strategic focus, stating, “We want to consolidate our leadership in existing business… second is to get into large chillers.” Blue Star specializes in manufacturing chillers that cater to various commercial spaces such as office complexes, IT parks, hospitals, airports, hotels, and shopping malls. The company aims to increase its chiller capacity from 600 tonnes to 1,000 tonnes, expanding its product offerings to meet growing market demand.
Moreover, Blue Star recently unveiled a comprehensive range of air conditioners, including an “affordable” range and a “flagship premium” range, targeting different customer segments. With a goal of selling one million units this year, Blue Star aims to surpass the 8 lakh units sold last year.
The company is also focused on strengthening its distribution network. Blue Star currently has an extensive network of 8,000 dealers and aims to expand it to 10,000 dealers this year, enabling wider market reach and better customer service.
Blue Star’s vision to double its exports, enter new markets, and diversify its product range reflects its commitment to growth and innovation in the air-conditioning and refrigeration industry. With a strategic approach and a strong foothold in the domestic and international markets, Blue Star is well-positioned to achieve its ambitious targets and cement its position as a leading player in the industry.