Riding a wave of global demand, Mefron Technologies is extending its footprint across India and foraying into component production under India’s incentive push.
In a strategic response to growing demand from domestic and international markets, Mefron Technologies, an electronics manufacturing services (EMS) company, is undertaking a major expansion of its operations. The move is aimed at strengthening the company’s manufacturing capabilities, enhancing customer proximity, and tapping into new opportunities in the electronics and components sector.
Domestic push and global diversification
According to Robin Bunker, Vice President of Strategy, Partnerships, and Business Development at Mefron Technologies, the company has seen a sharp increase in inquiries from both Indian and global clients. “A lot of Indian companies are looking for local partners due to the government’s push for domestic manufacturing. At the same time, global OEMs, particularly from the US, are seeking alternate supply chain partners to reduce dependence on China,” he said.
This dual pressure is fueling Mefron’s aggressive scale-up to accommodate the demand surge.
Vertical and horizontal expansion in Ahmedabad
The centrepiece of the expansion plan is the addition of one more floor to the company’s existing three-storey facility in Ahmedabad, and the development of a new structure on an adjacent plot. “In addition to our structural expansion, we are investing in cutting-edge manufacturing machines. We are installing a few more fully automated SMT PCBA lines to ramp up our production, which will further help us with quick turnarounds. Alongside these, we are adding high-capacity injection moulding machines and fully automated cutting, crimping, and ultrasonic wire harness welding machines. These upgrades will help to deliver high-quality products faster, reinforcing our commitment to innovation and excellence,” he added.
Component manufacturing in the pipeline
Beyond EMS, Mefron is also eyeing a foray into electronic component manufacturing under the government’s ₹230 billion incentive scheme. The company is currently in discussions with potential partners from Taiwan and China for joint ventures in the manufacturing of multi-layer printed circuit boards (PCBs), electromechanical parts, sensors, connectors, microphones, and speakers.
“Component manufacturing will be a greenfield project, likely in Ahmedabad. The minimum investment required is ₹500 million over five years,” Robin revealed, adding that equity contributions from foreign partners will depend on their stake size.
Geographic diversification: Delhi NCR and Bengaluru
To better serve key customers and industries, Mefron plans to establish satellite operations in Delhi NCR and Bangalore. While smaller in scale than the Ahmedabad base, these facilities will allow Mefron to improve coordination and serve industries more efficiently.
“As we continue to advance in the consumer and automotive electronics space, where we already serve several prominent customers, our strategic vision for the future includes creating strong, long-term manufacturing alliances with leading aerospace and defense companies,” Robin said.
Manpower, recruitment, and strategy
The company anticipates a surge in workforce requirements due to the expansion. While operations in Ahmedabad will be managed in-house, for new regions like Delhi and Bengaluru, Mefron plans to engage third-party staffing agencies.
“We will handle key staff recruitment internally, but rely on trusted partners for hiring line workers, just like larger EMS firms do,” Robin noted.
Financing and government incentives
Mefron’s expansion is being financed through internal reserves and support from its private equity investors. The company also confirmed it had received state government incentives from Gujarat, which played a role in its decision to base new operations there.
“We are possibly among the few EMS companies in Gujarat to receive such incentives. The policy has been very favourable,” Robin added.
