HFCL Plans Optical Fibre Cable Plant in Poland

HFCL Ltd (HFCL) has announced its foray into Europe with the establishment of an optical fibre cable (OFC) manufacturing plant in Poland.

In a statement, the company revealed its intention to bolster its export share within the OFC vertical revenue from the existing 30 percent to an ambitious 70 percent over the next 4-5 years.

The manufacturing facility in Poland will commence operations with a capacity of 3.25 million fkm (fiber kilometers) and is designed to be scalable up to 7 million fkm. The initial capital outlay for this expansion is estimated to be up to ₹144 crore, in response to the escalating demand for OFC.

The establishment of the manufacturing unit in Poland will be facilitated through the formation of a new step-down subsidiary under HFCL B.V., a wholly-owned subsidiary of HFCL located in the Netherlands.

Mahendra Nahata, Managing Director of HFCL, emphasized the strategic significance of this expansion, stating, "Our decision to set up a manufacturing unit in Poland underscores our commitment to meeting the evolving needs of our customers. With this strategic expansion, we are poised to align with Europe’s vision, which anticipates gigabit connectivity as a cornerstone of its future."

HBL