A South Korean company is setting up a manufacturing unit in AP CM Chandrababu’s constituency Kuppam. This marks its first investment in India. The company, Hwaseung, had earlier signed an MoU with the Tamil Nadu government, which makes this move even more significant for the state.
Andhra Pradesh secured the deal, and Hwaseung will invest 150 million dollars in three phases. The project signals a major industrial push in the region and strengthens the state’s appeal for global manufacturers.
Hwaseung supplies global brand Adidas and will manufacture non leather shoes in Andhra Pradesh. The company says it aims to create local jobs. Its shoe division CEO said the three phases will generate employment for 20000 people.
He said the facility will produce 20 million pairs of shoes every year. The company will begin with the export market and later expand into the domestic market once operations stabilise and supply chains settle.
The state government allotted 100 acres to Hwaseung in two Kuppam villages. The company already operates in South Korea, Taiwan, Vietnam, Indonesia and China. Despite automation, its operations remain labour intensive, which makes such locations valuable.
Hwaseung explored several options and chose India for its educated manpower and large youth population. The company requires trained engineers, and India offers a strong base for its long term workforce needs.
Hwaseung approached Invest India for guidance on site selection. They received options in Tamil Nadu and Andhra Pradesh. Although Hwaseung signed an MoU with the Tamil Nadu government in August, it ultimately chose Andhra Pradesh after reviewing land packages and workforce strength.
