The €1.3-billion German plastics injection moulding
machinery group, Mannesmann Plastics Machinery, is considering
making India a sourcing base for some category of machinery.
German group is present in India through its arm Demag
Ergotech GmbH, a joint venture partner in L & T Demag
Plastics Machinery Limited, a 50:50 joint venture between
Demag Ergotech and Larsen & Toubro Ltd (L&T).
Within Mannesmann Plastics Machinery group, the Demag
plastics group is an approximately €330-million business.
to Pepyn R Dinandt, chairman of the management board,
CEO, Mannesmann Plastics, Demag sources around €60
million worth of equipment from its Asian operations in
China and India. The group is in the process of rationalising
its European operations, he says.
says that there is a possibility of sourcing some plastics
injection moulding machines from India for the global
market that is growing at 3 per cent per annum. "The
Chinese plant largely caters to the domestic market there."
four-year old joint venture L&T Demag inaugurated
its new Rs25-crore facility a couple of days ago near
Chennai. The company had earlier been sharing L&T''s
rubber machinery factory premises, where it was able to
make only 350 machines per year.
at 33 per cent, L&T Demag decided to go in for this
fresh investment. The new plant has the capacity to make
600 machines. The capacity will be expanded to 1,000 units
soon. The company caters to the needs of white goods,
automobiles and electrical industry. According to Dinandt,
the target turnover for this fiscal is €20 million
or around Rs107 crore.
20 per cent of L&T Demag''s turnover comes from exports
and with increased capacity exports are expected to increase
to 40 per cent," says L&T''s CMD A M Naik.