The Hindu Business Line : Cummins to invest $500 m in India

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Business Daily from THE HINDU group of publications Tuesday, Jan 18, 2011 ePaper | Mobile/PDA Version | Audio | Blogs Home News Update News Our Bureau Front Page Corporate Markets Info-Tech Marketing Money & Banking Agri-Biz & Commodities Industry & Economy Logistics Government Opinion Variety Corporate Results Columns States Web Extras Index Archives Features Investment World eWorld Brand Line Mentor Life Brand Quest The New Manager BL Club Smartbuy Books Gallery Stocks Pune, Jan. 17 The Cummins group will invest $500 million in India over the next five years, in expanding and addi businesses which will include manufacture of light duty diesel engines, power generation systems a emission solutions devices, said Mr Tim Solso, Chairman and CEO, Cummins Inc. We will invest wherever there is opportunity. India currently accounts for 10 per cent of our busines worldwide, and this will become larger, Mr Solso said. Among the new plans on the anvil is a plant the manufacture of 2.8 litre and 3.8 litre light diesel engines that will be set up in a year's time. On Friday, Cummins inaugurated its new project at Phaltan near Pune with the launch of three new plants. These include a second factory of Tata Cummins Ltd, an engine rebuild centre and a reconditioning facility for engines and components involving an investment of Rs 500 crore. Located on 300 acres, half the area at Phaltan is set up as a Domestic Tariff Area, while the remaining half will operate as a Special Economic Zone. The Tata Cummins plant will produce engines for commercial vehicles, power generation and industrial market and has current installed capacity of 60,000 engines annually. The capacity will be ramped up to 90,000 units by September and we are deliberating on increasin to 1,20,000 in a year's time, Mr Anant Talaulicar, Managing Director, Cummins Group in India, said The Cummins India Ltd Rebuild Centre will rebuild high horsepower engines from 19 litres to 60 litre and has a capacity of rebuilding 40 engines a day. The Cummins Technologies India Ltd Recon pla will recondition engines below 19 litres as well as engine components. Cummins India has a set a target of Rs 18,000 crore turnover (Rs 8,000 crore during 2010) by 2015 Mr Talaulicar said, adding that the Phaltan project was a key building block for the projected growth Elaborating on the plans for Phaltan, he said that there will be 10 factories here, including a power generator factory and a second Recon plant in the export zone. He identified manufacture of fuel systems and emission solutions devices as some of the new businesses that will also come to India in the near future. Related Stories: Clean diesel tech, best choice for vehicles: Cummins India MD Cummins India merges subsidiaries Corporate - Outlook Web Extras - Automobile Components

Cummins to invest $500 m in India

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The Hindu Business Line : Cummins to invest $500 m in India

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http://www.thehindubusinessline.in/2011/01/18/stories/2011011851530200.htm

3/19/2011