India Pistons sets up Rs.100 cr. R & D centre

By Our Special Correspondent

CHENNAI, JAN. 31. India Pistons of the Rs. 3,000 crore Amalgamations group, is moving with the times. Actually, as part of the completion of 50 years of existence, the company took the opportunity to spell out its future plans. Founded by the visionary S. Anantharamakrishnan 50 years ago, it was the first auto component manufacturer in India.

Addressing a press conference on the occasion here on Monday, the chairman, Mr. A. Sivasailam, announced that the company had planned to set up an Advanced Technology Research Centre with an investment of Rs. 100 crores over a five year period in Chennai. The centre would primarily focus on products development, metallurgical research, combustion phenomena and the consequent emission levels relating to both gasoline and diesel engines for passenger cars, trucks and tractors. While the main area of study would be design related features of pistons, research would be extended to other engine components also.

He said there was no problem of raising the required resources either through the rupee route or via ADRs or GDRs, now that things have been simplified.

Earlier the Managing director, Mr. N. Venkataramani, highlighted the company's services as a supplier of quality components to auto makers. Clients included Simpson & Co. and TAFE (group firms), Telco, Ashok Leyland, Mahindra & Mahindra, and Maruti to name a few. The U.S. collaborator Federal Mogul helps the company in accessing global markets. India Pistons has manufacturing facilities at Sembiam, Maraimalainagar and Sengundram, all three in Chennai. It has also promoted IP Rings, Bimetal Bearings and a few other companies.

India Piston's fifty year odyssey has been an eventful one. An organisation that began its operations by finishing imported castings, is now exporting world class products. It enters the millennium as a vibrant and dynamic organisation poised to meet the challenges of the future.

Mr. Sivasailam was naturally asked to throw some light on the group. He said Amalgamations was doing well. Simpsons has been expanding the capacity for engines and concentrating on engines conforming to new emission norms. These engines find application in industrial gensets and construction industry.

Addisons specialising in cutting tools has invested Rs. 25 crores to widen the range of carbide tools. The company is a major exporter.

The battery company - Amco with the Japanese collaborator Yuasa - has been increasing the range of batteries and will be turning out valve regulated batteries in another 100 days. These batteries find application in UPS. The company has put up two plants with investments of Rs. 20 crores and Rs. 25 crores.

Re-entering distributorship

The group is keen to expand distributorship area. It is already a distributor of Benz cars and will be handling Tata Indica cars, light trucks and utility vehicles. This area would be adding Rs. 50 to 60 crores to the group's turnover.

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