SFL's overseas JVs likely by next year

By Our Corporate Reporter

CHENNAI, AUG. 3. Sundram Fasteners' plan for joint ventures outside India may fructify by the end of the year as the hurdles to investing outside have been cleared by the Reserve Bank of India. This would boost further the company's export earnings.

The company has proposals to form joint ventures in Europe, U.S and in other potential countries and is in the process of identifying suitable partners, said Mr. Suresh Krishna, Chairman and Managing Director of SFL, at a function organised in connection with the presentation of General Motors' Suppliers of the Year-2000 award to SFL for the fifth year in succession.

The company could remain in the profit orbit with greater thrust on quality, technology and exports. When SFL started its export efforts one and half decades ago, many eye-brows were raised over why SFL took this step, especially when the dollar-rupee parity was at a low level. But the efforts started yielding benefits in the fluctuating domestic market conditions of the automobile segment and the revenue went up to Rs. 100 crores last year. The present move of forming ventures outside India and making shipments from the respective places would fetch higher earnings in the years to come, Mr. Krishna felt.

As in the past, SFL was the only company from India to get the GM award and it was one among the 150 companies selected worldwide out of 30,000 participants.

Mr. Peter Register of General Motors said they were proud to be associated with such a quality conscious and enterprising organisation. He expressed GM would also be sourcing other SFL products besides radiator caps. It was moving fast in the Internet arena and had started gaining business through B to B.

Mr. Register and Mr. Aditya Vij, President and Managing Director of General Motors India, formally presented the award to Mr. Suresh Krishna.

Mr. Suresh Krishna (middle), Chairman and Managing Director of Sundram Fasteners, receiving the `Supplier of the Year-2000' award for the fifth consecutive year from Mr. Aditya Vij (right), President and Managing Director of General Motors India, and Mr. Peter Register, director, General Motors of the U.S.

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