Date:08/11/2006 URL: http://www.thehindu.com/2006/11/08/stories/2006110801941800.htm

Business

Rane Group sets topline target

Special Correspondent

To remain focussed on auto components business

CHENNAI: The Rane Group, engaged in the manufacture of safety critical automotive components, has set itself a top line target of Rs. 2,500 crore by 2011. The group is hoping to end the current financial year with a turnover of around Rs. 1,400 crore. Addressing a press conference here recently, L. Lakshman, who stepped down as the Chairman of the group, said Rane's vision for 2011 also envisaged exports to grow to 20 per cent of the turnover from the current level of 15 per cent.

Mr. Lakshman said the topline target for 2011 did not include any new product lines. Pointing to the robust growth of the industry, he said that the auto components would offer huge potential for several years to come.

Electric power steering

He said the Rane group was looking at electric power steering as an area of opportunity. He, however, did not elaborate on this point. Giving a SWOT (strengths, weaknesses, opportunities and threats) analysis of the group, Mr. Lakshman said that the group would have to invest in building product development and engineering capabilities. He saw no threat from within.

Nevertheless, Mr. Lakshman feared one from China and urged the authorities in the Government "to be watchful" and take correctives immediately.