Business

Mitsubishi’s Ranipet unit to go on stream

CHENNAI: Mitsubishi Heavy Industries India Precision Tools Ltd., (MHI-IPT), a subsidiary of Mitsubishi Heavy Industries, Japan, will inaugurate its new manufacturing facility at Ranipet, near Chennai, on August 10.

The new facility, with an investment of Rs. 50 crore, will occupy nearly 4,000 sq. m. of floor space, with about 80 new machines, including 30 state-of-the-art CNC machines from renowned manufacturers. Addressing a press conference here on Thursday, Hidetaka Horioka, Managing Director, MHI-IPT, said with the new initiative, the company looked to double its sales by 2009 from the 2006-level. Marketing and distribution would be carried out exclusively by Voltas, he said.

Mr. Horioka said the company’s expansion was in response to the rapid growth of India’s automotive industry. This had resulted in rising demand for high-quality gear-cutting tools, and reduced delivery lead-times, both of which MHI-IPT sought to fulfil. Mr. Horioka said MHI-IPT also planned to increase its exports, hitherto limited due to capacity constraints. The parent company’s brand equity and reputation in high-precision machine tool engineering would be fully capitalised to raise exports.

S. Srinivasan, Director (Operations), said the market share of the company was now 35 per cent, which would go up to 50 per cent in the next three years.

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