Category Archives: Manufacturing

In Comes Revamped Nano

With the intent of improving its well below-estimate sales of Tata Nano, a product ballyhooed as the cheapest car in the world, Tata Motors has recently released an upgraded and updated model of Nano. The reports were by the company on Monday that it is not entirely pleased by the sales of Nano.

Tata has roughly sold 130,000 units of Nano since the car made its debut way back in April 2009. The four-seater Nano costs no more than 140,000 INR ($2,730), and was developed with a motive of triggering the price war in Indian automobile sector. However, sales of Nano have not been promising at all and the underperformance has been haunting Tata Motors ever since the lack of sales against expectations was reported.

On the other hand, quite a few controversies surrounded Nano during its preliminary phase. Some of the troubles faced by Tata Motors regarding the development of Nano include a rise in input costs which forced the company to spike the price of Nano and later, it was caught in a land dispute at the original manufacturing unit of Nano. Due to the land dispute, Tata was forced to move its production unit to an alternative location.

Earlier in November, Tata gave Nano owners the choice to installing safety protection in their car following reports that seven Nano cars had caught fire, though the carmaker denied the situation being a recall, claiming that the fires were particular to the units.

In its latest statement, the company revealed that the modified Nano will showcase more fuel efficiency, an ultra-powerful engine along with subtle changes in interiors. Tata Motors is the third-largest carmaker in India, in terms of domestic sales.

Mahindra Unveils XUV500 at Rs 10.8 lakh

Good news for car enthusiasts in India is coming straight from the horse’s mouth. The Indian car manufacturing prodigy, Mahindra and Mahindra has rolled out its first international edition of Sport Utility Vehicle (SUV).

The latest launch, dubbed XUV500, was launched at a sparkling ceremony in Pune, which is reportedly home to the company’s latest sensation.

As per company officials, two editions (W8 and W6) of the SUV will be offered in both four-wheel and two-wheel drive.

According to latest information, the Mahindra W8 has been pegged around Rs 11.95 lakh, ex-showroom price in Delhi. On the other hand, the Mahindra W6 will cost Rs 10.8 lakh, ex-showroom price in Delhi.

However, the said prices are applicable only for the two-wheel drive version of Mahindra W8/W6.

The XUV500 is accessible in both four-wheel (4×4) and two-wheel (4×2) drive edition, with an ultra-advance gearbox and 6-speed manual.

The powerful wagon is fueled by 2.2-litre, “Common-Rail Diesel Engine” (CDE) and the chunk is similar to the one available on Mahindra’s benchmark ‘Scorpio mHawk’.

In addition, the company claims efficient fuel efficiency, certified by ARAI, of 15.1 km/l, which will certainly mark the second best fuel-efficient product developed under Mahindra’s glittering passenger SUV inventory, just next to ‘Mahindra Bolero’.

Glenmark Celebrated World Health Day

Medicine manufacturing company Glenmark organized a campaign to celebrate the World Heart Day in Kochi, India. The Company organized a number of health-related activities, which were attended by 200 people of the region.

The camp was held at the Lions Community Hall, Kadavanthara, where free heart check-ups and information about heart-related diseases was provided by health experts. Also, doctors and patients’ rally was carried out. The doctors also provided free tests for diabetes and blood pressure to the people who attended the camp.

According to Dr. Shaji C. S., Clinical Cardiologist, Maharaja’s Government Hospital, Karivelpady, patients suffering from blood pressure and cholesterol were also provided with free medications at the camp. Dr. Shaji also delivered an informational speech to the people gathered to attend the camp. Dr. Shaji revealed that following healthy diet results in avoidance of heart-related sickness.

Also, a rally was carried out on 24th September, which was attended by 2,000 people of the region. The rally aimed to make people conscious about the seriousness of heart-related diseases and informed people about the negative effects of hypertension. As per Dr. Thillai Vallal, Cardiologist, “Most people spend about 60 percent of their waking hours at work, so healthy choices at the workplace are critical for overall wellness”.

VLCC To Spend Rs 200 Cr By 2013 Aiming Growth

Riding high on the rising demand for skincare items, VLCC stated that it plans to launch a novel variety of products in the anti-pollution group and will spend around Rs 200 crore by 2013 on domestic and abroad development.

VLCC healthcare managing director Sandeep Ahuja stated, “We will launch the anti-pollution range by the end of this month, which will be priced affordably. It will cater to a far greater population. It is a whole range of products from sunscreen to shampoos and we have high hopes for that.”

Mr. Ahuja stated that the products will be priced below Rs 100, which is far less than its other items.

VLCC, which has attendance in seven nations, with around 20 outlets, is also making plans to swell its overseas footprint.

“We added three new countries – Sri Lanka, Bangladesh and Qatar. We plan to open another outlet in Dhaka in six months, the second in Doha by this year-end and Kuwait by early 2012,” Ahuja said, adding that VLCC proposes to launch a manufacturing division in the Middle East by the next two years.

Wellness and beauty firm, which has 163 slimming and beauty centres in approximately 102 cities across India, projects to roll out 15 new company-possessed outlets in the xsiting financial year.

VLCC also anticipates doubling its franchisee outlet strength from the subsisting 35 to 70 in a period of one year.

“We are targeting a 25% growth and aim to be a Rs 1,000-1,400 crore company in the next two years. We will spend Rs. 100 crore each year for the next two years,” he added.

Toyota Plans To Appoint 1,500 People In India By 2012

Japanese car manufacturer Toyota announced that it will hire approximately 1,500 individuals for its Indian operations by the coming year (2012) as it steadily strengthens its production capacitance in the Indian market.

The company, which is present in the country via a JV with the Kirloskar Group, is making an investment of Rs 1,650 crore to strengthen its production capacitance by one lakh units and for raising localization of components by the next three years.

On the sidelines of an Automotive Component Manufacturers Association (ACMA) summit, Toyota Kirloskar Motor (TKM) Deputy Managing Director (Commercial) Shekar Viswanathan said, “We will be hiring about 1,500 permanent employees by 2012 to meet our expansion demand. In addition to this, we will hire some contract workers also.”

The company will employ people crosswise different disciplines as the growth programme steadily unfolds.

Presently, the company is expanding the combined capacitance of its two plants in Bangalore to 2.1 lakh units as against 1.5 lakh units by the coming year.

Afterward, the capacitance at the first facility will be increased further to 1,00,000 units as compared to 90,000 units, whilst the production at the second facility will be augmented to 2,10,000 units as against 1,20,000 units.

The company has made an investment of Rs 3,200 crore to establish its second manufacturing plant, with an opening installed capacitance of 70,000 units yearly, which is now being elaborated to 1.2 lakh units each year.

Toyota had also declared plans to construct an engine facility, and swell its transmissions capacitance at a collective investment of Rs 500 crore to fulfill the demand of its Etios and Liva models.

In addition, the company will roll out the diesel versions of its small car Liva and sedan Etios in the Indian market on September 9.

The company had launched the petrol edition of the Etios in 2010, whilst the Liva model was introduced in June 2011.

At the present moment, Toyota has capacitances in position to make 6,000 units of the Etios and Liva on a monthly basis.

It will boost the production capacity to 6,800-7,000 units per month by October 2011, comprising the diesel versions.

Thus far, the company has sold around 30,000 units of the two models since their respective launches.

Brooks Labs Earns More Than 30% On Listing

Brooks Laboratories Ltd, a pharmaceutical contract research and manufacturing services firm, got listed at Rs 110 a share as compared to its issue price of Rs 100.

At 09:58 a. m., the company’s shares trimmed the majority of its early gains and were ruling 14% up at Rs 114.

The stock price also touched an intraday high of Rs 131.10, transforming more than 30% gain in trade today.

Mr. Atul Ramchal, CMD, Brooks Labs stated that the company anticipates its top-line to go up by 35-40% during the existing fiscal year on account of superior exports.

He added that the company’s management is optimistic on recording PAT of Rs 20 cr during the subsisting financial year.

Brooks Laboratories caters to antibiotic, antituberculosis therapeutic sections.

The company said that it will utilize the proceeds for establishing a novel manufacturing division at JB SEZ Pvt Ltd, Panoli, Gujarat for a variety of pharmaceuticals formulations.

Manufacturing Division Profit Seen Descending By 5.7% During Q2, Says CMIE

Centre for Monitoring Indian Economy (CMIE) has reviewed its estimation for net profit of the manufacturing segment during the September quarter downwards, mainly because of the poor show of petroleum products biz.

In its monthly appraisal, it stated, “We now expect net profit to fall by 5.7 per cent, against our earlier expectations of a 34.2 per cent rise. This is on account of a downward revision in the profit forecast of the petroleum products industry.”

But, CMIE anticipates the manufacturing division to continue its growth impetus by recording a 20.7% increase in net sales during the September quarter.

A steep reduction in profit of the petroleum products business and big losses to be incurred by the aviation business are likely to confine the development in business profit during the second quarterly period.

The report signalizes that exclusion of 5% import duty on crude during the month of June was likely to have a optimistic impact on the earnings of petroleum products business during the existing quarter.

“But, a sharp rise in crude prices in July prompted us to revise our forecast for crude prices upwards for the September quarter and for the full fiscal,” it said.

“We expect the rise in crude prices to offset the impact of duty removal. The industry is now expected to report a steep 56.7 per cent fall in net profit in the second quarter as against 33.1 per cent fall expected earlier,” CMIE added.

CMIE estimates net profit development of manufacturing division (apart from petroleum products) during the quarter almost unaltered at 32.5%.

New National Manufacturing Policy This Month, Says Administration

The administration stated that it is expected to come forward with a National Manufacturing Plan by the end of September 2011 that aspires to generate mega industrial zones crosswise the nation with top-notch infrastructure facilities.

Commerce and Industry Minister Anand Sharma said, “The note (for the policy) will go to the Cabinet within a week. I do not foresee any delay. Hopefully within this month, it will become a reality.”

The national manufacturing plan eyes to generate 100 million extra jobs and take the share of manufacturing to 25% of India’s gross domestic product by the year 2020 as against 15-16%.

The section adds more than 80% to India’s total industrial production.

The plan also aimed to relax labour and environment regulations and looked for tax sops for the projected National Manufacturing Investment Zones (NMIZs).

These proposed big enclaves could even consider SEZs.

On the determined $90 billion Delhi-Mumbai Industrial Corridor (DMIC), Mr. Sharma stated that seven novel investment areas would be established crosswise the six Indian states under the project.

These two measures would assist unlock the true prospective of manufacturing in the country.

He also stated that the initial gathering of a Joint Task Force of the administration and industry will take place on September 12.

The Joint Task Force was declared after the minister held talks with CII on July 13.

Bosch Along With Siemens To Set Up Manufacturing Facility In Tamil Nadu

Europe’s biggest home appliances manufacturer BSH Bosch together with the Siemens Group, have decided to make a joint investment of around Rs 500 crore to establish a manufacturing plant near Chennai.

The German firm, via its arm BSH Household Appliances Manufacturing Pvt Ltd, proposes to make home appliances at the novel unit.

As per official statement, the company has requested the state administration to provide 42 acres at Sipcot Industrial Park in Pillaipakkam for establishing the plant, which will manufacture air-conditioners, refrigerators as well as washing machines.

Acceding to its request, Chief Minister Jayalalithaa duirng a function delivered the Letter of Allotment of land to Bosch’s Zonal Manager V K Viswanathahan.

With the establishing of the novel plant, the company would offer up jobs to 2,000 individuals.

Moreover, electronics giant Samsung has made an investment of more than $100 million in their plant in Sriperumbudur .

Panasonic also possesses a plant in Sholavaram and Chennai is also home to original equipment makers like Foxconn and Flextronics.

Peugeot To Set Up New Plant In Gujarat with Rs 4,000 Cr Investment

Making its re-entry in the Indian market, French automobile giant PSA Peugeot Citroen (PPC) entered into a memorandum of understanding (MoU) with the Gujarat administration with the aim to establish a unified manufacturing plant with a total investment of Rs 4,000 crore at Sanand.

Gujarat Principal Secretary Maheswar Sahu and PSA Peugeot Vice-President (Emerging Market and India) Fredic Fabre inked the MoU in the company of Chief Minister Narendra Modi.

As per an official report, “The fully integrated facility of PPC, the first one in India, will be set up on 584 acres with an investment of Rs 4,000 crore. It will have an initial capacity of 1,65,000 units annually and is expected to be commissioned by end of 2013.”

PPC Board Chairman Philippe Varin said that the state of Gujarat provides a practical biz atmosphere, admirable infrastructure and is purely well placed to fulfill the requirements of passenger car markets crosswise the country.

“We view India as one of the most important and dynamic markets in the world, with forecasts of it becoming the third largest automotive market by 2020,” Mr. Varin added.

The French car manufacturer was present in India via a JV with Premier Automobiles Ltd (PAL) nearly a decade ago.

The joint venture was later wound up and the company, PAL Peugeot Ltd (PPL), stopped operations.

With the novel contract, Peugeot will be a neighbor of Ford and Tata’s Nano facilities in Sanand, a forthcoming auto center some 40 kms from here.

The firm had been in search of land for its India foray for the last few months in the state of Tamil Nadu, Andhra Pradesh and Gujarat.