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BEML bets big on Rs. 260cr Palakkad plant
2009-10-12 04:28:46

The state-owned heavy equipment maker, BEML Limited, in its bid to broaden its ambit to cater to various sectors, has recently decided to manufacture spares parts for both metro rail and aerospace industries at its upcoming plant at Palakkad in Kerala, Chairman and Managing Director, V R S Natrajan said, adding that the new plant will give a leg up to the company in the components business.

He added that the company is currently focusing on exports of spare parts for metro rails and weighing the option whether these components can be produced matching the designs of global players including Bombardier, Alstom and Siemens. The company has been inspired by the Chinese equipment major, the Ultimate Transport. Though being a very small company but it is supplying parts to all the MNCs across the world and the BEML is striving to replicate the model. A small beginning was made last year when it started manufacturing side walls, end walls and under train components and it resulted in earning Rs. 75 crore from exports of rail spare parts, he said.

Apart from this, the company also intends to get into manufacturing of components for the aviation industry, especially for defense airplanes and the design it created last year, has recently been approved by the Centre for Military Airworthiness and Certification (CEMILAC) after which it can provide design services using CAD, CAM and CAE. The company intends to extend this into manufacturing and decisively moving to get certification for manufacturing of parts for the aerospace industry as well.

About its foreign forays, the BEML is currently going ahead to set up its full-fledged manufacturing plant in Brazil as the company has already initiated moves asking Brazilian government to allot land, which would enable it to move out of its rented accommodation. The company is planning to use Brazil as the springboard to cater to the entire South American market, which is a big mining bowl. The company is also working with the Vale of Brazil, the world third largest iron ore exporter and has sent five mining excavators to the Brazilian company, he added.

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