Ruia Gp targets Rs 600 cr revenue from Dunlop by 2010-11

NEW DELHI: Diversified conglomerate Ruia Group today said it expects to garner revenue of Rs 600 crore from its tyre brand 'Dunlop' by next fiscal following re-starting operations at its two plants in Tamil Nadu and West Bengal.

The group also said it will ramp up capacity of the 'Falcon' brand at its Mysore plant by five lakh units within six months.

"We re-started operations of Dunlop at the Ambattar facility in Tamil Nadu and Sahagunj in West Bengal late last year. Our target is to achieve revenue of Rs 600 crore from this brand in 2010-11," Ruia Group Chairman Pawan Kumar Ruia told PTI.

Turnover from Dunlop was around Rs 90 crore before the two plants were closed down in 2008 due to recession and labour issues. Ruia Group acquired Dunlop from Dubai-based Jumbo Group in 2005.

He said the company has invested around Rs 600 crore in the two plants in the last four years for refurbishment, new machinery, settling liabilities and legal tangles.

"The two plants have a combined installed capacity of 16 lakh units annually of tyres for buses, trucks and off-the-road engines. Currently we are utilising around 25 per cent of the capacity and we intend to reach full utilisation by next fiscal," Ruia said.

The group is also going ahead with production of radial tyres at Dunlop plants.

Source: India car.com: Source : Economic Times (1/17/2010)