TAFE plans to roll out 1.2 lakh tractors in 2010-11

TAFE Ltd, together with its associate company Eicher, plans to produce 1.20 lakh tractors next financial year, the company's President, Mr R.C. Banka, said today.

He said this at a function held to commemorate the completion of 25 years of existence of Nelcast Ltd, a foundry company that supplies castings to TAFE. He said TAFE/Eicher would consume up to 30 per cent of Nelcast's capacity (1.50 lakh tonnes).

Mr R. Seshasayee, Managing Director of Ashok Leyland, another Nelcast customer, noted that India had mastered the art of producing high-quality castings at comparably lower volumes. This provides Indian castings manufacturers a big export opportunity, he added.

Mr Seshasayee noted that the time-frame for new platforms has drastically shrunk in the commercial vehicles segment from about 15 years some time ago to about 5-6 years now due to regulations, competition and market pressure. This has implications for those in the supply chain as they need to be nimble and flexible to meet with the changing needs of their customers, although most of their machines are meant for a specific purpose only.

Addressing mediapersons, Mr P. R. K. Reddy, Chairman and Managing Director of the Rs 340-core Nelcast, observed that the Indian economy is staging a quick and significant recovery driven by the automotive sector, among others.

Source: indiacar.com: Source : Business Line (Online Edition) (1/21/2010)