BHEL open to collaborations with Chinese firms

(BHEL), which is facing stiff competition from Chinese equipment makers, today said it is open for collaboration with from the neighbouring country.

In response to a query on whether the company would be open for collaboration with Chinese entities, Chairman and Managing Director B Prasada Rao said, "If it adds value to us, we are open to that".

Import of cheaper Chinese power equipment are impacting state-run BHEL which today posted a net profit of Rs 6,868 crore for the year ended March, 2012.

The government is looking at higher import duty on Chinese power gear to provide a level playing field for domestic manufacturers such as BHEL.

Announcing the annual results, Rao said the company is open for collaborations with the private sector.

"Definitely, we will be providing [help] if the private sector comes for help from us. Secondly, we are open for that [collaboration with private sector]," he noted.

Among others, the company would be ready to offer 26 per cent equity in power projects. "We don't mind deploying our resources... That will also help in [ensuring] better business," Rao added.

Unperturbed by the significant slowdown in orders from the power sector, he said that current problems in the power sector are temporary in nature.

The entity's order book declined to Rs 22,096 crore last fiscal, as against Rs 60,000 crore in 2010-11 mainly due to sluggishness in the power sector.

As part of efforts to boost its overall business in the coming years, BHEL would be focusing on growth areas such as transportation and defence.

Rao stressed that transportation is expected to be the next growth area for the company after power.

"We have formed a group within the company to focus on metro [business]... We are also [participating] in the latest tender of Delhi Metro Rail Corp," Rao said.

According to him, the company is now refocusing on wind mills, which it left long back. "We are now looking for partner again... Defence is another big area," he added.

image
Business Standard
177 22
Business Standard

BHEL open to collaborations with Chinese firms

Press Trust of India  |  New Delhi 



(BHEL), which is facing stiff competition from Chinese equipment makers, today said it is open for collaboration with from the neighbouring country.

In response to a query on whether the company would be open for collaboration with Chinese entities, Chairman and Managing Director B Prasada Rao said, "If it adds value to us, we are open to that".

Import of cheaper Chinese power equipment are impacting state-run BHEL which today posted a net profit of Rs 6,868 crore for the year ended March, 2012.

The government is looking at higher import duty on Chinese power gear to provide a level playing field for domestic manufacturers such as BHEL.

Announcing the annual results, Rao said the company is open for collaborations with the private sector.

"Definitely, we will be providing [help] if the private sector comes for help from us. Secondly, we are open for that [collaboration with private sector]," he noted.

Among others, the company would be ready to offer 26 per cent equity in power projects. "We don't mind deploying our resources... That will also help in [ensuring] better business," Rao added.

Unperturbed by the significant slowdown in orders from the power sector, he said that current problems in the power sector are temporary in nature.

The entity's order book declined to Rs 22,096 crore last fiscal, as against Rs 60,000 crore in 2010-11 mainly due to sluggishness in the power sector.

As part of efforts to boost its overall business in the coming years, BHEL would be focusing on growth areas such as transportation and defence.

Rao stressed that transportation is expected to be the next growth area for the company after power.

"We have formed a group within the company to focus on metro [business]... We are also [participating] in the latest tender of Delhi Metro Rail Corp," Rao said.

According to him, the company is now refocusing on wind mills, which it left long back. "We are now looking for partner again... Defence is another big area," he added.

RECOMMENDED FOR YOU

BHEL open to collaborations with Chinese firms

Bharat Heavy Electricals (BHEL), which is facing stiff competition from Chinese equipment makers, today said it is open for collaboration with companies from the neighbouring country.

(BHEL), which is facing stiff competition from Chinese equipment makers, today said it is open for collaboration with from the neighbouring country.

In response to a query on whether the company would be open for collaboration with Chinese entities, Chairman and Managing Director B Prasada Rao said, "If it adds value to us, we are open to that".

Import of cheaper Chinese power equipment are impacting state-run BHEL which today posted a net profit of Rs 6,868 crore for the year ended March, 2012.

The government is looking at higher import duty on Chinese power gear to provide a level playing field for domestic manufacturers such as BHEL.

Announcing the annual results, Rao said the company is open for collaborations with the private sector.

"Definitely, we will be providing [help] if the private sector comes for help from us. Secondly, we are open for that [collaboration with private sector]," he noted.

Among others, the company would be ready to offer 26 per cent equity in power projects. "We don't mind deploying our resources... That will also help in [ensuring] better business," Rao added.

Unperturbed by the significant slowdown in orders from the power sector, he said that current problems in the power sector are temporary in nature.

The entity's order book declined to Rs 22,096 crore last fiscal, as against Rs 60,000 crore in 2010-11 mainly due to sluggishness in the power sector.

As part of efforts to boost its overall business in the coming years, BHEL would be focusing on growth areas such as transportation and defence.

Rao stressed that transportation is expected to be the next growth area for the company after power.

"We have formed a group within the company to focus on metro [business]... We are also [participating] in the latest tender of Delhi Metro Rail Corp," Rao said.

According to him, the company is now refocusing on wind mills, which it left long back. "We are now looking for partner again... Defence is another big area," he added.

image
Business Standard
177 22
Widgets Magazine

More News

Widgets Magazine
Widgets Magazine

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard