Press Trust of India / Mumbai Nov 19, 2009, 14:55 IST
Automotive clutch manufacturer, Setco Automotive plans to double the production capacity to 10 lakh per annum in the next two years, a top company official said.
"We will double clutch production from 5 lakh to 10 lakh for heavy and commercial vehicles in the next two years. A revival in the global economy and demand in the auto sector (including commercial and heavy vehicles) has led us to scale up production," Setco Chairman and Managing Director Harish K Sheth told PTI.
The company is now manufacturing more than 10 types of clutches and plans to add two more new clutches within two years.
Setco, which is a Tier I supplier of clutches for heavy and medium commercial vehicles to major auto companies including Tata Motors, Eicher Motors and Ashok Leyland, is eyeing Rs 1,000 crore turnover within the next 3-4 years, Sheth said.
The company which has four plants, including two in India (Gujarat and Uttaranchal) and one each in the US and UK, joined hands with Germany-based FTE Automotive last year to manufacture and supply clutch actuation systems in India.
"Our products have more demand in India. We now plan to tap the global market. We plan to export clutches to the Middle-East, Australia, Indonesia and China in the near future," Sheth said.
The company plans to pump in Rs 200 crore to ramp up capacity at Kalol (Gujarat) and set up a new plant in the state in the next two years.
"Our aim is to cater to a larger variety of vehicles and expand our clutch business to also cater to commercial vehicles globally," he said.
Moreover, it also plans to set up a new assembly facility in Africa to cater to demand in that region.
"Africa is a continent with no clutch manufacturer present on the continent. We are in talks with various Governments for setting up a facility there," Sheth said, adding that the company plans to pump in around Rs 25-30 crore into it.
However, he did not divulge a time frame for setting up the project.
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