BMW currently sources horns for its 3- and 5-Series sedans from India through tier-II suppliers, while components such as handle bars and die-casts for its motorbikes are sourced directly.
BMW India President Peter Kronschnabl said that a high-ranking delegation comprising members from its global board of purchasing met more than 10 suppliers here last week and has shortlisted a few.
The company had earlier indicated that it could source items such as forgings and castings from India. The company is also looking at sourcing electrical components as well as software for in-car applications from the country. The delegation held talks with Infosys, Kronschnabl said without divulging further details.
Richard Deiss, member of the global board of purchasing, said he was positive about the capabilities of Indian suppliers. Contracts could be awarded in a matter of weeks, he added.
As for increasing local sourcing for its Chennai plant, he indicated that there were not enough attractive proposals at the present scale of operations.
The plant currently assembles 3,000 units of the 3-and 5-Series sedans, and such volumes are not supportive for viable supply deals for local manufacturing needs, pointed out Kronschnabl.
At present, only 10 per cent of its components are sourced locally including seats, seat-covers, seat electronics and door panels.
