Dunlop eyes Rs 1300cr turnover in 2007-08

Dunlop India is eyeing a turnover of Rs 1,300 crore in the next fiscal, once it is in full production.

Pawan Kumar Ruia, chairman Dunlop India, said of the total turnover, 60-65 per cent would come from its Sahagunj factory, since it would produce the high-end tyres.

Ruia was addressing mediapersons at the Sahagunj factory, which commenced commercial production today.

At full capacity, Sahagunj and Ambattur would produce 130 tonne per day in each of the two factories.

The company was looking at ending the current financial year with a turnover of Rs 55-60 crore.

Ruia said the turnover was lower than Rs 250-300 crore targeted for the year due to the delay in production at the Ambattur factory.

Once production stabilised, Ruia had plans of exploring opportunities in the radial tyre segment.

He said, a third plant would have to cater to the radial tyres and could be in West Bengal or at a completely new location.

The need to address the segment stemmed from the foresight that radial tyres would be important in the next four years. "We know, we have to move ahead," he said.

The company was also planning aerial tyres and scouting for suitable technology.

Ruia said, in the second stage the company would look at aerial tyres and was in discussion with a couple of companies in the UK for the purpose.

Meanwhile Dunlop had received clerance from the Board for Industrial and Financial Reconstruction (BIFR) for re-listing its shares on the stock exchange.

Ruia said, BIFR had cleared it, though the order was yet to be received by the company.

The company would shortly kick-start the process for its proposed open offer for Dunlop, in accordance with the Securities and Exchange Board of India (Sebi) directive.