Mining sector expected to grow at 20 to 22 per cent annually
COIMBATORE: Industries in Coimbatore should tap the potential in diverse products manufactured by public sector units such as BEML Limited, according to its Director (Mining and Construction), M. Poongavanam.
Inaugurating Build Intec 2009 here on Friday, he said that Coimbatore was an industrial hub though it did not have major public sector units. The micro, small and medium-scale units here were an important source for component supply to the larger units.
The BEML was in three core business areas: mining and construction equipment, defence, and railway and metro. The mining sector was expected to grow at 20 to 22 per cent annually. There was a huge gap between demand and supply. For the mining and construction equipment, Coimbatore was a nerve centre for input supply.
Regarding rail and metro, the company had supplied coaches to Delhi metro project. It would be supplying to Bangalore. Cities such as Kochi, Hyderabad and Chennai were planning similar projects. BEML was investing Rs. 400 crore in next two years to augment capacities in this segment.
The factory at Palakkad was expected to become operational in another 24 months and Coimbatore could be a major supply source for this. The plant would manufacture mainly components for the coaches and defence wagons.
The scope was huge in the aerospace manufacturing segment. BEML had a technology division and it could help the Coimbatore units with expertise. It was also initiating a measure in which the business partners would have long-term commitment from it.
S. Ravi, General Manager, Corporate Purchase, BEML, said with its venturing into aerospace manufacturing, it would expand its dependence on Coimbatore industries. The units here had an opportunity to supply to this segment. For the country as a whole, aerospace manufacturing would be a focus area for another 15 to 20 years. “So, I hope you will diversify your focus,” he said.
Prasad R. Koneru, Managing Director of Rakindo Developers Private Limited, said it was important to create the right value for land and there would be customers to buy such properties.
President of Coimbatore District Small Industries Association K. Ilango welcomed the gathering and D. Balasundaram, Chairman of Build Intec 2009, gave details about the event.