New Delhi: Pavna Industries, which not too long ago bagged an order from Ola Electrical for provide of ignition switches and latches, is commissioning a brand new plant at Hosur in Tamil Nadu.
In keeping with Swapnil Jain, Managing Director, this facility shall be prepared by the tip of this calendar 12 months and can contain an funding of INR 50 crore within the first part. “The Hosur plant will meet the wants of TVS Motor, Ola Electrical and Ampere that are situated within the souther area,” he instructed ETAuto in a phone interview.
Proper now, Pavna Industries provides these components from its decades-old Aligarh plant in Uttar Pradesh. With an growth of its two-wheeler clientele past Bajaj Auto, to whom it has been supplying for a few years now, the corporate believes Hosur could have a essential position to play sooner or later.
With TVS Motor coming onboard not too long ago, Pavna determined to arrange a plant shut by in the identical area. Ola additionally operates from Hosur whereas Ampere has a plant in near-by Ranipet. There are a handful of different two-wheeler gamers in Tamil Nadu which may very well be a part of the Pavna fold ultimately. Hosur may also give the components maker entry to industrial automobile makers like Ashok Leyland and Daimler India Business Autos.
Foothold within the South
“From our standpoint, the thought was to get a foothold within the south and de-risk ourselves from the primary plant in Aligarh. If one thing have been to occur there and have an effect on operations even briefly, we might nonetheless have our Hosur plant as a backup to fulfill the wants of shoppers throughout the nation,” defined Jain.
This fiscal may also see Pavna transfer into its personal premises at Pantnagar in Uttarakhand from the current rented facility which primarily caters to Bajaj Auto. This unit makes aluminium die casting parts of which a small portion is exported.
One other Pavna setup in Aurangabad (Maharashtra) is essentially an meeting operation for Bajaj Auto. “Our major enterprise is ignition switches and we need to be a pioneer within the two-wheeler house,” stated Jain. The corporate additionally makes gas tank caps, latches, auto locks, handles and many others.
Pavna has massive plans for its Aligarh facility which was commissioned almost 25 years in the past. The current considering inside the administration is to have “a world-class plant” by the tip of 2028. Hosur has been deliberate as “a child plant” which is able to complement the strengths of the rebooted Aligarh when it’s up and operating 4 years down the road.
“Our Aligarh facility began operations in 2000 and, right this moment, each OEM desires automation and the best-in-class merchandise. We are going to, subsequently, improve automation to cut back prices, improve capability and minimise human errors. OEMs additionally insist on zero defects from suppliers and any marginal error will put us in a repair. A single failure can change into dangerous,” stated Jain.
It was preserving in thoughts this grim actuality that prompted Pavna to start planning for a very fashionable facility at Aligarh by the tip of 2028. Work will start someday in 2026 and the investments are anticipated to be within the vary of INR 200 crore.
Automation mantra
“A superb plant operates on programs, machines and automation. The long run may see us cater to massive worldwide auto manufacturers which, in flip, should be assured that one of the best is coming from Aligarh or Hosur. Proper now, we provide to Indian corporations however the subsequent 4 years may see an period of change coming in,” he stated.
With the brand new Jewar airport additionally being readied in UP, the journey time from Aligarh by street shall be barely a few hours. The plant can be properly related to Gurugram in Haryana which is a vibrant auto cluster and residential to among the largest manufacturers. Jain reiterated that the corporate’s focus would largely be on two and three-wheelers together with industrial automobiles and tractors.,
In keeping with him, the inner combustion engine will proceed to remain related despite the electrical momentum within the two and three-wheeler segments. “Expertise retains evolving and we’re additionally preserving tempo whereas transiting from mechanical to electronics,” he stated.
The rising concentrate on R&D may see Pavna forge strategic alliances and even arrange a brand new R&D centre sooner or later regardless that e Jain refused to touch upon the topic. “We’re not attempting to leap however going step-by-step,” he stated.
The corporate exports parts to different suppliers in Italy which, in flip, make them prepared for the OEM involved. Pavna additionally ships out components for the aftermarkets in Sudan, Sri Lanka and Bangladesh that are massive markets for the Indian two-wheelers. These embrace filters, clutch plates, bearings, wiper blades and brake footwear.
