New Delhi: Pavna Industries, which just lately 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 accordance with Swapnil Jain, Managing Director, this facility will likely be prepared by the top of this calendar 12 months and can contain an funding of INR 50 crore within the first section. “The Hosur plant will meet the wants of TVS Motor, Ola Electrical and Ampere that are positioned 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 enlargement of its two-wheeler clientele past Bajaj Auto, to whom it has been supplying for a few years now, the corporate believes Hosur can have a vital function to play sooner or later.
With TVS Motor coming onboard just lately, 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 finally. Hosur will even give the components maker entry to industrial automobile makers like Ashok Leyland and Daimler India Business Automobiles.
Foothold within the South
“From our viewpoint, the concept was to get a foothold within the south and de-risk ourselves from the primary plant in Aligarh. If one thing had been to occur there and have an effect on operations even quickly, we’d nonetheless have our Hosur plant as a backup to satisfy the wants of consumers throughout the nation,” defined Jain.
This fiscal will even 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 predominant enterprise is ignition switches and we need to be a pioneer within the two-wheeler house,” mentioned Jain. The corporate additionally makes gasoline tank caps, latches, auto locks, handles and many others.
Pavna has huge plans for its Aligarh facility which was commissioned almost 25 years in the past. The current pondering throughout the administration is to have “a world-class plant” by the top of 2028. Hosur has been deliberate as “a child plant” which can 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, immediately, each OEM needs automation and the best-in-class merchandise. We’ll, 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 transform dangerous,” mentioned Jain.
It was conserving in thoughts this grim actuality that prompted Pavna to start planning for a totally trendy facility at Aligarh by the top 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 very good plant operates on techniques, machines and automation. The long run may see us cater to huge worldwide auto manufacturers which, in flip, must be assured that the most effective is coming from Aligarh or Hosur. Proper now, we provide to Indian firms however the subsequent 4 years may see an period of change coming in,” he mentioned.
With the brand new Jewar airport additionally being readied in UP, the journey time from Aligarh by highway will likely be barely a few hours. The plant can also be properly linked to Gurugram in Haryana which is a vibrant auto cluster and residential to a number of the greatest manufacturers. Jain reiterated that the corporate’s focus would largely be on two and three-wheelers together with industrial autos and tractors.,
In accordance with him, the inner combustion engine will proceed to remain related regardless of the electrical momentum within the two and three-wheeler segments. “Expertise retains evolving and we’re additionally conserving tempo whereas transiting from mechanical to electronics,” he mentioned.
The rising give attention to R&D may see Pavna forge strategic alliances and even arrange a brand new R&D centre sooner or later although e Jain refused to touch upon the topic. “We’re not attempting to leap however going step-by-step,” he mentioned.
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 huge markets for the Indian two-wheelers. These embody filters, clutch plates, bearings, wiper blades and brake sneakers.
