Mumbai, Aug. 12 Eicher Engineering Components, a division of VE Commercial Vehicles, has started exporting gearboxes to tractor manufacturers in the US from its facility in Pithampur.
The company has got orders from 15 companies in the US, one each in Europe and Africa, apart from six in South-East Asia.
Besides tractors, these gearboxes are used in other industrial applications.
“Component exports to tractor OEMs and engineering industries are down 70 per cent as the industries are badly hit in the US and Europe.
“We expect annual revenue of Rs 35-40 crore from this business and hope to double it once the downturn phase is complete,” said Mr Pradeep Kapse, CEO, Eicher Engineering Components.
The gearbox manufacturing unit in Pithampur SEZ was commissioned in July.
Capacity
The company has an installed capacity to produce 5,000 gearboxes monthly, comprising 3,000 15-kg gearboxes, 1,500 which are under 150 kg and 500 gearboxes exceeding 150 kg.
This capacity could be expanded keeping in line with demand.
“Moreover, we can scale the factory to nine times the built-up area since we are spread over 10 acres,” Mr Kapse said.
Eicher Engineering Components also has a plant in Thane near Mumbai which makes gears for the domestic tractor and commercial vehicle sector.
Its Dewas facility in Madhya Pradesh makes transmission gears and shafts.
Source : Business Line