The Hindu Business Line : Suprajit sets up export oriented unit in Bangalore

Bangalore, Dec. 5 Suprajit Engineering has set up a 100 per cent export-oriented non-automotive cable manufacturing unit here at a cost of Rs 7 crore. The unit is part of the company’s long-term plan to reduce risk of dependence on one sector.

With the declining demand from the automotive sector and the prospect of many global brands also facing survival problems, Suprajit felt it was time to spread its business to other sectors to offset any adverse impact on its main business.

Suprajit has two cable manufacturing plants in Bangalore and others in Manesar, Chakan and Vapi in Gujarat where it produces cables for two-wheelers, cars as well as light and heavy commercial vehicles and a range of automotive and non-automotive applications.

According to Mr Ajith Kumar Rai, Managing Director, the new unit will supply cables to off-road vehicles such as tractors, lawn mowers, golf carts and snow mobiles. He said the demand from this sector had not seen any decline. Besides, he added, the new unit had been planned as a long-term business division.

The non-automotive cables for exports have started trial production and are expected to start full commercial production during the next quarter, he said.

The company hopes to sell Rs 15 crore worth of non-automotive cables in the first full year of operation during 2009-10. It will be achieving a turnover of Rs 3 crore during the last quarter of the current financial year.

Suprajit also said its turnover of automotive cables during the two months of the current quarter of 2008-09 showed an increase of 14.3 per cent to Rs 32.1 crore against Rs 28.08 crore for the same period last year.

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