New Delhi, May 15, 2008: To better serve its global customers' rapidly growing vehicle production in the Delhi region, RNSSL, one of India's leading steering-systems makers, today inaugurated a new, state-of-the-art production plant at Bawal, Haryana, 80 kilometers southwest of the nation's capital. Today's occasion was marked at the plant by a ceremony led by Mr. L. Ganesh, Chairman, Rane Group and Mr. M. Degawa, Director & Executive Vice President, NSK Ltd.
RNSSL has invested Rs. 377 million (US$7.5 million) in the new world-class facility with initial annual capacity to produce 200,000 electric-power steering systems for vehicle assembly plants in the region.
“We have decided to invest in this plant keeping in line with our overall strategic growth plans”. Mr. Ganesh told invited guests. “RNSSL will grow its chosen segments through expansion, upgraded technology & synergetic diversification. We are also expecting sales revenue of over Rs.2 billion targeted by the year 2010-11. This factory will act as a catalyst for our vision of “Leadership Position in Steering Column Business by 2012”.
“The key is close service to our customers in each of India's manufacturing regions,” Mr. Degawa said. “To overcome logistics challenges and offer minute-by-minute technical support our plants must be close to the final assembly line. So this new Bawal plant will offer the kind of support our Chennai plants provide in south India.”
Completed in just eight months, the 3,600-square-meter plant offers a vast production area unobstructed by support pillars. Electricity needs have been reduced by maximizing the use of natural light and utilizing high-efficiency air-conditioning throughout the building. The plant's state-of-the-art equipment has been built in Japan by NSK Ltd.
The 2-hectare (5 acre) site in the Bawal Industrial Area offers ample space for ambitious expansion plans. With contracts for new business already in hand, RNSSL plans several phases of additional investment.
“NSK has been associated with Rane in India since 1997,” Mr. M. Degawa said. “But with this investment our partnership is reaching a new level. We are excited by the prospects in this country and confident in our relationship with Rane. I believe we are poised to achieve our vision to become India's market leader in steering. Watch us grow!”