Timken's New Plant in Chennai

Timken's New Plant in Chennai Timken will invest $25 million in the first phase of its upcoming plant in Chennai. The first phase is expected to stabilise in 18 months and production will start in the middle of 2008. The Chennai plant is expected to generate revenue of $50 million from the end of 2009. The revenue will double when the company commences expanding the capacity in a second phase. Timken sourced parts worth $37 million, from various companies in India during 2006 and will source double the number of parts from India, over next three years. These parts sourced from India are utilised in Timken's various bearing manufacturing plants worldwide. Timken has focussed on developing suppliers in India for its international operations since 2002.Gujarat-based Harsha Engineers, supplying bearing cages, is one of Timken's five major suppliers in India. David White, director of sales and marketing for Timken India, said that many original equipment manufacturers (OEMs) were setting up facilities in and around Pune and the region. Timken will work closely with these OEMs in application engineering for bearings. India is Timken's biggest export source for engineering services worldwide. Timken holds a Rs 338 crore market in India. Timken's technology centre in Bangalore is its second largest engineering facility. The company has a manufacturing facility in Jamshedpur. The company is planning to open sales and support offices in important manufacturing centres. Its office in Pune was opened to offer engineering and sales support, primarily to the fast expanding markets in Maharashtra, Madhya Pradesh, Gujarat, Chhattisgarh and Goa. Timken is currently involved in widening its customer base for its 'MillTec' programme, under which it takes on the entire responsibility of performance of the rolling mills in steel plants - a unique concept to provide a complete package solution for bearing and roll-shop maintenance. It involves improvement in capacity utilisation through timely maintenance, minimising changeover and breakdown time thereby extending the life of bearings and equipment resulting in significant cost savings.The MillTec concept has been used by major steel manufacturers like Tata Steel, Essar and JSW. The company has chalked out plans to take the concept globally.