India's L&T Plastics in talks with unnamed Italian firm
Indian injection press maker L&T Plastics Machinery Ltd. is investing 100 million rupees (€1.59m) in its factory to double capacity, and is in talks with an unnamed Italian machinery maker about jointly making moulding machines, the company’s top executive said at a trade show in India.
The company, one of India’s largest plastics equipment makers and a former joint venture partner with Sumitomo Demag Plastics Machinery, said its growth has been buoyed by surging demand in India, where it estimated the overall market for injection press machinery will grow 20% this year. CEO P. Kailas disclosed in an interview with Plastics News at the Plastivision 2011 trade show in Mumbai that the company is talking with an Italian press maker about forming a partnership, possibly where L&T manufacturers some machines for the European firm. “[The Italian firm] will probably stop manufacturing lower tonnage machines there because of the high cost of manufacturing in Europe,” Kailas said. “[It] will source the machine from me, probably to be co-branded L&T and that company’s name.” He declined to name the firm. L&T, based in Chennai, said the expansion will double capacity to about 1,500 machines a year. In its current fiscal year, which ends in March, the company expects to make about 800 machines, he said.