Kharagpur: Tata Hitachi Construction Machinery Company is aiming to make its West Bengal plant an export hub for its cost-effective construction equipment for developing markets across the globe.
"Currently, we are exporting around two percent of our total production or around 300 units annually.
The Kharagpur plant would be the export hub for the neighbouring countries like Bangladesh, Nepal and Sri Lanka and other developing regions like Africa and the Middle East," company's Vice-President and Managing Executive Officer Mitsuhiro Tabei told reporters here.
The Kharagpur plant is operating at just 35 percent capacity due to slowdown in construction equipment market and is hoping for better capacity utilisation if export of low cost equipment picks up.
"This plant will be the factory to the world," company's MD Rana Sinha said here at the unveiling of company's new name. It was earlier called Telcon.
Tata Hitachi, a joint venture between Tata Motors and Hitachi Construction Machinery, has a total capacity of producing 15,000 construction equipment units annually from its three plants located in Jamshedpur, Dharwad and Kharagpur.
The Kharagpur plant, spread across 250 acres, has the capacity to produce 6,000 units annually comprising excavators, wheel loaders and dump trucks, sources in the company said.
Hitachi Construction Machinery Company has increased its stake to 60 percent and Tata Motors Ltd owns the remaining 40 percent stake in Tata Hitachi.
Sinha said Tata Hitachi Construction Machinery Company reported a revenue of around Rs 3,000 crore during 2011-12 and is aiming to grow to Rs 5,500 crore over the next five years led by export growth.
Meanwhile, the company is planning to build a township over 250 acres close to the plant site.
"We have approached the state government in this regard and requested it for land in an adjacent area. Apart from residential area, the township would have schools, hospitals and shopping centres," Sinha said.