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Home arrow News arrow Business News arrow BEML plans to triple business & become Rs 10,000 cr company in five years
BEML plans to triple business & become Rs 10,000 cr company in five years Print E-mail
Written by James   
Tuesday, 14 December 2010
Bangalore: Bharat Earth Movers Limited (BEML) aims to become a Rs 10,000 crore company in five years (from 2011-12 to 2016-17). BEML plans to achieve this  goal by diversification, expansion and export. The public sector unit has appointed Indian Institute of Management, Bangalore to draw up a five-year road-map to become a Rs 10,000 crore company in five years.

Having registered a turnover of Rs 3,558 crore in 2009-10, BEML is set to cross the Rs 4,000 crore mark in the current fiscal and it is projected to reach Rs 5,000 crore in the next financial year.

The company's Aerospace business is projected to grow to Rs 100 crore in the next three years and contribute around Rs ten crore to the overall turnover of BEML in the current financial year. The company is exploring the possibility of assembling helicopters and small aircraft.

BEML is already supplying body parts of fighter aircraft and has made landing gears for helicopters of Hindustan Aeronautics Limited.In addition it is in the process of setting up a a facility for fabricating metals (titanium, aluminium) and composites used in the manufacture of helicopters.Discussions are also underway with the Indian Space Research Organisation to supply components for its space programmes. BEML's Mysore facility  was being positioned to take care of the growth in this business.

BEML Chairman and Managing Director V R S Natarajan said that  25-acres of land  in a special economic zone at Devenahally, Bangalore, has been acquired to manufacture aero and space products.

BEML's new facility in Palghat, Kerala,has started production of the multi-terrain Tatra trucks for the Indian Army.The unit, having achieved Rs 100 crore business in the first six months, is slated to emerge as a major facility of producing defence equipment over the next five years.The palghat plant also produces DMU for the Indian Railway.
  
BEML is also looking for a share in the Rs. 6,000 crore dredging industry in India where currently all dredging machinery is imported. According to Mr. Natarajan, the manufacture of dredgers will be driven from the Palghat plant taking into consideration its proximity to the strategic port city of Kochi.

Initially BEML will produce dredgers using their excavators with an extended arm before proceeding to manufacture top quality dredgers.
With the Kerala Government agreeing to allot an additional 600 acres of land adjacent to the 375 acre Palghat facility, BEML expects to achieve Rs. 10 crore business in the dredging industry during the next fiscal,Rs 200 crore in the second year and Rs 1,000 crore in ten years.

BEML along with consortium partners Coal India and Damodar Valley Corporation,which has taken over Mining and Allied Machinery Corporation Ltd (MAMC) in Durgapur, will begin production of mining equipment next month.The unit which was closed for the last 20 years will be revived over the next six months. BEML foresees a huge demand for mining machinery in India to cater to its energy requirements and it has requested the West Bengal Government for an additional 100 acres of land to expand the facility.

BEML has a Rs.3000 crore order to supply to supply metro coaches to Delhi, Kolkata and Bangalore.Having already delivered 192 metro coaches to DMRC, BEML is eyeing the Middle East to expand its metro business where UAE has plans to link its railways with Syria.

 
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