Mumbai; Wagon manufacturer Titagarh Wagons is looking to tap the African and MENA regions as it eyes nearly two fold increase in exports to about Rs 120 crore by FY16, a top company official said.
The company is also expecting to clock revenues of up to Rs 700 crore in the next one year backed by the growing demand for its products, both in domestic as well as international markets.
“In 2010, we acquired a French company. So far, we have been exporting wagons to Bangladesh, Myanmar and other African countries.
“But now, through the French subsidiary, we plan to expand our horizon and tap the entire Middle East and North African (MENA) region,” Titagarh Group Vice Chairman and Managing Director Umesh Chowdhary told PTI.
The Kolkata-based firm expects to close the fiscal 2014-15 with Rs 50-60 crore in exports, and to grow by nearly two fold in FY16.
“These markets are looking very promising on the railways side.
“Our French subsidiary Titagarh Wagons AFR has already bagged an order from French Railways for 400 hopper cereal wagons worth Rs 275 crore”, he said.
He said with the acquisition, the company has knowledge about the technology know-how and is confident of catering to the growing demand in the African and MENA regions.
Chowdhary said the company was also planning to get into the metro and monorail manufacturing and high speed market, “but that’s something which we will require technology tie-up for and we are looking out for proper technology partner”.
On the domestic front, he said, the recent initiatives taken by the Narendra Modi-led government are a positive sign for the railways sector, which has been witnessed challenges in the past 2-3 years because of slowdown in the global economy.
“We are hopeful that the new government and the new Railway Minister Suresh Prabhu will take certain initiatives to give an impetus to the sector, which is the backbone for the growth of many other industries.
“We expect to see some clarity on policy front in the upcoming Railway Budget as well,” he said.
“In FY11, the company had clocked revenues to the tune of Rs 700 crore, which saw a decline in the last 2-3 years mainly because the government spendings had reduced and there were delays in decision making.
“But now we are seeing some positive signs in both the markets and thus expect to bounce back to the revenue levels of FY11” Chowdhary added.
PTI
