Bagla Group, the 300 crore auto components manufacturing company is on an expansion drive. Mr. R.N. Bagla, Chairman & Managing Director of Bagla Group today announced the opening of their Eighth & Ninth plant of Aurangabad Electricals Limited, one of the companies under the Bagla Group umbrella. Both these plants are situated in Aurangabad. With the opening of these plants the Bagla group is now ready for their 150 crore expansion plan in the group for coming two years. The launch of the plant also marks their foray into the High Tensile Fasteners apart from manufacturing products in Aluminum Die Casting, Wheel Manufacturing & Assembly & Auto Electricals segments.
In February 06, the group had launched the 8th plant, their 3rd factory for Aluminum die casting to cater to the growing demand of automotive global industry. Today the die casting division has 42 fully automatic die casting machines with locking force up to 1600 tons. PDC division consumes 850 tons of Aluminum per month and by end of next year, consumption will reach 1200 tons per month.
Both the new plants have created job opportunities for over 600 people.
The overall market size of the Indian auto components industry is estimated at $ 8.7 billion. Industry production in value terms increased at a compounded annual growth rate (CAGR) of 16.4% during FY1998-2005 & auto component exports from India increased at a CAGR of 22.9% during FY1998-2005. Today the Bagla Group is concentrating on its core competencies of engineering and upgradation of its tool room, which will be able to design and manufacture a new die every day. With this expansion strategy, the group expects to reach Rs.1000 Crores by the year 2010 with 25 % exports.