Victor Reinz plans manufacturing unit

Pune: Victor Reinz India Pvt Ltd, a 51:49 joint venture between Reinz Dichtungs GmbH, Germany and the Pune-based Jayant Group, is setting up a greenfield manufacturing unit at Talegaon in Pune to manufacture multilayer steel cylinder head gaskets, secondary gaskets and heat shields for the automotive segment in the country.

This is the first time that Victor Reinz products would be manufactured in India and the Indian partner would be the exclusive manufacturer, marketing the range of products under the Victor Reinz brand name in the country.

Talking to presspersons, Mr Aakash Dave, Managing Director, Victor Reinz India Pvt Ltd, and Mr Ralf Goettel, President, Dana Sealing Products, said the manufacturing unit would be spread over a five-acre plot and would have a built up area of 1,20,000 sq. ft. The joint venture would be investing a total of Rs 40 crore in two phases, Mr Dave said.

He said the unit would start manufacturing from the first quarter of the calendar year 2009, when the first phase of the unit would be operational. The first phase would have the manufacturing facility, warehouse and administrative block.

The facility would manufacture cylinder head gaskets and offer localisation benefits to the automotive customers and would have a capacity of one million units per annum.

When fully operational, by 2011, the plant would have a capacity of two million units per year and would be introducing secondary gaskets, cam covers, heat and noise shields, by putting in different lines.

Mr Ralf said the facility was being put up to meet the requirement of the global customers in India and would act as a base for Victor Reinz Europe to design and develop products for the emerging markets in the long run. He said currently complete supply of cylinder head gaskets was being done out of Germany.

The Pune facility, while catering to the domestic market requirements, would also be able to supply to the neighbouring countries as also export back to Europe a certain portion of the production.

Mr Ralf said it would also be sourcing components for manufacturing and a few vendors had been selected. Clearance for the vendors, from the German authorities, are awaited and once it was clear, the sourcing of components, especially steel, would begin.

Mr Aakash added that the manufacturing unit would employ 30 personnel in the initial stages which would be ramped up to 100 when the plant is fully operational.