Bucyrus plans plant in Bengal

Kolkata: Bucyrus India Limited (BIL), a fully owned subsidiary of Bucyrus International Inc, a world leader in the design and manufacture of mining equipment is hopeful of setting up a manufacturing facility in West Bengal by March 2008.

'At present, we are exploring 5-6 options for setting up a $5 million manufacturing unit in the state at an estimated area of around 1,20,00 sq ft. We would either set up the manufacturing plant on our own or through a joint venture with Bharat Earth Movers Limited(BEML) or any other company engaged in making mining equipment', Sandeep Kalra, managing director BIL told Business Standard.

The West Bengal plant will manufacture equipment for underground as well as open cast mining. Kalra indicated that Bucyrus is aiming to make the facility in the state a sourcing hub for export to other countries.

The Bengal plant is expected to supplement the company's existing facilities at Singrauli in Madhya Pradesh, and also in Bangalore, where Bucyrus works in collaboration with BEML.

Bucyrus has chosen Kolkata as its Indian headquarters for its geographical advantage as it believes that it can oversee countrywide operations from the city.

During his visit to Kolkata July this year, Timothy W Sullivan, president and chief executive officer of Bucyrus International Inc had said, 'We plan to scale up the India operations and make it a 500 employee company here, the second biggest overseas operation after Chile where we have 600 people. Our market in China is very strong and moving faster but if India can offer good infrastructure and power there is huge potential in the country.'

Bucyrus is eyeing a revenue of over $1 billion from its India operations in the next ten years.

Public sector coal major Coal India Limited is its largest customer in India.