JOIN USScomi bets big on India to buoy its monorail business
The Malaysian global infrastructure provider through its Scomi Engineering Bhd, along with Larsen & Toubro, is currently implementing the Mumbai project.
Briefing a group of visiting reporters from India, Scomi Group Chief Executive Officer Shah Hakim Zain said the Group was excited about India. Describing India as “a promised land” Zain said they saw huge potential for its public transport business. “India has a big depth of expertise to train people, which we are looking to tap into,” he added.
Scomi Group’s core business operations comprises of oilfield services, public transportation & marine services. The Group’s public transportation arm specialises in manufacture of special purpose vehicles, monorails and luxury coaches.
Stating that the Group can hold its own against competition from Hitachi & Bombardier in the monorail business, Scomi International President Kanesan Veluppillai said the Group which has pitched for monorail project in Bangalore is also eyeing similar projects in New Delhi, Chennai, Gujarat and Kolkata as well. “The company is in advanced stage of negotiations with these State governments,” he added.
Incidentally, Group’s Scomi Engineering, has tied up with Geodesic Techiques on BOT basis (build, own, transfer) for the monorail project in Bangalore whose first phase of execution will see $2.4 billion investment. Under the agreement, Scomi will be technology partner and systems integrator for monorail system. The State government, which is yet to take a call on the proposal regarding funding modalities, is currently scrutinising the detailed project report submitted by the Scomi-Geodesic consortium.
Bus coaches
Further, Veluppillai said, they are in “engagement exercise” with leading rail coach manufacturers in India like Jessop, Ircon, BEML, for possible manufacture of monorails in India through joint manufacturing facility. Likewise, he said, the Group is also exploring prospects of introducing its bus coaches as well in India to cater to various travel requirements.
Besides seeking to consolidate Group’s prospects as one of leading monorail solution providers in India, Veluppillai said with the US$700 billion infrastructure spending seen in the Asia and GCC region, they are also looking at emerging markets like Brazil, Indonesia, China, Middle East (GCC) and Asean rim to spread its footprint in monorail space. Following a tour of the monorail manufacturing facility at Rawang, Malaysia, Scomi Energy & Logistics Engineering President Syahrunizam Samsudin the Group was looking to localise manufacturing in India and in talks with manufacturers to take up the same. The Malaysian Ringitt 30 million facility, spread on a 15 acre plot, will be shortly expanded to take up third generation product lines as well, Samsudin added. Incidentally, the company has also submitted a US$1.35 billion (RM4.56 billion) bid for the Sao Paolo monorail project in Brazil as a prelude to 2014 World Cup Football.
DH News Service