<p>"Our Hazira manufacturing facility has certain limitations as it cannot produce large ships. So We are setting up a new facility near Ennore port to produce large ships and submarines, mostly for the Indian Navy," L&T Executive Vice President and Board Member M V Kotwal told PTI on the sidelines of Defexpo-2010.<br /><br />He said the company has around 1,200 acres of land near Kadipully village adjacent to Ennore port near Chennai where it is building a ship manufacturing facility which would be used for building defence vessels.<br /><br />Besides defence vessels, the facility would also be utilised for producing other large ships such as LPG and LNG carriers, Kotwal said.<br /><br />Asked about the investments, he said the company will be investing around USD 400 million for setting up the facility which is expected to become operational by mid-2011.<br /><br />Speaking about the company's proposed joint venture with Franco-German aerospace and defence group, EADS, he said, "L&T is talking to the government to resolve the issue." Earlier, the government had rejected L&T's proposal to set up a joint venture with EADS for providing services to the defence sector.<br /><br />Kotwal said the company has identified four core areas -- Radar, Electronic Warfare, Avionics and Mobiles -- for co-operation with EADS to provide services to the Indian defence sector.<br /><br />When asked about the revenue projection, he said the company is targeting a turnover of around Rs 2,500 crore from defence, nuclear and avionics segment.<br />The company is particularly bullish on nuclear segment as the sector has a business potential of over Rs 6,000 crore for private firms.</p>
<p>"Our Hazira manufacturing facility has certain limitations as it cannot produce large ships. So We are setting up a new facility near Ennore port to produce large ships and submarines, mostly for the Indian Navy," L&T Executive Vice President and Board Member M V Kotwal told PTI on the sidelines of Defexpo-2010.<br /><br />He said the company has around 1,200 acres of land near Kadipully village adjacent to Ennore port near Chennai where it is building a ship manufacturing facility which would be used for building defence vessels.<br /><br />Besides defence vessels, the facility would also be utilised for producing other large ships such as LPG and LNG carriers, Kotwal said.<br /><br />Asked about the investments, he said the company will be investing around USD 400 million for setting up the facility which is expected to become operational by mid-2011.<br /><br />Speaking about the company's proposed joint venture with Franco-German aerospace and defence group, EADS, he said, "L&T is talking to the government to resolve the issue." Earlier, the government had rejected L&T's proposal to set up a joint venture with EADS for providing services to the defence sector.<br /><br />Kotwal said the company has identified four core areas -- Radar, Electronic Warfare, Avionics and Mobiles -- for co-operation with EADS to provide services to the Indian defence sector.<br /><br />When asked about the revenue projection, he said the company is targeting a turnover of around Rs 2,500 crore from defence, nuclear and avionics segment.<br />The company is particularly bullish on nuclear segment as the sector has a business potential of over Rs 6,000 crore for private firms.</p>
