Rajkot-based Jyoti CNC Automation, one of the leading CNC (computer numerical control) machine manufacturers, is scouting for a new facility in South India with an investment of Rs 100 crore in the next two years, a top company executive said.
Talking to Deccan Herald on the sidelines of IMTEX 2015 here on Saturday, Jyoti CNC Automation Managing Director Parakram Jadeja said, “We are in the process of setting up a new facility in South India for capacity expansion, a new technology centre. For this, we will be investing Rs 100 crore in the next two years. The manufacturing plant will be spread over 12 acres.”
Jadeja is upbeat about the new machine tool park coming up near Bengaluru, an initiative of the machine tools manufacturers’ association in partnership with the state government, for which the Centre has already committed Rs 124 crore. “Once the new park goes on stream, our first destination in the South will be Bengaluru. It will help us to be closer to our suppliers and customers,” Jadeja said.
Jyoti CNC Automation has three plants near Rajkot and two units at Strasbourg (France). Till date, the company has invested Rs 350 crore in India, and about Rs 250 crore in Europe on plant and machinery.
Jyoti CNC Automation employs 1,400 professionals, out of which 200 are in France. In 2008, the company acquired France-based Huron Graffenstaden.
To set up exports, the company has appointed distributors globally. Currently, it exports close to 20 per cent of its annual turnover, which is around Rs 760 crore. The company is expecting to reach a turnover of Rs 900 crore this financial year.
After tapping the European markets, Jyoti is targeting the US and Asean market to gain larger share. Annually, Jyoti produces 2,100 machines. About 10 new models get added to the portfolio every year.
Three new models
The company has launched three new models at IMTEX 2015 — Vertical Turret Lathe, CNC Twin Spindle Turn Mill Centre with Y-axis, and CNC High Speed Vertical Machining Centre. They will find users in the defence and aerospace sectors, besides the automotive sector.
On acquisition plans, Jadeja said even though the company would not be looking at acquisitions for the next couple of years, it will look to forging relationships in Japan. “Learning a new culture always helps one grow. And Japan is one of the countries we would like to learn from. We expect to learn a lot from Japan, just like we are constantly learning from Europe,” Jadeja added.