The Hindu Business Line : Tata Precision eyes aerospace sector for biz

Tata Precision Industries Ltd, based in Singapore, plans to make components for the aerospace industry. The company is into precision machining, tool design and manufacturing, plastic injection moulding and fine blanking and supplies parts to tier-I auto component manufacturers in Singapore, Malaysia and Germany.

The company has identified the aerospace industry as a growth area, especially since the Singapore Government is trying to promote Singapore as an aerospace hub in the region.

Also, Tata Precision Industries was till recently making parts for the electronic industry, which business has now almost completely shifted to China due to its cost advantage.

This transition to making parts for the aerospace industry should be completed by 2007-end, according to Mr Vikram K. Kuriyan, who heads Tata Precision.

Tata Precision is a subsidiary of Tata Motors and counts among its clients tier-I component manufacturers such as Meritor, BorgWarner and Autoliv. Its turnover is S$8 million (about Rs 24 crore).

Mr Kuriyan told a team of visiting Indian journalists that the scope for aerospace industry was quite large and Tata Precision was in talks with some companies to supply parts. He declined to name these companies. Tata Precision could look at parts such as engine casing and mounting brackets.

Tax breaks

The Singapore Government, he said, was prepared to give tax breaks in its efforts to promote the country as an aerospace hub. The turnover from the aerospace business may not be large, but margins would be better, he said. The company's turnover was expected to go up to S$25 million over a five-year period.

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