Hyderabad: Hyderabad’s privately owned company which is into manufacturing of precision engineering parts for Aerospace and Defense industries enters into joint venture with Industria de Tuberias Aeronauticas (ITA), a Spanish company and Reginson Engineering Ltd (“Reginson”), a British Company.
JV will be investing Rs 25crore in 3 phases and will employ a work force of 100 people in the next 1 year. The trial run of the production is over and expected to go for commercial production next month. The project from concept to completion is done in just 11 months. The Projected turnover is Rs 10 Crores in the first year with a target of Rs 100 crores in the next 5 years.
This joint venture is first of its kind in Engine components manufacturing in Aerospace Market in India informed Mr.Vamsi Vikas, Managing Director of Raghu Vamsi Machine Tools Pvt. Ltd addressing a gathering immediately after the inauguration of the plant. And added that this is a great breakthrough for an Indian Small and Medium Enterprise (SME) to achieve a joint venture in this high quality and Hi-end Technology of Aero Space Engines.
India is fast becoming a major global aerospace market, aided by a combination of increasing defence spending, a booming commercial aviation market, and rising technological and manufacturing capabilities among local companies. Indian Defence is already planning to spend 100 billion US $ in acquiring new aircrafts and airforce and defence equipment. This augurs good for the industry, observed Vamsi.
ITA is a wholly owned subsidiary of Industria de Turbos Propulsores S.A, (“ITP” (Subsidiary of Rolls Royce & Sener Aerospace), a leading Spanish company in the aero engines global market, partner to many commercial Original Engine Manufacturers such as Rolls Royce, General electric, Pratt & Whittney or Honeywell. Additionally, ITP is principal partner in key European military engines like the EJ200 for the Eurofighter, TP400 (A400M) or the 390E (helicopter Tiger). ITA is a leading global pipes and ducts manufacturer in the aero engines market segment, with some presence also in the aircraft and renewable energy segments.
Reginson is a known connection accessories provider for the aerospace industry based in the UK.
Raghu Vamsi over the past one decade is dedicated to the manufacture of high end and high quality precision parts, supplying parts to Aerospace & Defense Sector in India and abroad.
The plant is ready for commercial production in February. Mr. Ignacio Mataix, Mr. Valentin Gorrono both CEOs from ITA and ITP Spain and Stephen Hatch, Chairman Reginson, UK visited the plant expressed satisfaction about the state of the art facilities.
Adding further, Mr. Vamsi Vikas, Managing Director of Raghu Vamsi Machine Tools Pvt. Ltd. said the JV will be named “Reginson India” and will have three partners, each contributing the right mix with ITA providing the market access, Reginson providing the product know how, and Raghu Vamsi providing the local market knowledge and industrial capabilities, which will ensure the success of the business.
The JV will manufacture machined components designed to be assembled into rigid and flexible pipes or ducts, i.e. End Fittings, which go into the Aircraft Engines.
This operation is part of ITP’s strategy to create a global platform for its growing business externals, ensuring provider in Asia a competitive binding accessories, low cost, a growth platform for other products, and ensure production capacity to the sharp increase in demand expected in the coming years.
This Joint Venture will provide Raghu Vamsi a know how in modern manufacturing techniques and a substantial break through into ever growing Global Aerospace market.