Sandvik has announced plans to set up a world-class manufacturing facility at Chakan, which is part of the Maharashtra Industrial Development Corporation Industrial Park near Pune.
To develop the facility, the company will make strategic investment in a phased manner over the next five years. In the first tranche, it has announced a $45 million commitment to commence development of the site by mid-2015 and it will become operational by 2016.
Sandvik is a global industrial group with a strong presence in India since 1960. It was one of the first Swedish companies to establish a subsidiary with a manufacturing footprint in the subcontinent.
According to Sandvik, the large-scale manufacturing facility at Chakan will have the capability to deliver multiple products catering to the company’s diverse businesses which include products and solutions for metal cutting, mining and construction industries as well as high value-added products in advanced stainless steels, special alloys and titanium as well as metallic and ceramic resistance materials.
This state-of-the-art facility will also host Sandvik’s Group R&D centre based in India. The centre will strengthen the company’s R&D presence in the region to support customers and lead strategic research projects on a global level.
Commenting on the development, Olof Faxander, President and CEO, Sandvik AB, said, “This is the next phase of our evolution in India. We have a strong foundation in India already and this commitment to set up a new world-class manufacturing facility will help us further innovate and create solutions for India’s emerging needs under the visionary ‘Make in India’ initiative.”
“The investment in Chakan is a reiteration of Sandvik’s belief in building India as a key manufacturing hub for the Sandvik Group,” said Parag Satpute, India Country Manager. “The Chakan facility will drive synergies and economies of scale both for our domestic operations as well as exports.”