By IANS
Kolkata : Tata Ryerson Ltd, a joint venture of Tata Steel and Ryerson Inc of US, Tuesday announced that the company would invest Rs.1 billion ($25 million) at the Singur project to supply six critical components of the people’s car Nano.
Tata Ryerson Managing Director Sandipan Chakroborty said here, “Tata Ryerson has been chosen as the sole supplier of six critical components of Nano, which would be ready for market by October this year.”
“Work on the 10 acres of land in Singur Vendor Park is progressing in full swing. Parts are being developed in Canada and the operation team would be trained there. Four people have already been sent to Canada,” he said.
He added that a planned investment of Rs.1 billion ($25 million) would be made for the project.
Asked how long it would take for the company to reach the break-even point, Chakroborty he said by “the time we produce 250,000 cars we should reach the break even point”.
While asked about the difficulties they faced, Chakroborty said, “We don’t see them as difficulties. They are challenges. And there are three challenges – meeting the demand of half a million cars, ramping them up and produce them for customer satisfaction. We actually have the provision of producing 75,000 cars if necessary.”
Talking about the other projects, company Chairman Frank Munoz said, “The company is making another combined investment of Rs.900 million ($22 million) in two projects. The first project is in Tada, about 70 km from Chennai, where we are partnering with Fortune 500 Co Caterpillar of US for setting up a plate burning and fabrication plant.”
“The other is at Pantnagar in Uttaranchal, where in partnership with Tata Motors we are producing a small commercial vehicle, Ace, with an investment of Rs.450 million ($11 million),” he added.