Peugeot’s maiden car in India – a midsize saloon – and future models may come fitted with panels and other components from the Delhi-based JBM Group. As this issue went to press, company officials were in discussions with Peugeot to strike a deal. It may be noted that Autocar Professional first reported about the details of Peugeot’s saloon for India (codename M3-M4), which is currently being developed in Spain, in its February 15, 2011 issue.
JBM currently supplies to almost all OEMs in India. Additional growth will now come from the entry of OEMs like Peugeot into India, and the existing OEMs growing their sales volumes. What is the expected turnover of the JBM Group during this fiscal? “Rs 4,500 crore,” pat comes the reply from S K Arya, chairman of the JBM Group, which posted a turnover of Rs 3,200 crore last year. Arya has set a target of more than doubling the current year’s projected turnover to touch Rs 10,000 crore in the next four years. The projected turnover for the current fiscal translates to a 40 percent growth in revenues.
The confidence comes from the buoyant demand in the domestic automobile market. That’s a little more than the 36 percent growth JBM Group companies – Neel Metal Products, JBM Auto and Jay Bharat Maruti – have clocked on a year-on-year basis.
The JBM Group is mainly focused in making auto components like shaped blanks, tailor welded blanks, exhaust, chassis and suspension, tools/dies, jigs /fixtures, tubes and tubular manipulations, welded assemblies, skin panels, frames, wheel assemblies, cylinders for domestic and auto use, and SPVs for various OEMs across vehicle categories.
Focus on full vehicle manufacturing
JBM, which ventured into contract manufacturing with some Mahindra & Mahindra products, is now actively looking at expanding the business. Responding to a query from Autocar Professional, SK Arya says JBM sees “big scope” in that business. In fact, it almost does contract manufacturing for the TVS King, as nearly the entire vehicle body is sourced from JBM.
With the increased focus on road network and public transport, JBM is set to strike an alliance to manufacture buses.
Meanwhile, as and when the Peugeot business comes its way, the JBM Group will have developed additional capacity to cater to the new client.