Carl Bechem to set up lubricants unit in India

Carl Bechem Lubricants India, the 100 percent arm of Carl Bechem GmbH of Germany, is setting up a facility to make specialty lubricants. This will be the fifth of its kind in the world outside Germany (where it has three) after France, South Africa, China and the US. Thus far, the Bangalore-based company has been importing these lubes to meet the needs of the automotive, cement, steel and textile industries. About one-third of the varieties are meant for the auto industry.

Apart from the local market, Carl Bechem’s imports also go to the Middle East and SAARC nations (except Pakistan). Elaborating on the manufacturing plan, director, N Krishnamoorthy says Rs 12 crore has been earmarked for the first phase. Land has been acquired in Bidadi near Bangalore. The initial capacity will be 800 tonnes of lubricants to make aluminum complex and lithium complex soap-based grease. There will be some level of synergies with the China operations.

The second phase in 2010 will see manufacture of poly-urea and synthetic greases besides metal working lubricants. The investment will be in the region of Rs 5 crore and will involve installation of equipment. Carl Bechem may set up a R&D facility at this stage to support the global team. Once the first phase is operational in mid-2008, exports will kick off to the Far East and, in the process, India will take over Germany’s responsibility. “The goal is to make the Indian facility as the extended arm of Carl Becham GmbH,” Krishnamoorthy says.

Interestingly, the Indian subsidiary has been able to help out with lubrication solutions for the textile industry, says general manager, Anirban Bhattacharya. The parent company had tied up with Kyodo Yushi of Japan a couple of years ago to support its Indian operations what with the overwhelming Japanese presence in the car and two-wheeler segments. This has worked well and there is a likelihood of this model being extended to other countries.

In India, Carl Bechem’s focus is on the car, two-wheeler and component segments. According to Krishnamoorthy, the company has a range of specialty lubricants for plastic parts which have replaced metal components used inside the car. It now plans to introduce anti-friction and anti-squeak coatings for luxury cars. Carl Bechem also plays a key role in auto electrical parts by providing specialised greases. The company has 25 application engineers trained in tribology on board.

T MURRALI