Eschmann Textures India, a 70:30 joint venture between Germany’s Eschmann Textures and erstwhile Mould-Tex, is all set to tap the growing Indian automotive sector after a sprawling new plant came onstream last January.
Managing director, Anand Motwani, recalls the negotiation process with Eschmann Textures. “My father founded Mould-Tex in 1975, while I took over the company in 1998. We started dialogues with Eschmann Textures and Japan’s Tanazawa Hakkosha in April 2005,” he told Autocar Professional.
HOW IT BEGAN
The rationale was to make India part of Textures Technologies International (TTI), which is a cooperative partnership of the world’s leading and most respected texturing companies. Mould-Tex struck a deal with Eschmann in September 2005 and the result was the birth of Eschmann Textures India. “It is very important for us to be in India because many of our automotive customers like Ford, General Motors, Volkswagen and Renault are looking at India in a big way,” managing director, Eschmann Textures, Bernd Wagner told this correspondent.
Leading Eschmann’s India operations, Motwani is positive about future growth. The company already does work for Tata Motors, Mahindra & Mahindra, Bajaj Auto, Hero Honda, and Honda Motorcycles & Scooters India. Eschmann Textures India also met with General Motors India recently for texturing its vehicles. Since Eschmann India is part of TTI, its German parent is helping the company attract business from Ford, Volkswagen (which is setting up a plant in Pune), Skoda and Audi in India.
Similarly, TTI partner Tanazawa Hakkosha will help secure orders from Suzuki, Toyota, Nissan and Honda. Meanwhile Moltex Korea, another TTI member, will help build relationships with Hyundai and GM Daewoo. “We see some small business by end 2007, but a major chunk will come in 2008-09,” says Motwani. He expects orders to first come from General Motors and Hyundai India, while business from Toyota, Nissan, Renault, Ford and Volkswagen is expected at a later stage.
TEXTURES FOR BOLERO
The company also did surface textures for the recently launched Mahindra Bolero facelift. It is also working on some new models for Tata Motors, Mahindra & Mahindra and Hero Honda, though Motwani did not give details.
Eschmann achieved a turnover of Rs 1.78 crore last year, while it is targeting Rs 2.35 crore this year. The company’s aim is to breakeven by 2009-10 when it targets to earn Rs 4.5-5 crore. Tata forms about 25-30 percent of the business, followed by Bajaj at 15 percent and M&M with 10-12 percent. “Hopefully in two years, we will have more than 50 percent market share in India,” Wagner says.
AMMAR MASTER