Crompton Greaves to put Rs 32 crore in MP plant

Company ropes in Toshiba for technical upgrade of facility

The transformers division of Crompton Greaves is going to invest Rs 32 crore in its existing Mandideep (near Bhopal) plant. The new investment will be in technology upgrade and the company is learnt to have entered into a technical collaboration with Toshiba of Japan.

The company is also learnt to be expanding its units in Madhya Pradesh, which are located in Mandideep and Dewas.

"Crompton Greaves will make 800 kvA capacity transformers to become the first company in India to make the product," a government source told Business Standard, adding, "the firm will invest Rs 32 crore and capacity expansion will be completed by September."

The company will make 7,000 transformers each year in this capacity.

The transformers division of Crompton Greaves started operations 60 years ago, first supplying to the US Army.

Initially the firm entered into a technical collaboration with Brush Transformers and Hawker Siddeley Power Systems of the UK.

The company also entered into a technology arrangement with Westinghouse Electric Corporation of USA for transformers of up to 400 KV.

Crompton Greaves one of the few companies which manufactures a wide range of Power and Distribution Transformers and Reactors ranging from 160kVA to 415MVA. It supplies the products to power and industrial sectors like power utilities, process industries, railways, mines, electricity boards and industries in domestic as well as world markets.

"They (CG) have demanded some sops and concessions like exemptions in entry tax, capital subsidy etc. The apex committee on investment will discuss on their demands," said the source.

The transformer division of the firm will also export the 800 KV transformers. The firm has known for its highest exporter of power transformers from India.

The company exports its products to at least 40 countries worldwide.