Cummins Group, India, manufacturer of engines, generators, components and related technologies, announced the opening of its facility-which will be a parts distribution center at the Cummins Megasite, at Phaltan in Maharashtra’s Satara district.
This parts distribution centre is the company’s fourth facility with three facilities inaugurated earlier this year at the Cummins Megasite. The parts distribution center (PDC) was inaugurated by Tom Linebarger, president and chief operating officer, Cummins Inc. and Anant Talaulicar, managing director, Cummins Group in India. Immediately thereafter, the company also held a ceremonial ground breaking for the fifth project on site which will be an industrial engine upfit centre.
Earlier in January this year, Cummins had launched three facilities; a unit producing engines for commercial vehicles, power generation and industrial markets, an engine rebuilding centre and a facility for remaking engines and components with an investment of Rs 500 crore.
PDC has been established with an aim to enhance supply chain efficiency in aftermarket parts distribution. This center will serve as a logistics hub which will enhance its ability to serve its customers significantly. With this new facility, the total investments by Cummins Group at the Megasite have reached approximately US$100 million.
"We are pleased with the pace at which our operations in India have expanded and grown. The Megasite was conceived to house our future expansions and with the opening of this fourth facility, we are closer to our vision of creating safe, clean, lean and green manufacturing campuses. The concept of co-locating our businesses at a common campus offers us the competitive advantage of scale and helps us achieve synergies of cost and efficiency. We believe a project of this size, involving investments of approximately US$400 million over the next few years, is a demonstration of our commitment to India," Tom Linebarger said at the inauguration.
With this, the company will now begin construction of its fifth facility, an industrial engine upfit centre for upfitting diesel and natural gas mechanical and electronic B and L and C series engines. The range will serve the power generation, industrial and automotive applications. Expected to commence production by mid 2012, this facility will manufacture 20,000 engines annually.
The Cummins Megasite was conceived four years ago to house ongoing and future expansions of the Cummins Group in India. "The inauguration of the fourth project at the Cummins Megasite soon after commencing operations at three facilities earlier this year, demonstrates our commitment to Cummins' growth plans in India. Our businesses in India have seen significant growth over the last few years and we expect this positive trend to continue in future. These expansions will cater to the increasing market demands, positioning us to continue to serve our customers better," Anant Talaulicar said.