In line with its strategy to move up the value chain, Jaya Hind Industries entered into the vital product line of Aluminium Cylinder Blocks. The critical nature of the part warranted a strong technical support and Jaya Hind chose to join hands with KSAT Ag, Germany. The company has already signed a licence agreement with KS Aluminium-Technology AG (KSAT AG), a member of the Kolbenschmidt Pierburg Group (Rheinmetall Group), company said in a release.
“The licence covers the development and production of cylinder heads, engine blocks, bed-plates and other casting for national, international auto manufacturers and auto industry suppliers. We hope that the joint venture will be in place by the first quarter of this year. The joint venture is likely to be a 70:30 or 80:20 shareholding with Jaya Hind holding the majority stake,” said Prasan Firodia, MD, Jaya Hind Industries.
“The JV would help KSAT AG enter the small-car segment. We have been looking for an opportunity to enter emerging markets. The tie-up with Jaya Hind is a good fit and a good manufacturing base as well .The JV would also help cater to customers out of India as well”, he said.
KSAT AG primarily caters to the premium segment of the market. Jaya Hind supplies aluminium engine blocks to Ford for the Fiesta and the Figo, “ Jaya Hind and KSAT are also currently working together on manufacturing engine blocks for a variety of other customers,” he said. “At present, Jaya Hind has a capacity to make 400,000 cylinder-heads per annum and is expected to be increased to 800,000 cylinders –heads by end of the next year,” Firodia said.
Jaya Hind is one of the pioneers in the Aluminium Die Casting Industry in India. In the last 5 years, the company has invested more than 65 per cent million in upgrading technology.
