Moser's German unit to start operations by '06

Moser Baer is expecting its manufacturing facility in Germany to be up and running by early 2006.

"At present, we are looking for a suitable site in East Germany. The facility will be up and running by the end of 2005 or early 2006," Ratul Puri, executive director of Moser Baer India said.

The German facility would manufacture high-end optical storage products in collaboration with niche players, Ratul Puri said, adding "We are already doing this kind of work from India but are facing some challenges. By setting up a manufacturing base we will become closer to our customers and do the work better,".

The company sees 2% volume growth and 10% of revenues through the high-end products that would be manufactured in Germany, Puri said, adding, the board of directors of the company have already given their approval for investment of $15 million for the venture.

Apart from new geographies, the company is also open to diversify its product range.

"We are a technology manufacturing company. We are open to opportunities in areas outside storage and optical media," Puri said.

In India, the company had earmarked $130 million for capital investment in 2004-05

and has been able to spend the amount.