WEG, a Brazilian high-efficiency electric motor manufacturer, which is setting up a greenfield facility at Hosur in Tamil Nadu, will receive $25 million (around Rs 115 crore) from the International Finance Corporation (IFC). The company's total investment would be around $ 95 million (around Rs 437 crore) in the new facility.
The plant has been under construction since June 2009 and is spread over 170 thousand sqm in Hosur, close to Bangalore. Initially, the plant will produce medium and high voltage motors and generators. In the second phase, other products in the motor and generator line will be added.
The facility is expected to create employment for 250 people in the first year, with the possibility of expanding to 600 employees by the end of 2011. Since 2004, WEG has importing motors and generators manufactured in Brazil to the Indian market. Harry Schmelzer Jr., executive president, WEG said “this investment is a big step forward in WEG’s international strategy.”
The motors and generators produced by WEG will cater to irrigation, water distribution, waste-water treatment systems, power generation and transportation systems, he added. The company said the region was attractive for operations for the qualified workforce, good infrastructure, among others.
