Gurugram, India – Meenakshi Polymers is considering expanding in South or West India. Currently, its plants are concentrated in the North Indian states of Haryana, Uttarakhand & Uttar Pradesh.
‘We have identified two locations one in Ranipet in the South, which is between Bengaluru and Chennai and [another in] Gujarat in the West,’ said Kunal Soni, CEO, Meenakshi Polymers.
Currently, the firm caters the South Indian market from the Greater Noida plant, which is located near Delhi in the North of the country.
Soni added, ‘We will hopefully finalize [the decision] in the first quarter of 2018.’
Meenakshi Polymers manufactures two-wheeler and bus seating and a couple of years ago forayed in to production of mattresses under the brand name ‘Vibez’ at its plant in Manesar, which like Gurgram is in Haryana. ‘The Ranipet plant will likely focus on two-wheeler seats and Gujarat for car seating,’ Soni added.
India is one of the world’s largest two-wheeler producers, with around 50,000 units currently manufactured each day. This could rise to around 75,000 units in the near term. ‘It clearly indicates the huge scope in the domestic market,’ Soni stressed.
Meenakshi has capacity to produce 7.2 kT/year PU foam but operates at around 60% of capacity which is used capitvely for its seat making operations. ‘We are making 12,500 two-wheeler seats and 500 bus seats daily,’ he said.
Growing at the rate of around 3% annually, Meenakshi expects 10% growth in the ongoing fiscal year.
Meenakshi has seven plants in: Greater Noida (Dadri), Neemrana, Haridwar I and II, Binola, Manesar and Delhi. It manufactures PU seats at four units at Greater Noida, Neemrana and two units of Haridwar. The Manesar unit produces PU mattresses & bus seats.
Greater Noida based unit is the oldest opened in 1989 and Neemrana is the latest commenced production in November 2014.