COIMBATORE: After two to three years of recession, it is now growth and expansion for the foundry sector here, the mother industry for thousands of engineering units in the region.

During the last two years, the foundries in Coimbatore have invested over Rs. 100 crore on expansion projects.

The monthly casting production has doubled in the last three or four years.

New technologies

And all units have brought in new technologies.

The total monthly casting production has gone up from about 25,000 tonnes three or four years ago to nearly 40,000 tonnes.

And almost 30 per cent of this goes for exports (direct and indirect).

All the steel foundries are also doubling capacities, points out C.R. Swaminathan, President of the Southern India Engineering Manufacturers' Association.

This has started attracting large-scale industries to start manufacturing facilities here.

"Seeing the success of the Coimbatore foundry men, two major engineering companies are looking at Coimbatore to start foundries for captive use," he adds. The capacity of each unit is expected to be 10,000 tonnes of castings a month, he says.

While one of them has identified land and will invest Rs. 200 crore to Rs. 300 crore here for its foundry and machine shop over a period of three years, the other is yet to finalise between Coimbatore and Chennai.

According to him, "Coimbatore is going to be one of the strongest foundry hubs."

The work culture for foundries is better here and that is the major reason why more units are looking at starting operations in Coimbatore.

The foundries are confident that the manufacturing upswing will continue for at least another five years.

New products

The large-scale engineering units are developing new products, thus creating more opportunities for the ancillaries.

Since castings are needed by all engineering units, the demand will continue, he says.

But what is of concern to the industry here is the shortage in availability of experienced workforce and infrastructure, he says.

These two areas should be addressed immediately to sustain the growth, he adds.

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