ABB to pump in USD 100 mn in Indian operations

Huhertus von Grunberg, chairman ABB Group, said: ``India is among the fastest growing economies in the world today and a key focus area for ABB. It is an important part of our growth strategy and will play an integral role in strengthening AB global footprint.We presently employ over 6000 people in India and expect our human resource base to touch around 10000 by 2010 to support our growth plans.``

Expansion plans on the anvil include a new green-field facility at Neelamangala, near Bangalore for manufacturing low voltage products and power electronics. The company is also establishing new manufacturing units in Vadodara for small power transformers and distribution automation products.

Meanwhile, capacity and range expansion is underway across businesses and locations. ABB will double its production capacity for high voltage (HV) breakers, instrument transformers and HT (high tension) machines as well as expand the capacity of large power transformers to 17,000 MVA as part of its expansion plans. ABB will also manufacture 765 kV equipment in India to support the country`s power infrastructure needs.

``We are extremely encouraged with the performance of our Indian operations and India will soon be among the top five markets for ABB. Based on market outlook and our well established presence here, we expect the business volumes for ABB in India to double by 2010. Having completed our previously announced investment programme of USD 100 million, we now plan to invest an additional USD 100 million for capacity and range expansion over the next 2-3 years to support this growth``, said Fred Kindle, president and CEO ABB Group. `In addition to serving the needs of the Indian market, we are also determined to leverage India as a key resource base. Besides its pivotal role in the South Asia Pacific region, India is increasingly contributing to ABB`s global operations,`` he added.

ABB also plans to significantly increase the number of engineers and domain experts at its global R&D Center at Bangalore. This is now the biggest such center in ABB`s global R&D network and is handling increasingly complex projects that are playing an integral part in the company`s ongoing quest to remain at the forefront of technology and innovation.

Shares of the company gained Rs 51.4, or 3.3%, to trade at Rs 1,609. The total volume of shares traded was 122,529 at the BSE. (2.43 pm, Monday)