Journalism of Courage
German firms,after having made a foray into local automotive and information technology (IT) sectors,are all set to widen their base in Pune. The Eurozone crisis notwithstanding,several investors are making a beeline for the city,and the areas they are looking to range from infrastructure to household products.
Interestingly,many of these investors are smaller firms,with annual turnovers of three to five million Euros. The city contributes nearly 20 per cent of the total German investment of 5,000 million Euros in India and further investment of 0.3-0.5 million Euros is expected by December 2012.
We have been receiving queries about investments despite the Eurozone crises. Earlier,it was companies with large turnovers that were interested in investing in the city. Now,smaller companies are also evincing interest, said Zubin Kabraji,regional director,Pune,Indo-German Chamber of Commerce.
Some 250 German companies are already operating from Pune and 50 more are expected to join them. Brands like Volkswagen,Siemens and Mercedes-Benz are already in the market. German firms into businesses like interior decoration are now set to invest in the city. Earlier,German investments here were mostly in the automotive sector,but now they are expanding their horizons. The companies from Germany are now in the infrastructure sector as well, said director general of Mahratta Chamber of Commerce Industries & Agriculture (MCCIA),Anant Sardeshmukh.
Managing director of Samson Controls,Atul Raje,said German companies are major investors in Pune. The city hosts some 803 German families, he said. The German companies focus in Pune is on new projects for both the Indian market as well as from export markets in Middle East and other Asian countries. With our project office,which we opened recently at Magarpatta,we will see a major boost in our sales. We will be looking at strengthening our capability in engineering processes, said Raje.
Among the recent entrants to the Pune market is the German multinational,Pilz. A subsidiary of Pilz GmbH & Co KG,Pilz India Private Ltd started its operation nearly two months ago from Sahkar Nagar. We manufacture products like safety sensors and safety PLCs. These products are used at windmills,at airports and even in the automotive sector. We see a great growth in these sectors, said Sanjay Kulkarni,managing director of Pilz.
Raje said Pune has efficient logistics,which makes it a favourable destination for manufacturing companies. The city is nearer to the Mumbai port,which is among its major advantages, he said.
German investment is also coming in through local tie-ups. Rushikesh Sathe,director of Sathe Homes,this month bought the franchise rights of German furniture brand,Nolte Home Studio. We sell customized kitchen and bedroom furniture to customers in Pune. After we receive the orders,the furniture is imported from Germany and delivered to customers, he said.
Sardeshmukh said with the number of German companies in the city going up,the MCCIA has been interacting with business delegations from the country to strengthen ties.
