Hyderabad: Hyderabad-based Pennar Industries Limited (PIL) is scaling up its hydraulic cylinders to 2,00,000 cylinders per annum from the current capacity of 75,000 cylinders per annum.
PIL caters to both the domestic as well as global demand for hydraulic cylinders that find applications in agricultural, forestry, construction equipment, material handling, tippers and trailers, aerospace and defence industries.
The company is augmenting the capacity in a new 45,000 sq ft plant at its existing hydraulics manufacturing facility at Periyapalayam, Chennai. The plant will be fully equipped with complete infrastructure, machinery and testing equipment to design, engineer and manufacture hydraulic cylinders.
K M Sunil, VP, Corporate Strategy, Pennar Industries Limited said, “Pennar has found good success with hydraulic cylinders, primarily because of the company’s engineering design and manufacturing capabilities as per customers’ unique requirement. Due to continuous strong demand, we are now doubling our manufacturing capacity from current 75,000 units to 1,50,000 units per annum with possibility of increasing it up to 2,00,000 cylinders as the demand increases. Pennar plans to make technology investment in the world-class tech, production equipment and design engineering team to emerge as a leading player in Hydraulics.”
He told Telangana Today, “The capacity augmentation at the plant is in progress and by July, we expect the expanded capacity will be available. We are roughly investing Rs 12 crore into the brownfield activity. The plant has been operational since 2010.”
When asked about global markets, he said, “We had been exporting to the US market all these years. We will start exploring the European market soon. We see there will be continued demand in both automotive and agriculture sectors. Exports already account for about 70 per cent of our supplies, which we do it through our dedicated distributors.”
The new plant will be equipped to produce 1,50,000 cylinders per annum with scope to expand up to 2,00,000 cylinders as the demand increases. PIL has more than 25 domestic and global customers for hydraulics, including reputed OEMs, distribution and engineering companies in the world.
Over the past two years, PIL has supplied more than 1,00,000 hydraulic cylinders to the end-users in the US market. The company is witnessing an increase in demand and hence is doubling the capacity.