December 26, 2003 | Asian Age
TAPS to provide assembled systemsKolkata: Tata Auto Plastic Component System or TAPS, a subsidiary of Tata Auto Components is now moving up the value chain by sourcing components from various suppliers and providing assembled systems such as cockpit assembly and interiors.
While nearly 70 per cent of its sales is to Tata Motors mainly for Indica, the company has also concentrated on developing new customers such as Fiat andGeneral Motors.
The company is now trying to reduce its dependene on Tata Motors although a major portion of its revenue comes from supplying components to Indica, officials of the company said.
Tata Auto Plastic is a 100 per cent subsidiary of Tata Auto Component Systems Limited, which in turn has been promoted by the Tata Group to lead its foray into the auto components segment.
Tata Components has been set up as a holding company to promote ventures including joint ventures for various components and systems.The various components currently being supplied by the TACO group companies include radiators, seating systems, plastic component systems and sheet metal components. The main components supplied by TAPS include dash boards, bumpers and other interior parts.
From a component supplier, TAPS is emerging as a sourcing base for assembled systems consisting of components sourced from other vendors, they said.
The company has also started exporting components, though the volume is still small. TAPS attempts at diversifying its client base both within and outside the country, is aimed at broad basing its revenue and customer base.
The company earned an operating profit of Rs 13.6 crores and net profit of Rs 1.9 crores on an operating income of Rs 83 crores during the financial year 2003.