July 16, 2004 | Financial Express
Taco bets big on exports to achieve turnover targetPune: Tata Auto Components System (Taco) isgearing up to achieve its target of crossing the Rs 5,000 crore turnover mark by 2008-09 with a significant portion of it -- Rs 1,000 crore -- coming from from Tata Auto Plastics Systems (TAPS). And Rs 400 crore of this will come from exports.
Rajiv Bakshi, CEO, TAPS, is confident of the target going by increasing overseas inquiries and scaling up of domestic operations.
This includes setting up a new Rs 10 crore plant n Bangalore to service new generation SUV, IMY, from Toyota Kirloskar and other model for Ford.
TAPS is also graduating from component supplier to systems supplier for Tata Motors for which a new assembly plant is coming up at its Hinjewadi plant.
The entire Tata Indica cockpit will be assembled at TAPS and delivered JIT to Tata Motors. After gaining some experience, Mr Bakshi plans to offer similar services to other OEMS too.
TAPS is into plastic interiors and exteriors such as dashboards, door pads, air vents, bumpers and trims. Unlike many other Taco companies, Taco has opted for a 100 per cent subsidiary for TAPS with technical tie-up with Faurecia of France, the largest cockpit supplier in Europe with a 70 per cent market share.TAPS was launched in 1998 and went global in 2002 through a 100 per cent EOU. TAPS bagged the GM supplier of the year award from GM. The TAPS case study also finds mention in the Balance Scorecards Robert S Kaplan new book Strategy Maps.
TAPs 2003-04 revenues was at Rs 140 crore but from now on Mr Bakshi expects a higher growth.
The company received export orders worth Rs 12 crore last year, but for the next two-years the orders could be in the region of Rs 200 crore from the global markets including Ford, MG Rover and technology partner Faurecia of France.
Apart from Tata Motors, TAPS is also working with General Motors, Renault, Volvo, DaimlerChrysler, Volkswagen, Nissan worldwide and Toyota Kirloskar.