CAF to set up manufacturing plant in India

One of the world’s leading train makers has set its sights on a new manufacturing plant in India.

Spain’s Construcciones y Auxiliar de Ferrocarriles (CAF) is planning to set up a new manufacturing hub in the country to take advantage of an increasing demand for railway vehicles and equipment.

Speaking about the plans, Juan Jose Garcia, international division director of CAF, said: “There is a tremendous opportunity in India.

“Also, I think it can be the hub for the entire Asia.

“Our intention is to come up with a manufacturing plant in India. It is an important market for us and we need to become Indian to cater to the market.”

Juan Garcia said the company was currently scouting suitable locations.

The Spanish firm set up its Indian arm, CAF India Pvt Ltd, in 2010 to look after its operations in the country.

The company recently won the contract to supply 14 rakes (84 coaches) from Kolkata Metro Railway Corporation (KMRCL) worth $155 million.

The rakes are expected to be delivered by the end of 2014. These rakes will be utilised on the first phase of a 17km metro extension line connecting Joka near IIM Calcutta with BBD Bag, the central business district of the Kolkata city.

Titagarh Wagons Ltd (TWL), joint venture partner Japan-based Nippon Shariyo Ltd along with Bharat Earth Movers Ltd (BEML) and a Chinese company had bid for the contract.

Vishal Khetarpaul, director, CAF India, said: “For Kolkata Metro we would like to produce some rakes in our own plant in the country, but for now, we have started production of few trains in Spain.”

The company is eyeing maintenance of the Delhi Airport link of DMRC (Delhi Metro Rail Corporation) and has qualified for Jaipur Metro.

CAF has also bid to supply 171 cars for L&T Hyderabad Metro.


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