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Birla Corp to sign pact with German firm
M Anand
Jan 19: Birla Corp Ltd, formerly Birla Jute & Industries Ltd, will soon sign a fresh agreement with the 500 million deutsche mark Empe Werke of Germany. The company also plans to set up a finishing plant in Chennai to cater to auto majors setting up shop in Chennai and Karnataka.The new agreement will facilitate the transfer of technology for the manufacture of jute-based car interior products, company sources told The Financial Express. The products for which technology will be transferred include Pu Sandwich, a roof liner and Wetaform, an engine mount support with sound proof qualities. Birla Corp already has a technical collaboration with Empe Werke for the manufacture of jute-based door panels for cars. Empe holds the patent for the chemicals and the process which impart strength to jute. ``Though plastic is more cost-effective in flat panels, our jute-based products are 50 per cent cheaper than injection moulded curved panels,'' company sources said. The weight of jute-based panels are only
half that of conventional plastic panels. ``Internationally, jute based products are popular as they are bio-degradable and non-pollutive,'' sources said. Empe Werke's customers include Mercedez Benz, Ford, Volkswagen, BMW, Audi, Porsche, Rover and Chrysler. Birla Corp has so far invested Rs 75 crore in three plants in Calcutta, Pune and Gurgaon. While the first two are fully integrated units the third is a finishing unit close to Maruti Udyog's plant.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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