Titex India, the 75:25 joint venture formed by Sandvik AB, Netherlands, and Sandvik Asia, respectively, with a share capital of Rs 13 crore, has invested about Rs 20 crore in plant and machinery, and in three weeks of operations starting September 15, has an order booking of Rs 40 lakh. Solid carbide tools are expected to generate greater business, accounting for Rs 6 crore of the projected turnover of Rs 10 crore for 1999. Kraher admitted that Titex India will not manufacture all of Titex Plus' entire range, with trading expected to contribute Rs 1 crore towards the projected Rs 10 crore turnover. The balance Rs 3 crore is expected to be generated by taps.

The estimated demand in thecountry for cutting tools is about Rs 2.5 billion. Titex India expects to double its turnover in 2000, at which stage it will export to the south-east Asian region. Kraher was categorical that Titex India will serve the local market and was not likely to be the global sourcing point for the German manufacturer for any of its 2,000 product lines.

The Pune operations manufacture high speed steel with cobalt taps and a range of solid carbide tools. Its capacity for the manufacture of taps is 500,000 pieces per annum while the solid carbide tool capacity is about 20,000 per annum. Kraher added that should the market demand rise, they were in a position to double capacities.

This is the first manufacturing set up of the US-based $100-million Titex Plus outside Europe. Though it has begun manufacture of its products recently in India, Kraher said their tools have been in the Indian market for the past several decades and trading would continue along with manufacture, which is cheaper by over 25 per cent thanimports.