If production is achieved in a cost effective manner, the Pune facility could become a global sourcing point, Thomas Treml, executive vice president (marketing and sales) Mannesmann Demag Delaval told mediapersons here on Tuesday. Treml expected matters to be finalised in the next few days.

Treml was in the city to inaugurate their first customer care centre of Demag Kirloskar Compressors Ltd, a 50:50 joint venture of Mannesmann Demag, Germany and Kirloskar Pneumatic Company Ltd. Till now Demag Kirloskar has only been marketing compressors and turbo machinery. Over 160 installations have been completed in India and the JV has sold 60 compressors accounting for a turnover of Rs 600 crore.

This is the first service centre in India at Pune. Another centre is planned at Baroda and Calcutta in a year's time to cater to the petrochemical refineries, fertiliser plants and steel industry in these regions. According to Treml, the setting up of this centre will cut down repair costs by 50 per cent as the machinery had to be sent either to Germany or USA for repairs involving a lot of export formalities.

The existing facility at Pune is being used to set up the service centre. This would have cost an investment of Rs 30 crore, H R Mustikar, president, Demag Kirloskar said. Similar centres have been set up in USA, South Africa, Brazil and now in Pune. The Pune centre will cater to the needs of the markets right up to the Middle East.