India Steel Market Watch
December 11: Pune-based Bharat Forge is mulling plans to enter the transmission segment, according to information available to ISMW. This will be buttressed with efforts at incremental development of its traditional products.
The company sees strong business flows from the passenger car segment, with revenues rising to 15% over the next few quarters, against the current 5%.
However, in the near term, the company sees pressure coming in from the US truck market where it sees a fall in 2016. This will be offset by incremental business from existing players and ramp-up in business from new OEMs, according to sources.
The management is bullish on the ‘Make in India’ campaign and sees strong traction arising from it from next year onwards for segments like mining, power, railways, marine and Defence. The company has developed expertise in the aerospace components business and sees substantial opportunities in replacing imports of components by Hindustan Aeronautics Limited (HAL). In terms of Defence, it sees large opportunities in replacement of imported components with domestic counterparts, said the source.