Titagarh Wagons will invest $1 billion over the next 3-5 yrs for capacity growth

28 Jul 2022 , 07:56 AM

A top company executive said on Wednesday that Titagarh Wagons plans to invest over Rs 1,000 crore over the following three to five years to increase capacity in the production of wagons, coaches, and foundries.

According to him, a new foundry unit for backward integration would be developed. After increasing from just 150 units 25 years ago, the firm can now produce over 8,400 waggons annually.

“For metro and passenger trains, we have started a project to construct aluminium and stainless steel coaches. Additionally, we are increasing our waggon capacity to 12,000 units and plan to invest a total of about Rs 1,000 crore in our ongoing and upcoming projects over the next three to five years “Umesh Chowdhary, vice chairman and managing director of Titagarh Wagons, said this as the company celebrated its 25th anniversary.

Chief Minister of West Bengal Mamata Banerjee attended the event. She started the business’s increase of the number of waggons it could produce and its traction motor propulsion manufacturing.

Two foundry units now owned by the corporation have a combined capacity of around 30,000 tonnes. According to Chowdhary, it plans to build a new factory in West Bengal with a capacity of about 70,000 tonnes. The three main business verticals of Titagarh Wagons are freight, which comprises waggons and foundry equipment, transit and propulsion, and SBD (shipbuilding, bridges, and defense).

Nearly 70% of its overall income comes from freight, 25% from transit and propulsion, and the remaining 40% from the SBD segment. By FY22, the company’s order book had increased to over Rs 11,000 crore from Rs 2,500 crore.

It anticipates that the government’s push for infrastructure, as well as railway routes and metro projects, would support the economic growth momentum. In addition to one plant in Italy, Titagarh Wagons has facilities in India’s West Bengal in Uttarpara in Hooghly, Titagarh in North 24 Parganas, and Falta in South Parganas.