Ceat to raise capacity of new Sri Lankan plant

New Delhi, Sep 8: Ceat Ltd today announced its plans to ramp up the production capacity of its just commissioned Radial Tyre plant to 1,00,000 passenger car radials per month, within six months of achieving an enhanced production capacity of 65,000 tyres.

The Sri Lankan Rupees 350 million plant has an initial capacity of 26,000 tyres per month.

With this increase in production coupled with free import norms from Sri Lanka, the company expects to gradually cater to the growing passing car tyre segment across South Asia.

Inaugurated by Sri Lankan Prime Minister Ratnasiri Wickrarnanayae along with Ceat Managing Director P K Chowdhary, the company's Sri Lankan venture's plant will initially focus on two ranges of radials -- cars and vans.

''We are extremely happy to further strengthen our long-standing and esteemed relationship with Sri Lanka, Indian companies are increasingly harboring global ambitions and so do we at CEAT. Our new hi-tech Sri Lankan facility, will be a significant step forward in this direction,'' Mr Chowdhary said.

Built alongside the existing plant in Kelaniya, the Radial plant will produce T-rated steel-belted radial tyres and tread patterns designed for Sri Lankan roads. The company will initially manufacture nine different sizes of steel belted radials for cars and vans, branded 'Formula 1Steel" and 'Rhino', respectively including 175/70 R13 and 185/70 R14 sizes for cars, and 185 R14 and 195 R15 sizes for vans.

''Tyres manufactured here will be customised, especially in their tread patterns, to cater to Sri Lankan requirements. It will provide consumers with key benefits such as good mileage, riding comfort, and excellent road handling and safety,'' CEAT Sri Lankan venture CEO Oscar Braganza said.

CEAT Sri Lankan venture already has a market share in excess of 50 per cent in the segments in which it operates. It also plans to export light commercial vehicle (LCV) and passenger car radials from the plant to the Indian market, taking advantage of the FTA between India and Sri Lanka.

The products to be rolled out of the new plant also include a center rib that provides improved steering and handling capabilities, while the parallel 'see through' channels aid water removal.

UNI