Establishing factories with Indian partners is the new trend
Indian companies have been investing in Turkey over the past few years in many areas, from chemistry to agricultural vehicles. Turkish exporters, for their part, have been participating in trade fairs in order to grow in India, together with China, and are starting to work toward more cooperation. But nowadays, the trend is to produce in India with Indian partners.
Last month, India-based Arvind and Izmir’s Polser began negotiations to establish a plant in India. Recently, Indian energy and cement company NCL Industries began setting up a joint factory with the Turkish firm AGT Agac Sanayi. The Malkapur factory established on nearly 20,000 square meters near Hyderabad with a budget of approximately TRY 40 million, will produce 1,000 doors in one shift.
Cement factory, power plant
NCL has two factories under the name of Nagarjuna Cement and Bison Panel, which produce building materials. The Indian company, which also manufactures prefabricated houses, has two hydroelectric power plants. AGT, the Turkish partner of NCL, is among Turkey’s top 500 companies. It ex- panded its production facility in Antalya with an investment of 120 million euros last year and aims to put a biomass power plant into production with an investment of 10 million euros. The company had TRY 914 million in revenue in 2017 and ranked 162th in the first 500 with this figure.
Lalbha Group to set up a plant with Polser
The Lalbhai Group, one of India’s most important industrial companies, had decided to cooperate with Polser, Turkey’s leading manufacturer of laminated composite panels. With the agree- ment signed in February, Lalbhai Group’s flagship company, Arvind Limited, and the Turkish company Polser will produce flat and corrugated fiberglass sheets. 60 percent of the new partnership will belong to Arvind and the rest will be owned by Polser. The partners will build the factory in Ahmedabad, India. Arvind has a net worth of $1.7 billion and employs 42,000. Arvind, one of the world’s largest manufacturers of denim, is the business partner of 15 global clothing brands such as Tommy Hilfiger, US Polo, CK, GAP, Nautica and Sephora.