NEW DELHI, NNA - Japan’s Nissei ASB Machine Co. plans to spend about 2.2 billion yen ($20 million) to expand its plastic bottle mold production capacity in India.
The investment will be made in its third factory in India, opened last year near Mumbai. A spokesman declined to disclose the anticipated output but said, “We expect this will be paid off in a short period of time as demand is surging.”
Nissei ASB Machine, headquartered in Nagano Prefecture, central Japan, manufactures equipment such as machines and molds for the production of PET (polyethylene terephthalate) plastic bottles at home and in India for global sales.
“We produce molds mainly in India and ship them domestically and abroad,” the spokesman said.
ASB International Pvt. Ltd., its wholly owned unit established in 1997 in Ambarnath in the western Indian state of Maharashtra, plans to start installing additional facilities at the plant in August and finish the work by June 2020, the Japanese firm said in a statement.
It has invested 4.7 billion yen in the third Indian plant, locating on the same premises as its first and second factories, he said.
The Indian arm had a total of about 190 units of machinery at the three plants and some 1,500 employees as of the end of September 2018.
The Indian unit posted over 10 billion yen in sales in the year to September 2018, accounting for 36 percent of the group’s total, up from about 6.7 billion yen three years ago, the Japanese firm said.
Group sales have grown in line with production expansion in India for nearly the past decade, with sales in three regions -- Europe; North and Latin America; and South and West Asia -- accounting for around 20 percent to 30 percent in each, according to its financial statement for the year to last September. (NNA/Kyodo)