BL reported that government owned BEML Ltd is to hive off its rail business into a separate company to tap the business in rail rolling stock of nearly INR 1 trillion over the next ten years.The Bangalore based BEML, which got into the rail business only in 2002, is the only Indian company to manufacture metro rail cars. It will supply the rolling stocks to Delhi Metro and Bangalore Metro.According to Mr VRS Natarajan CMD, for the Bangalore Metro, BEML will deliver the first order of 150 cars by December 2012. The cost per 136 cars is INR 918 crore. It has also bagged a INR 1,000 crore deal from Delhi Metro to manufacture additional intermediate coaches for them. He added that “We are expecting a huge order from the Jaipur Metro as well.’BEML Limited supplies the Indian Railways equipment such as integral rail coaches, overhead electric inspection cars, postal vans, electric multiple units, utility track vehicles and track laying equipment.In the fiscal ended March 31st 2010, BEML posted revenue of around INR 5,000 crore.Of this, the rail business alone contributed INR 1,300 crore and is projected to touch INR 1,500 crore during the current fiscal. He added that “We expect that in the next five to six years, this business could touch nearly INR 4,000 crore. It is better to have a separate company with a separate managing director.”Mr Natarajan said there is also enormous business opportunity in manufacturing aluminium rail wagons. The company had built a 70-tonne aluminium wagon for Nalco as part of a trial effort. It is now planning a 100-tonne side discharge aluminium wagon, which could be put in use when the high speed rail corridor takes off.
Indonesia expansion
