ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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On the Growth Path

On the Growth Path Hansavivek MODI RUBBER'S installed capacity has been recognised at 7.64 lakh numbers per annum each for automobile tyres and tubes. Taking into account the normal permissible limit of an addition of 25 per cent, the revised licensed capacity will be 9.55 lakh tyres and tubes per annum. In addition, pursuant to the industrial policy statement of July 23, 1980, the company is eligible for automatic growth at the rate of 5 per cent per annum or 25 per cent in a five-year plan period which may be undertaken in one or more stages. The company has received letters of intent' from the Central government for annual manufacture of 20,000 aircraft tyres and tubes, 30,000 off the road tyres and tubes, 4 lakh scooter/motor cycle and moped tyres and tubes and 1.25 lakh tractor and ADV tyres and tubes. The management is taking steps to get these letters of intent converted into industrial licerices to implement the expanded capacities. The company is also going ahead with its project for manufacture of all steel radial truck tyres. Road tests of three lots of radial tyres received from the collaborators have already been completed. Approval of the Central government has been sought for technical collaboration terms with Continental Gummi Werke, Hanover. With approvals of Central government and RBI, the company has acquired 15.75 lakh equity shares of Rs 10 each in Bombay Tyres International (formerly Firestone). Formal transfer of management of that company was effected on December 21 last.

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