Metso eyes inorganic growth opportunities in India

Finnish industrial equipment and services firm Metso is eyeing inorganic growth opportunities in India as it looks to strengthen its operations in the country, according to a statement. Last year, the company -- which has been in India for over 25 years -- invested Rs 560 crore in the country.

"Apart from investing EUR 70 million (Rs 560 crore) in the domestic market in 2018 by acquiring the valve automation division of Mumbai-based Rotex Manufacturers and Engineers Pvt Ltd and increasing the capacity of its Metso Park production facility in Alwar, the company is developing a 20,000-tonne capacity foundry in Vadodara," it said in a statement. Metso Park is among the key global production sites for the Finnish firm.

The latest investment increases Metso's crushing and screening plant production capacity in India by 35 per cent. Further, it would help the company meet the growing demand for crushing and screening solutions in the Indian market as well as improve availability of products for exports to more than 60 countries, the statement said.

Metso President and CEO Pekka Vauramo said India customers are now demanding more and better solutions and there has been a noticeable shift from being a price-sensitive market to a value-sensitive market. "With a CAGR (Compound Annual Growth Rate) exceeding 30 per cent, we are bullish when it comes to India. Moreover, exports account for 20 per cent of Metso India sales, growth of almost 50 per cent in the last four years," he noted.

In 2018, Metso India received orders worth EUR 293 million (Rs 2,385 crore). The order book stood at EUR 166 million (Rs 1,333 crore) in 2017. The company, which began India operations in 1992, provides equipment and services for the sustainable processing and flow of natural resources in the mining, aggregates, recycling and other process industries.