ELGI Sauer Compressors, the joint venture between Elgi Equipments and the German-based Sauer Compressors Group, expanded operations by opening a new manufacturing facility in Kallappalayam, Coimbatore, Tamil Nadu. With an investment of approximately INR 400 million, the 50,000 sq. ft. facility will begin manufacturing state-of-the-art high-pressure compressors, pressure-reducing stations, and portable breathing air compressors for the industrial, commercial shipping, naval and offshore markets in India. The facility will also house an Engineering Support Centre, which will provide engineering support to the Sauer Compressors Group worldwide for new product development and prototype testing.
Speaking at the inauguration, Dr. Jairam Varadaraj, managing director, Elgi Equipments, said, "The ELGi Sauer joint venture, established in 2008, brought advanced technology, a wider range of products, increased availability due to indigenization and better product support to the Indian Navy, marine and related special applications. Over 14 years of partnership, we have created a niche identity in the high-pressure market in India and neighbouring countries. Today, ELGI Sauer Compressors has strong local market know-how, indigenization prospects to be more competitive, and opportunities to deliver customized solutions. Looking ahead, agile operations, increased capacity, and local-for-local supply will be essential to supporting our customers, and with this world-class facility ELGI Sauer is well positioned to serve new markets and achieve long-term business goals."
Hendrik Murmann, chief executive officer, Sauer Compressors Group, further added, "We are proud and happy with our Indian colleagues who have developed our very good position in India over so many years. They have become an indispensable part of the global Sauer Compressors Company Group, and they strengthen our technical competencies. We thank our partner ELGI for almost 15 years of very friendly and reliable cooperation. We are convinced that this expansion will be the beginning of the next chapter of our success story."
"This is an important milestone in our journey towards market leadership and sustained business growth for ELGI Sauer Compressors in India. This factory with expanded manufacturing capacity will help us further consolidate the engineering, indigenization, and product support capabilities of both constituent entities and create a strong aftermarket network," said Satish Kini, chief executive officer, ELGI Sauer Compressors Limited.
Environmental sustainability has been a key consideration in the construction of this facility. In line with ELGi's focus on resource-neutral operations, the factory has been designed with energy-efficient transformers, water recycling, rainwater harvesting systems, and a special architectural emphasis on natural light and ventilation with landscaped gardens and green zones. In alignment with ELGi's commitment to circularity, over 1 Mn Kg of the ELGi foundry waste sand was used to construct solid blocks for the compound wall. ELGi also strongly emphasizes a zero-incident workplace by fostering a safe and healthy work environment and eliminating adverse occupational health and safety-related incidents. The new factory is built on green building principles under the certification of IGBC, the Indian Green Building Council.