German cable specialist EIS Electronics has opened a facility in India to cut production costs and gain a foothold in the nation's aerospace market.
The Bremerhaven-based company has set up a joint venture production shop in Kanpur with Indian military equipment manufacturer MKU.
The 800m² (8,600ft² facility) employs around 20 staff members and will initially produce wiring harnesses for German interiors group Diehl Aerosystems. But the employee count can be increased to 80, and the site could be further expanded in future, says EIS's director Burkhard Müller.
The Indian facility will double the company's production capacity, he adds, and should give EIS access to the country's growing aerospace market aside from offering low manufacturing costs.
EIS is part of the Scan network which has been set up by German industry association Hanse Aerospace to connect manufacturers, airlines and suppliers worldwide.
While aerospace companies are often organised into regional clusters, it can be difficult for manufacturers to search for potential supply partners internationally based on specific capabilities, says Max Evers, Scan's managing director.
Some 70 companies have joined the network over the past two years. But Evers wants to reach 200 members by the end of 2013 - and 1,000 in 2014 to gain a "critical mass".
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Source: Flight Daily News