Hyderabad-based Bevcon Wayors, a provider of material-handling systems, will set up a unit in Sri City, Andhra Pradesh, to manufacture components of conveyor rollers at an investment of ₹20 crore.
Edwin Lowe Ltd, a UK-based manufacturer of bearing housings for conveyor rollers, will help the ₹200-crore Bevcon set up the Idler & Pulleys unit, which is expected to be operationalised in six months.
“We will make a range of products like idlers, pulleys and components that go into conveyor rollers. The technology will be provided by Edwin Lowe and funds will be a combination of internal accruals and bank loans,” Y Srinivas Reddy, Managing Director of Bevcon, told Business Line .Urgency
The bulk handling conveyor systems are a necessity in coal mining, potash, iron ore mining, quarries and power, steel and cement plants, where long conveyor belts carry materials across locations.
The decision to locate the unit in Sri City was made due to the urgency of the project and the advantages of assured power supply (a major problem in Hyderabad), Reddy said.
Besides, many global manufacturing units are coming up in Sri City.
Tony Cook, Managing Director of Edwin Lowe, who was in Hyderabad to ink an understanding with Bevcon, said: “We will provide technology transfer, manufacturing licence and have a commercial agreement.”
The company recently introduced the latest technology to the industry called Cartridges, which help improve current roller manufacturing techniques.