Titagarh Rail Systems - the country’s largest rail and wagon-maker – is eyeing a probable foray into development of Kavach solutions as part of its newly set-up signalling and safety systems vertical. The company is in talks for partnerships apart from “exploring the scope of product development”. Work is afoot to ramp-up activities across its shipbuilding vertical. The company is exploring locations in West Bengal, Andhra Pradesh, Tamil Nadu, Gujarat and Maharashtra, based on “their policies”, Prithish Chowdhary, Deputy MD, Titagarh Rail Systems Ltd, told businessline.
Earlier in February, Titagarh announced entry into two new verticals – shipbuilding and maritime systems and signalling and safety systems.
According to Chowdhary, the company would “prefer” entering into product development partnerships on Kavach – the indigenously developed automatic train protection. Generally, product development is seen as a time taking process, and includes multiple stages of approval from the Railway authorities.
At present, there are three major Kavach OEMs – Kernex, HBL Power and Medha Servo Drives. Players like KEC International and Railtel have tied-up with Kernex and Quadrant as system integrators.
“We are exploring partnerships with some European and Asian vendors – across Japan, Korea and China – for tie-ups on segments including train control, condition monitoring and vehicular and train mounted solutions. We have bid for some projects too and as we ramp up, the segment will start generating order volumes. May be two to three years down the line, it will emerge as a substantial contributor to our top-line,” he said.
Over the next two-odd months, the company would also be firming up on its Shipbuilding and Maritime Systems vertical. Capex plans are being firmed up, he said.
Titagarh is looking at ship-building, of 75 meters and above, and is also “actively exploring” setting up new dockyards (shipbuilding yards).
Its existing ship-building order book, most for the Navy, is around ₹250 – 300 crore; but primarily for smaller vessels of up to 40 – 60 meters.
Titagarh is yet to tap into commercial ship-building.
“There are some States we are looking at – Andhra, TN, Bengal, Gujarat and Maharashtra. But, nothing is being finalised. May be over the next few months, we will firm up plans here,” he said.
The segment is currently dominated by Mazagon Dock Shipbuilders, Cochin Shipyard and Garden Reach Shipbuilders.
So far, Andhra Pradesh has announced a policy to push ship-building, while Tamil Nadu and Maharashtra are said to be working on it.