In addition to Caterpillar products, the Rs 1,400-crore TIL group will start supplying coal handling equipments such as reach stacker, hot mix asphalt plant and crushers and screens from July.

The company has already entered into technical collaborations with the US based Astec, Famac and Telsmith to manufacture the new products from its upcoming Rs 400-crore facility at Kharagpur in West Bengal.

TIL is planning to set up a second facility at Kharagpur at an investment of Rs 250 crore to expand the offerings on coal-handing equipment and fork lifts. The company is currently on the lookout for technical collaborations in this regard.

The West Bengal Industrial Development Corporation (WIDC) has recently allocated a 104 acre land for the proposed facility.

TIL has already transferred its Caterpillar dealership business into a wholly-owned subsidiary – Tractors India Pvt Ltd (TIPL). The new businesses are taken up by the holding company TIL.

During the quarter ending March 31, 2011, TIL entered into an exclusive dealership agreement with Mitsui of Japan for supplying road headers (required for tunnelling work).

Results

On a consolidated basis, TIL reported a marginal 2 per cent rise in its net profit to to Rs 60 crore for the year ending March 31, 2011 compared to the corresponding period in 2009-10. Net sales rose by over 30 per cent to Rs 1,375 crore.

The board of directors have proposed a dividend of 60 per cent – Rs 6 per equity share of Rs 10 each.

TIL shares on Tuesday closed at Rs 520, down by over one per cent, at the BSE.

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