Sunday, September 6, 2009

India Birla Gp, Bajaj Auto eye Egypt investment

NEW DELHI, Sept 4 (Reuters) - India's Aditya Birla Group is increasing its investment in Egypt and Bajaj Auto is looking at building a factory there, Egyptian Trade Minister Rachid Mohamed Rachid said on Friday.

The diversified Birla Group is investing $150 million in a silica project in the Egyptian city of Alexandria, and will also expand an existing carbon black factory, Rachid told Reuters Television in New Delhi, where he is attending World Trade Organisation talks.

"Birlas have the biggest carbon black factory in the world today in Alexandria; that is going to expand even further," he said.

The Aditya Birla Group has two joint-venture companies in Egypt, the Alexandria Carbon Black Company SAE and the Alexandria Fibre Company SAE, its website shows.

"Bajaj Auto is studying the possibility of putting up a plant in Egypt," Rachid said.

"Their market share is quite significant," he said, putting it at 20 percent of a two-wheeler market that was growing at annual rate of 45 percent, and nearly 100 percent of the 3-wheeler market.

Bajaj Auto is India's second-ranked motorcycle maker and the top producer of motorised three-wheel rickshaws.