The state-owned electrical equipment making giant, the Bharat Heavy Electricals Limited is all set to build its first offshore manufacturing facility in Africa to cater to its clients in Africa, West and Central Asia, its primary equipment business market in foreign countries. The company, which is a dominant domestic player in the power and heavy equipment, has also decided to increase its export revenue to Rs. 10,300 crore by 2012.

The new offshore plant would manufacture switchgear and transformers, for which the demand of the region is being met from India and also from its marginal presence through its offices in Dubai and Jakarta. Its products profile for the international market ranges from thermal, gas, hydro generation and transmission business. Though its products and services have been exported to over 70 countries but it has not yet established any production base outside the country.

According to official sources, the BHEL currently has Rs. 1,000 crore worth of business in Africa alone and the aim behind the move is to open the entire African and the West Asian market for the company and if it focuses on the strategy it can do much better in the region. The BHEL earns about 15 per cent of its revenue from abroad and has recorded a net profit of Rs. 3,039 crore on revenue of Rs. 27,505 crore in the last fiscal and aims to become a Rs. 47,200 crore company by 2012, they said.