Title “Success stories” written on the image of a group of women working at the Rodenas project in Morocco

Asia: Rinder India Private Ltd. (India)

Sponsor: Rinder Industrial, S.A.
Activity: anufacture and sale of automobile lights
Industry: MAutomobile
Product: Investor loan
Total investment: 4.9 million euros
Resources: COFIDES Image of Rinder India Private Ltd. (India)

The last few months of 2008 were no joy ride for the world-wide automobile industry. The continuous decline in vehicle sales that prompted the multinational automobile majors to lower production had an adverse impact on its suppliers in the ancillary industry. Since its inception, COFIDES has partnered with automobile industry companies locating abroad to adapt to the needs of their main customers. RINDER, whose internationalization dates back to 1997 when it located in India to produce part of its range of automobile light and indicator products, constitutes an excellent example. The company requested and received COFIDES support for that first overseas project. Shortly thereafter it opened a second plant, both located in Maharashtra state (in two different cities, Pimpri-Chinchwad and Pune). This strategy enabled RINDER to anticipate the change taking place in automobile industry competitiveness.

Given the growing presence of customers in northern India and the company’s inability to meet local market demand with the output from its two Maharashtra plants, in 2008 it applied for COFIDES support to open a new plant in Bahadurgarh state (Delhi).

With this project, RINDER can improve certain aspects of its business whose importance in a country such as India should not be overlooked:

  • Geographic proximity to respond more speedily to customer needs.
  • Enlargement of production capacity in a market where growth potential is among the highest in the world.
  • Continuation of an intensive R&D+i strategy in an increasingly competitive industry.

Image of Rinder India Private Ltd. (India)COFIDES’ support for the 4.9 million-euro project came in the form of a two million-euro loan charged to the company’s own funds. RINDER’s track record in India is an example of how a Spanish company can turn threats into opportunities by internationalizing its manufacturing business.