Sanmina-SCI picks India for manufacturing campus, eyes aerospace business

It will offer end-to-end manufacturing services, including design, engineering and manufacturing, to large technology companies in India and throughout Asia, as well as to its existing clients, which include Motorola, IBM, Nortel and Philips.

Among other things, the company will manufacture electronic communications tools for the defence industry and control systems for the auto and aerospace industries, Hari Pillai, president, global operations, told reporters.

The overall focus is on medical, defence, aerospace and auto. The facility is to be operational by August 2008, with an initial $50 million and first-phase $70 million investment.

Nearly 90 per cent of US aerospace contractors are considering joint ventures with Indian aerospace firms, and Sanmina will benefit from these partnerships, as the world's number one provider of defence and aerospace electronics design and manufacturing services.

Sanmina believes its choice of location will provide many opportunities. It says the Chennai region is becoming the manufacturing centre of India, with an expanding infrastructure, excellent government support, a solid skilled labour pool, engineering talent, and a cooperative business environment.