FAR EASTERN ECONOMIC REVIEW?
THE Harbor Equipment and Power Plants
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When it comes to dependability plus economy in boilers, cranes, dredgers and other industrial and port equipment, IHI is the name that can mean most to you.
With its skilled technicians and engineering design experience, IHI is more than just the world's leading shipbuilder. It is also a specialist in heavy machinery of almost every kind.
You will benefit from IHI's know-how at every step. from original planning to installation and full after-service. The projects below indicate the growing international recognition IHI
is gaining :
25 wharf cranes speeding up operations at the Port of Calcutta; a huge 5,000 HP dredger making alterations to the Suez Canal: a new shipyard venture inaugurated in Brazil; a urea plant in East Pakistan on which IHI cooperated.
IHI can work with you, too, to do a difficult job faster and at greater savings. Your nearest IHI representative or the Tokyo head office will be pleased to tell you more.
Transportation Machinery • Chemical Industry Machinery Ships Construction Machinery Iron & Steel Mtg. Machinery Boilers & Pressure Vessels Wind & Hydraulic Machinery Power Generating Machinery Mining Machinery Land & Marine Engines Atomic Power Apparatus
IHI
Ishikawajima-Harima Heavy Industries Co., Ltd.
Tokyo, Japan
Cable Address IHICO TOKYO
NEW YORK
•
NEW DELHI
SAN FRANCISCO · LONDON.
DJAKARTA. HONG KONG
IK 2232
RIO DE JANEIRO
SINGAPORE
October 31, 1963
Heavy Equipment for India
From K. Krishna Moorthy, New Delhi EARLY LAST YEAR officials at the completed by 1971, will be around 60,000 Japanese Foreign and Trade Ministries
dwt annually. told this writer in Tokyo that they thought India and Brazil, in the long term, would emerge as the major pur- chasers of heavy machinery from Japan. In 1963 Japan proved her point to some degree in India by the conclusion of two noteworthy deals in competition with Europe firms, and by tendering com- petitively for two other major contracts of which allotment was still to be de- cided in mid-October.
The two deals which Japanese firms have secured from the Indian Govern- ment are for the establishment of a fer- tiliser factory at Gorakhpur in Uttar Pradesh which is to be the biggest urea plant in the world and a special alloy steel plant at Durgapur in West Bengal to be the biggest unit of its kind in Asia. Two other major projects in which Japanese offers are being studied by the Indian Government are for a major shipyard in Cochin, in Kerala, and for a cross-bar switching system which will form part of a large expansion of the Indian telecommunications network.
The fertiliser plant at Gorakhpur, which will produce about 174,000 tons of urea or 80,000 tons in terms of nitrogen annually is estimated to cost Rs 250 million, of which about Rs 115 million will be spent on equipment and services from Japan. Toyo Engineering Corporation is the consulting contractor and the project is planned to be complet- ed in 1966. The Durgapur alloy steel plant will require Japanese equipment worth more than Rs 120 million.
A contract with the Mitsubishi group for India's second big shipyard is in the final stages of negotiation. The Japanese have excluded European competitors from the picture and are expected to supply about Rs 40 million worth of equipment for the Rs 200 million shipyard which will build India's first massive ore car- riers. Capacity of the shipyard, when -Indian Trade with Japan.
(Rs million)
1962-63
1961-62
1960-61
1959-60
1958-59
Balance in
Indian Indian Japan's imports exports favour 627.5 340.3 287.3 586.1 403.3 182.8 607.8
352.7 255.1 385.0 349.2
35.8 418.9 283.8 135,1
(Indian financial years April 1-March 31) Source: Indian Ministry of Commerce and Industry.
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Page 283 Japanese and Indian JAPAN INTO
organisations and
the Japanese talk with pride of their association with
the
Government's
AFFLUENCE
Hindustan Machine Tools, which is making wrist watches in collaboration with Citizen. Agreements among pri- vate manufacturers in India and Japanese firms cover clocks and watches, electric meters, thermos flasks, clinical and indus- trial thermometers, sheet glass, scooters, plastic goods, synthetic fibres, transistor radios, rayon and chemicals. Japanese collaboration with the Indian Govern- ment sector includes manufacture of trucks and tractors, radio transmitters, alloy steel and watches. Under the -11-Japan's Exports to India-
An Indian delegation was visiting Japan in the latter half of October for further negotiations on the development of the iron ore mines in Bailadila from where Japan has tentatively agreed to take four million tons of ore a year for fifteen years from 1966. Japan has al- ready aided India in the development of ore mines at Kiriburu, from where ex- ports to Japan are expected to average around two million tons a year for the ten years beginning 1964. Besides help- ing in iron ore mining, Japan has also assisted in the deve- lopment of Vi- sakhapatnam port on the Bay of Bengal. This port is being expanded to be cap- able of handling ex- ports of up to ten million tons of ore annually.
Yet another iron ore and industrial complex which the Japanese are studying is in Orissa. In the middle of Septem- ber, a high-powered
team of Japanese ex-
(US$ '000) 1957 1958 1959 1960 1961 1962 113,285 84,785 75,870 108,714 111,080 119,368
TOTAL
Of which: Foodstuffs
Medical, phar- maceutical &
224
98
20
17
18
11
chemical goods 1,341 Fertilisers
8,730 21.313
5,753 15,975
Textile goods Cotton fabrics Metal
tures
manufac-
858
7,412 11,052 10,688 1,654 5,803 2,241 6,731 6,179 7,760 6,026 8,111 8.348 398 510 652 275 108
57,728 41,334 19,127 55,003 41,062 27,131 54,367 39,499 16,785 51,484 38,339 24,947 37,391 24,062 23,013 32.623 43,876 66,768 Ships & boats
2,337 2,982 3,682 5,471 Source: Customs Bureau, Japanese Ministry of Finance.
Iron & steel Machinery
perts, led by an official of the Overseas Technical Co-operation Agency of Japan, submitted to the Indian Government a 315-page report on the possibilities of developing an industrial complex in Orissa. The plans include development of two iron ore mines, a port, an efficient railway system and industries round the port like machine repairing, shipbuilding and oil refining.
Telecommunications
In the bidding for the contract for part of the telecommunications project, which is aided by a US$42 million World Bank loan, Nippon Electric Company's tender is far lower than those submitted by American, Canadian, British and Swedish firms.
Of late Japan has become a leading ship supplier for India and a new Indian shipping firm has placed orders in Japanese yards for big ore carriers.
Among the more important Japanese links with Indian private firms is the collaboration with Baroda Rayons. A chemical factory under construction at Kolah, in Rajasthan, is being assisted by Japanese technicians. There are around eighty collaboration agreements between
Colombo Plan Japan has sent more than 45 experts to India and taken about 450 Indian trainees.
The Japan Chamber of Commerce and office in Delhi and the Japan Export Industry has a technical co-operation Trade Organisation a branch in Calcutta. Bombay. Five Japanese consulting cen- JETRO also has a machinery centre in
tres operate in India the Japan Con- sulting Institute in Delhi and Calcutta, the Japan Telecommunication Consultant Association in New Delhi, the Japan Engineering Consultant office in Calcutta Agency in Bangalore. and the Japan Industrial Co-operation
Under an agreement signed in January 1960, an Indo-Japanese prototype pro- duction and training centre was opened at Howrah in November 1962. The equipment and technicians at the centre are provided by Japan, and it will give training to Indians to produce and de- velop prototypes of machines, tools and accessories for small scale industries.
In Nadia in West Bengal, Sambalpur in Orissa, Shahbad in Bihar and Surat in Gujarat Page 28 3stid agricul-
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