A group of welders at work

India Family business trains young people as welders

Asia
DEG
Classic

The equipment of the Swabian family-owned company Lorch Schweißtechnik GmbH has a very good reputation in India, but there is often a lack of skilled personnel who can operate the modern machines. Together with DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbh (German Investment and Development Company) and the non-governmental organisation Don Bosco Mondo, which is committed to helping particularly disadvantaged children and young people around the globe, the company set up a targeted training programme. Young people in Pune, India, are now being trained as welders and given the chance of qualified work. The project was implemented as part of the develoPPP-programme funded by the German Federal Ministry for Economic Cooperation and Development (BMZ).

Germany is one of the most important investment partners for India. Well-trained skilled workers are important for German companies in the populous country, because they tap into the Indian market through their technological edge. In the Indian city of Pune, an important centre of the Indian automotive industry, there is a great shortage of qualified welders who can operate modern high-performance equipment and weld precise seams. High costs and fluctuation keep many companies from investing in training their workers themselves. At the same time, there are many young people who have little chance of finding an apprenticeship or qualified job without a formal education. For this reason, Lorch has decided to invest in the training of young people as part of a develoPPP project.

In order to promote the training of qualified welders and open up professional prospects for disadvantaged young people, the partners implemented the following measures, among other approaches, in Pune, India, between 2013 and 2016 with a total project volume of around EUR 490,000: 

  • Foundation of the "Lorch-Don Bosco Welding Technology School of Excellence" training centre by the company and the non-governmental organisation. 

  • Development of a state-recognised training programme for welders according to the latest technical standards. 

  • Offer of six-month short-term training courses or twelve-month diploma courses. 

In addition to providing start-up financing under the develoPPP programme, DEG supported the process by providing intensive advice, particularly with regard to site selection and cost plans. Don Bosco provided a school and workshop building in Pune, which Lorch equipped with 20 welding booths, modern welding equipment, tools and materials. The costs for training young people and the further education of the instructors are covered by Lorch. 

DEG advised us perfectly. This enabled us to improve our concept and avoid obstacles. DEG's financial contribution made it possible for us to successfully implement the project on this scale and thus help disadvantaged young people.
Cataldo Sposato, International Sales Manager at Lorch Schweißtechnik GmbH
Worker smiles at the camera
Since 2014, the Lorch-Don Bosco Welding Technology School of Excellence has been open to particularly disadvantaged young people. Photo: GIZ/Vostry
Men in the welding booth
With the help of Lorch Schweißtechnik GmbH, the school has excellently qualified teachers and state-of-the-art equipment in the classrooms. Photo: GIZ/Vostry

By October 2016, a total of 420 young people had completed one of the two training courses. A subsequent internship creates valuable contacts for the young people, which in the case of the first two courses led directly to a permanent employment relationship. The model is based on the dual system in Germany and forms the foundation for long-term vocational training. For Lorch Schweißtechnik GmbH, the commitment promotes sales, because the demand for its own products increases almost automatically in the course of the training.

Development successes

Qualification of 420 young people

All trainees from the first two courses immediately found work

Business successes

The demand for Lorch Schweißtechnik GmbH products has increased

develoPPP Classic

develoPPP Classic is aimed at medium-sized and large companies that want to invest sustainably in a developing or emerging country and expand their operational activities locally. Suitable projects receive technical and financial support of up to two million euros in public funding.

Lorch Schweißtechnik GmbH

Lorch Schweißtechnik GmbH is a family-owned company based in Auenwald in southern Germany. Lorch is one oft he world’s three leading manufacturers of welding equipment. In Germany the company has a workforce of around 200. Every year it produces 24,000 welding plants that are exported to 65 different countries.

DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH

The KFW subsidiary specializes in the complex financing arrangements in developing and emerging markets and has extensive expertise in long-term investment financing. DEG finances and supports manufacturing companies, agribusinesses and companies in the infrastructure and financial sectors.

Cataldo Sposato Director Sales International Lorch Schweißtechnik GmbH
Daniel Thomann Head of Programme DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH