In a major boost to India's manufacturing sector, Miami-based Federal Card Services (FCS) has announced a massive $250 million investment to establish Pune as a central node in its global payment cards network. The strategic move underscores India's growing importance in the global financial technology landscape.
Massive Investment and Job Creation
The American premium payment card producer is setting up a state-of-the-art manufacturing facility in Pune that promises to generate more than 1,000 new jobs in the region. The 32,000-square-foot plant, whose first phase is already complete, is scheduled to begin operations in February 2026 with an initial production capacity of 2 million cards annually.
What makes this investment particularly significant is the planned expansion that will eventually ramp up production to an impressive 26.7 million cards per year. The company is so committed to its Indian operations that it's relocating senior management roles, including the global finance chief position, to India.
India's Strategic Importance
Chief Executive Matías Gainza Eurnekian emphasized India's central role in the company's global growth strategy. "India is central to our next phase of growth globally," Eurnekian stated, highlighting the country's rapidly expanding card market that has grown by more than 7% in just two years.
The company sees this growth as clear evidence that plastic and digital payments will coexist rather than compete. Chairman Cristian Calandria revealed an innovative approach to embedding FCS in the local fintech ecosystem: the company plans to take equity stakes in banks and startups that adopt its premium or eco-friendly products.
"Any customers that are willing to accept us as investors, we will be investing part of the income in their companies," Calandria explained. This unique investment strategy, currently limited to India, reflects the firm's strong belief in the depth and potential of the country's payments ecosystem.
Pioneering Sustainable Card Manufacturing
The Pune facility will anchor FCS's ambitious anti-PVC mission, positioning itself as an environmentally conscious alternative in the payment cards industry. The factory will run entirely on renewable energy and produce both metal cards and biodegradable alternatives made from certified wood, seaweed, coffee fibre, and other plant-based materials.
"We prefer to lose opportunities in PVC," stated Chairman Calandria, emphasizing their commitment to sustainability. "We want to cancel PVC." This stance has become increasingly relevant as many banks worldwide have set environmental goals to eliminate plastic from their operations.
FCS expects the Pune site to become the world's biggest producer of biodegradable payment cards. Beyond eco-friendly options, the facility will also manufacture extravagant collector's pieces fashioned from gold, silver, diamonds, and other precious materials, including cards made from recycled metal from scrapped aircraft and vintage cars.
The company's move to India is rooted in a decade-long push into advanced materials and semiconductor technologies. Eurnekian's earlier venture into nanotechnology led to Latin America's first semiconductor foundry, expertise that later fed into FCS's payment-card business. Today, FCS ranks as the world's second-largest producer of high-end cards by capacity and patents, operating an R&D unit in Ireland and holding more than 100 patents.
Despite the global shift toward digital wallets, FCS maintains that physical cards retain significant advantages in security and social signaling. As Calandria observed, "A metal card offers a form of prestige that a tap on a phone does not." This investment not only strengthens India's position in the global fintech landscape but also demonstrates international confidence in the country's manufacturing capabilities and growing market influence.
