Mahindra & Mahindra Limited (M&M) is in the process of setting up a new tractor plant at Zaheerabad, Andhra Pradesh. State chief minister Kiran Kumar Reddy performed the ground breaking ceremony for the new plant today.
The company will invest over Rs300 crore in the plant, which will be spread across 100 acres. The plant will have an installed capacity of 100,000 tractors a year, which can be scaled up to meet additional demand, M&M said in a release.
The new plant, with facilities such as manufacturing lines, tractor assembly, engine assembly, gearbox assembly, hydraulic assembly and sheet metal painting, is scheduled to commence production in 2012.
"We are delighted to extend our national footprint in Andhra Paradesh where Mahindra Tractors is the market leader. With its advanced technological process, large-scale manufacturing set-up and eco-friendly focus. the plant is all set to create new benchmarks in manufacturing excellence in the tractor industry," said Pawan Goenka, president, Automotive and Farm Equipment Sectors, Mahindra & Mahindra Ltd.
"Once complete, the new facility will not only add to industrial growth in the state but will also generate significant employment opportunities for local residents," he added.
The company has tractor manufacturing facilities in Mumbai, Nagpur, Rudrapur, Jaipur, Mohali and Rajkot. It also has plants overseas - 2 plants in the US, 2 plants in China and 1 in Australia.