Mahindra & Mahindra to invest Rs. 4000 crore to build new manufacturing plant in Tamil Nadu

Mahindra to invest on a new plant

After having the largest manufacturing facility near Pune, Maharashtra, Mahindra & Mahindra is in plans to get build its second largest manufacturing plant in Tamil Nadu, for which the company will be investing a whopping Rs. 4,000 crore. The manufacturing facility will primarily focus on the future models that the company plans to roll out.

The company will invest this amount in two stages over a period of 7 years. The Tamil Nadu Government has reportedly agreed to allocate 255 acres of land in Cheyyar in Kancheepuram district for the proposed plant. The MoU for this particular project will be signed during the Global Investors Meet that is scheduled to be held in May, this year.

Mahindra to invest Rs. 4,000 crore on new plant

“We have been promised that the land will be allocated very soon. The MoU will be signed during the Global Investors Meet (in May this year),” an Economic Times report quoted Pawan Goenka, Executive Director of Automobile Division, as saying.

“After land has been allotted to us, immediately, we will start off with the test track facility. After that we will set up the automotive factory. But, it depends on how the auto industry grows,” Goenka explained further.

Mahindra & Mahindra has been testing its new models like the U301 and S101 compact SUVs that are scheduled to be launched this year. Though the production of these SUVs might not happen in the new manufacturing facility, some share of the manufacturing could be allocated in the new facility at a later stage. Products that are likely to be manufactured from the new plant in Tamil Nadu include the P601 LCV and the W202 global MPV.

(Note: The images have been used for representation purposes only)

Source : ET Auto