Mahindra’s Zaheerabad facility begins small commercial vehicle production

22 Apr 2015


Mahindra and Mahindra today opened its extended automotive manufacturing facility in Telangana, which will be used for the manufacture of Mahindra small commercial vehicle, code named P601, (expected to be named Mahindra Jeeto).

Chief minister K Chandrashekar Rao inaugurated the new facility that will launch the small commercial vehicle scheduled for launch in the first half of the current financial year.

The new manufacturing facility at Zaheerabad, set up at an investment of about Rs250 crore, has an installed capacity of 92,000 vehicles per annum, and can be scaled up to meet additional demand.

The Zaheerabad plant had an original production capacity of 75,000 vehicles per annum and with the opening of the new facility, overall production capacity at the Zaheerabad plant goes up to 1,40,000 vehicles per annum.

The eco-friendly plant incorporates a water harvesting programme along with tree plantation and is a perfect Earth day offering this year.

Mahindra currently manufactures sub-one tone commercial vehicles (4 wheel load and passenger vehicles), in addition to UVs, LCVs and 3 wheelers at the plant.

The capacity expansion takes the number of direct and indirect employees to 3,500 workers across Mahindra automotive and tractor plants in Telengana.

''The Zaheerabad plant incorporates a flexible and agile approach to manufacturing in order to respond quickly to evolving customer needs, Pawan Goenka, president of the automotive and farm equipment sectors of Mahindra & Mahindra said, adding that withy current investment of over Rs1,100 crore, Mahindra is significantly invested in Telangana.

He said 6 of Mahindra's suppliers are setting up plants in the nearby supplier park at an investment of over Rs100 crore. This will benefit industrial activity and operational effectiveness resulting in timely delivery to optimise cost, he said.

Goenka thanked the state government for encouragement and support, and said Mahindra will work towards manufacturing some of the best commercial vehicles from Zaheerabad plant while also generating employment in and around the plant through suppliers and other business partners.

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