Mahindra & Mahindra on Wednesday launched its manufacturing facility at Zaheerabad in Medak District of Telangana State.
The facility will manufacture Mahindra’s new small commercial vehicle, code named P601.
The new vehicle is scheduled to be launched by September. The automotive division of the $16.5 billion Mahindra Group said it has invested Rs.250 crore on the extended manufacturing facility.
The addition brings a new production capacity of 92,000 vehicles per annum. Post the extended facility opening, the overall plant capacity is 1.40 lakh vehicles per annum.
The automotive plant in Zaheerabad will manufacture sub one tonne commercial vehicles, which includes 4-wheel load and passenger vehicles. These would be in addition to utility vehicles, LCVs and 3-wheelers currently being manufactured here, the company said.
President and Chief Executive (Automotive) of M&M Ltd. Pravin Shah said that the company would help generate employment in and around the plant either directly or indirectly through suppliers and other business partners. “In fact six of our suppliers are currently setting up plants in the nearby supplier park, with investments of over Rs.100 crore. This will further maximize industrial activities and operational effectiveness, leading to just in time delivery for optimising costs”.
The tractor plant of the group at Zaheerabad was set up in 2013 and 3,500 units are manufactured a month at the facility. Besides Zaheerabad, Mahindra has five automotive plants in other parts of the country.