Twenty-two months after work on it began, Mahindra Chakan, a greenfield facility set up by automaker Mahindra and Mahindra Ltd (M&M) at Chakan, was inaugurated today by the Maharashtra Chief Minister, Mr Ashok Chavan.
The plant is where the company will make its new portfolio of pick-ups, a still-to-be-launched SUV (sports utility vehicle) and its range of medium and heavy trucks made under its association with Navistar Inc, US.
Production of the pick-up Maxximo began last month, while that for the trucks will start next month. The total investment in the first phase of the venture will be Rs 5,000 crore, making this the largest single investment in the Indian auto sector.
Half of this has already been made, while the remaining will be invested over the next 18 months, Dr Pawan Goenka, President, Automotive Sector, M&M said.
Eco-friendly unit
Built as a green facility, the highlight here is the use of a cluster of 70 solar dishes that will tap the sun`s energy for eventual use in the chillers in the paint shop. This will reduce the consumption of LPG by 1,500 tonnes and that of electricity by 1.8 lakh units a year, and lower carbon dioxide emissions by 3,500 tonnes at full volume.
“This will be amongst the most eco-friendly auto plants in the world,” Mr Anand Mahindra, Vice-Chairman and Managing Director, Mahindra Group, said.
Built on 700 acres, Mahindra Chakan will have an installed capacity of producing 300,000 vehicles, including 50,000 trucks, a year. “We will manufacture all new products here, including the range that will be exported to the US,” Dr Goenka said.
The new SUV will have significant exports, he said, adding that the company expected to reach full capacity utilisation over the next three or four years.
In addition to paint shops, press shops and body shops, M&M Chakan has an engine plant that can manufacture 1,20,000 engines for utility vehicles and 40,000 engines for trucks.
The company has also allocated 71 acres for a vendor park. Six large suppliers have already set up base with place for another four. Mahindra Chakan has around 1,400 employees at present. At full capacity, it will provide 5,000 direct jobs and five times as many indirect jobs, Dr Goenka said
| NIFTY 
