DIGGER giant JCB has unveiled plans to expand operations in India by investing £62 million in a new world-class construction equipment factory.
The Rocester-based company celebrated its 67th birthday by announcing the signing of a land purchase agreement for a manufacturing facility in MWCJL, in Jaipur.
The signing of the land purchase agreement in Rajasthan marks the beginning of a new expansion phase for JCB India, the market leader for construction equipment in the country.
The total investment for this new manufacturing facility on a 70 acre site, which will be JCB’s fourth factory in India, will be approximately £62 million.
JCB India already operates three factories in the country; one in Ballabgarh, Haryana near New Delhi and two in Pune.
JCB chairman Sir Anthony Bamford, said: “I’m delighted that JCB is celebrating its birthday by planning for the future. India is our single most important market and the long-term prospects for infrastructure growth are substantial.
“Our strategy is to carry on investing in India to keep pace with future economic growth and strengthen its position as market leader for construction equipment.
“Jaipur is a perfect location for the next phase of our expansion, especially with the opportunity to export more products.”
JCB first entered India in 1979 by setting up a backhoe loader manufacturing operation in Ballabgarh, which following a substantial investment by the multi-million pound company in recent years, is now home to the largest backhoe loader factory in the world.
JCB India also set up two new factories in Pune to manufacture components as well as tracked excavators, wheeled loading shovels and compaction equipment.
The company is using this extensive manufacturing footprint in India to export to Africa, the Middle East and South-East Asia.
Rajasthan is the largest state in India and its strategic location, particularly in terms of transport and energy infrastructure, together with the pro-business approach of the state authorities means that it is fast becoming a destination of choice for companies looking to invest in India.
Speaking at the formal signing of the land purchase agreement, JCB India managing director and CEO Vipin Sondhi said: “This is a new chapter in the JCB India growth story.
“After a decade of continued investment by the JCB Group in Ballabgarh and Pune, I’m thrilled that Jaipur will become home to the company’s next world-class manufacturing facility.
“Our strategy for sustainable long-term growth is all about ensuring our dealers and customers get the best product range and customer service in the industry. Jaipur will be central to delivering on that ambition.”