The plant with a capital outlay of Rs 542 crore will be set up in a phased manner over the next five years, with phase 1 commissioning in Q2 FY26.
10 Apr 2024 | 4532 Views | By Autocar Professional Bureau
Tier 1 major Uno Minda has marked a significant milestone with the groundbreaking ceremony of its upcoming greenfield passenger vehicle (PV) alloy wheel plant with a capacity of 120,000 wheels per month at IMT Kharkhoda, Haryana. The groundbreaking ceremony was graced by esteemed dignitaries, including the company's OEM customers, government ...
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Tier 1 major Uno Minda has marked a significant milestone with the groundbreaking ceremony of its upcoming greenfield passenger vehicle (PV) alloy wheel plant with a capacity of 120,000 wheels per month at IMT Kharkhoda, Haryana. The groundbreaking ceremony was graced by esteemed dignitaries, including the company's OEM customers, government officials, and Uno Minda's senior management.
The plant with a capital outlay of Rs 542 crore will be set up in a phased manner over the next five years, with its first phase getting commissioned in Q2 FY26.
Uno Minda had recently secured an allotment of a strategic land parcel of 94.32 acres at IMT Kharkhoda, Haryana HSIIDC, to fuel its ongoing and future expansions. A part of this land - around 25 acres has been designated for this greenfield alloy wheel plant. The company says its proactiveness in acquiring the land and commissioning the greenfield project demonstrates its commitment to staying ahead of the curve in the rapidly evolving Indian automotive landscape.
Interestingly, Haryana's IMT Kharkhoda is evolving as a thriving industrial centre with India's largest carmaker - Maruti Suzuki India - undertaking the construction of its 250,000-unit capacity plant slated for commissioning in CY2025. Several automotive component makers, including the likes of Uno Minda and Jay Bharat Maruti, too have started laying foundation stones for their upcoming plants in this industrial township.
The authorities are further boosting the region by offering streamlined clearances under one roof. The company says the location offers it logistical advantages for sourcing and supply with its various suppliers and customers at the Industrial Township as well as in the vicinity.
Considering the growth prospects as OEMs announce large capacity expansions, Uno Minda says it is also strategically aligning its own growth trajectory. The company has been proactively securing land parcels in all major auto hubs across the country in to be ready to meet the growing demand from OEMs. In CY23, the company had acquired 86 acres of land at Khed City Industrial Park, Pune followed by recent acquisition of 37 acres in Hosur Tamil Nadu and 94.32 acres in IMT Kharkhoda Haryana. The Company is also in process of acquiring land parcel in Gujarat.
As per Uno Minda, these acquisitions also mark a shift in its strategy, moving from buying pocket of land as per the exact requirement every time we expand to buying a large plot of land to meet current and as well as future needs. This revised strategy offers two key advantages. Firstly, Uno Minda avoids delays associated with land acquisition by having readily available land, enabling a quicker response to growth opportunities. Secondly, larger plots allow for building bigger plants and consolidating existing ones, leading to improved operational management and economies of scale.
According to Nirmal K Minda, CMD, Uno Minda Group, “Over the past two decades, our company has achieved sustained growth, resulting in multiple plants at various locations. To propel ourselves to the next leg of growth, we are embarking on a strategic expansion plan. This plan involves the establishment of large-scale, technologically advanced megafactories alongside the consolidation of existing facilities for enhanced operational efficiency and economic optimisation. As part of this plan, we started construction of mega 4W lighting in Pune Khed city last year and now groundbreaking for the 4W Alloy wheel plant at IMT Kharkhoda."
"We remain firmly optimistic about the long-term prospects of the industry and are committed to contributing to the “Aatmnirbhar Bharat” initiative through the domestic manufacturing of cutting-edge technologies," he said.