Ruia Group Plans Greenfield Project, Production Increases

Ruia Group company Falcon Tyres is to establish a new factory in Uttaranchal state, in Northern India, a move accompanied by an increase in production in the company’s Mysore factory. Group chairman told reporters after the company’s 83rd Annual General Meeting on June 15 that “following the establishment of the new plant about 30 km from Haridwar in Uttaranchal, and upgrading the capacity of [the] Falcon Tyres Mysore plant, the total production for two-three wheeler tyres would go up from the present 150,000 units a month to over 230,000 pieces.”

“Of these, the proposed greenfield unit entailing an investment of Rs 500 crore (₤72.7 million) would produce some 150,000 tyres while the rest would be manufactured in Mysore unit where about Rs 350 crore (₤50.9 million) would be pumped this fiscal to jack up the group’s production level,” said Ruia.

In addition, the Ruia Group intends to boost Dunlop India’s financial viability by doubling production at its Ambattur factory in Tamil Nadu state and Sahaganj plant in West Bengal. Mr. Ruia stated that “at present we are producing 30 tonnes of tyre a day in each of the facilities. We hope to raise the production to 60-70 tonnes a day by the end of this year. Once production stabilises at 30-40 tonnes, we will break even. We will make money when production reaches 60-70 tonnes a day.” Ruia added the company will achieve an Rs 5.5 billion (₤75.6 million) turnover this year “if everything goes right.”