Digger maker JCB reveals plans to expand its operations in India by investing £62 million in a new construction equipment factory on a 70-acre site in Jaipur, Rajasthan. The news comes on the company’s 67th birthday.
JCB, the world’s third largest construction equipment manufacturer, on Tuesday announced the signing of a land purchase agreement for a manufacturing facility in MWCJL, Jaipur.
The total investment for the new manufacturing facility, JCB India’s fourth factory, will be approximately £62 million. JCB India other factories in the country are in Ballabgarh, Haryana near New Delhi and two plants in Pune.
The signing of the purchase agreement in Rajasthan is the latest phase of expansion for JCB India, the market leader for construction equipment in India.
Chairman of the Rocester-based company Sir Anthony Bamford, who shares his 67th birthday with the company his father founded in 1945, said yesterday: “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.
He added, “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. Following large recent investments by JCB, this is now 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. JCB is using this extensive manufacturing footprint in India to export to Africa, the Middle East and South-East Asia.
As the largest state in India, and with the pro-business approach of the state authorities, Rajasthan is fast becoming a popular destination for inward investment.
Speaking at the signing of the land purchase agreement, JCB India CEO Vipin Sondhi said: “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.”