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Mahindra to observe ‘No Production Days’ at its manufacturing plants

January 20, 2014, 08:52 PM IST by Ranjan R. Bhat
Mahindra to observe ‘No Production Days’ at its manufacturing plants

Mahindra has announced that it will stop manufacturing activities at its automotive plants throughout the country to adjust production with sales requirements. The production will be halted for up to three days and will be implemented on cars and CV manufacturing units alike.

“The Company, as part of aligning its production with sales requirements, would be observing ‘No Production Days’ at the Company’s Automotive Plants for 1 to 3 days during the remaining period of January, 2014,” the company said in a filing to the BSE. “The management does not envisage any adverse impact on availability of vehicles in the market due to adequacy of vehicle stocks to serve the market requirements,” it added.

It has been a difficult year for the Indian automotive market as the annual car sales in India declined by 9.59 per cent. With a 14-month long negative streak of declining sales, this is the first time since 2002 that the industry registered a negative growth. Among those affected is Mahindra, who saw its sales drop by 26.93 per cent in December 2013 when compared to December 2012.  

Previously, Mahindra had stopped the production at its tractor production units at Rudrapur and Jaipur in March 2013 and again at its automotive plants for up to eight days in July 2013 due to plunging sales and over-production of vehicles.

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