- Mahindra had bought 255 acres land in 2015 from TN govt
- About Rs 4,000 crore to be invested for testing and manufacturing facility
Mahindra is in the final stages of engineering their all-new testing facility in Cheyyar and would commence building it soon. Mahindra had bought the 255 acres of land from the Tamilnadu government back in 2015 to set up testing as well as a manufacturing facility.
This testing facility will be the proving grounds for all Mahindra vehicles and might include courses for the commercial arm as well. To be a comprehensive testing facility, Mahindra has been engineering it to cater to all kind of future products as well. According to Pawan Goenka, MD Mahindra and Mahindra, the test track should be completed within the next 30 months which takes us to a 2020 deadline.
As for the manufacturing facility, Mr Goenka said that it will depend upon the capacity fulfilment of the Chakan plant. As of now, spare capacity is still available at the Pune plant and when the volumes increase beyond the capacity of this existing facility, then the work on the new facility will begin.
With aggressive plans to take over Tata Motors, primarily in the commercial vehicle sector, Mahindra expects to build the volumes. If the construction of the new manufacturing plant begins in 2021, it should be ready in a couple of years after.