Apollo Tyres to set up 525-crore plant in AP
Apollo Tyres will invest Rs 525 crore to set up a manufacturing facility at Sri City in Andhra Pradesh, with a capacity to roll out three million tyres per month.
New Delhi: Apollo Tyres will invest Rs 525 crore to set up a manufacturing facility at Sri City in Andhra Pradesh, with a capacity to roll out three million tyres per month. The company, which on Thursday signed a memorandum of understanding (MoU) with the Andhra Pradesh government for the plant, said it would have the ground-breaking ceremony in January next year and the production would start “within a year”.
This would be the fifth plant of Apollo Tyres, which would be spread over 250 acres and would produce tyres for motorcycle, scooters and pickups. “We would have the ground-breaking ceremony in January and within a year it would be in production,” said Apollo Tyres Chairman O S Kanwar.
He further said: “This would be like an FDI (foreign direct investment) by one of our Singapore-based subsidiary company (Apollo Tyres Holdings (Singapore) PTE Ltd”. Besides, Apollo group has plans to invest in other sectors like hospitals and logistics in the State. “We intend to put up a hospital in Andhra Pradesh at its capital Amravati. Apart from that, we are looking for logistics… we have another company Apollo LogiSolutions,” Kanwar said.
The MoU between Apollo and the state government was signed in the presence of Andhra Pradesh Chief Minister N Chandrababu Naidu. Naidu said: “I am extremely pleased to announce this significant investment by Apollo Tyres to build a world-class facility in Andhra Pradesh”.
He further said that the Andhra government would continue its mission to provide best infrastructure companies to emerge at the top of the ease of doing business index.
Apollo Tyres has two plants in Kerala and one plant each in Tamil Nadu and Gujarat. The company has international manufacturing presence with one plant in the Netherlands and another facility being set up in Hungary.
