The country's largest two-wheeler maker Hero MotoCorp today commenced construction of new manufacturing plant at Chittoor in Andhra Pradesh entailing an investment of Rs 1,600 crore.
The facility, which will be the eighth manufacturing unit of the company, will have an annual installed capacity of 1.8 million units, to be achieved in three phases.
"When fully operational, this facility will take up our total combined installed capacity to 11 million units of motorcycles and scooters per annum, which is in line with our vision of surpassing the landmark 10-million unit volumes by 2020," Hero MotoCorp Chairman, Managing Director and CEO Pawan Munjal said in a statement.
He further said the company would also create a world class manufacturing eco-system in the region, with a base of globally-benchmarked vendors and suppliers, which will together generate over 12,000 new jobs, thereby accelerating the socio-economic progress in the state."
The new facility, spread over 600 acres, will generate 2,000 direct jobs and an additional 10,000 employment opportunities through vendors and suppliers in the region, the company said.
"Given the strategic location of the plant, this can also act as a key hub for the company to export its range of products from this facility to some of its key overseas markets," it added.
Hero MotoCorp has five plants in India and one each in Colombia and Bangladesh.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
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