Escorts Kubota Breaks Ground for New Greenfield Manufacturing Plant in UP

Escorts Kubota Limited has commenced the construction of its new greenfield manufacturing plant at Sector 10, Gautam Buddha Nagar, within the Yamuna Expressway Industrial Development Authority (YEIDA) area of Uttar Pradesh. The facility will be spread across 154 acres and will be developed in multiple phases as part of the company’s long-term capacity expansion strategy.

With an indicative investment of more than ₹2,000 crore, the new facility will manufacture tractors, farm implements, construction equipment and engines for both domestic and international markets. Once all phases are completed, the facility is expected to become one of the largest manufacturing sites within the Kubota Group globally.

New Plant to Expand Tractor Manufacturing Capacity

For the tractor industry, the new facility is particularly significant as Phase 1 is planned to add capacity of up to 60,000 tractors annually, along with 15,000 construction equipment units per year.

The project will include supporting infrastructure and allied facilities, with machining, assembly, testing, engine manufacturing and a mother warehouse for spare parts planned within the integrated campus.

Escorts Kubota currently has an existing manufacturing capacity of approximately 1.70 lakh tractors and 10,000 construction equipment units annually. The new facility is expected to considerably increase the company's manufacturing capacity as additional phases are developed.

The project will be funded through proceeds from the company's earlier preferential issue of shares to Kubota Corporation and internal accruals.

Facility to Serve Domestic and Global Markets

The new manufacturing campus is being developed with a focus on both India's growing demand for agricultural and construction machinery and Escorts Kubota's global business requirements.

The company said the facility will cater to domestic and global markets, while its location is expected to support distribution and exports. The site is situated near the Yamuna Expressway and close to the Noida International Airport at Jewar, providing road and air connectivity.

The location also provides access to the engineering and supplier ecosystem of the National Capital Region.

Kubota Sees India as a Global Manufacturing and Engineering Hub

Speaking about the project, Shingo Hanada, President and Representative Director, CEO, Kubota Corporation, said:

“India is one of the world’s largest and fastest growing tractor market, and it plays a significant role in Kubota’s growth strategy for the year 2030. This greenfield facility and its scale reflect the role we expect India to play. India is no longer only a market for Kubota. It is becoming a manufacturing and engineering hub for Kubota globally.”

The project is aligned with Kubota Corporation’s Mid-Term Business Plan 2030, which identifies India as one of the Group's growth drivers and outlines its intent to develop a global hub for affordable manufacturing in the country.

Nikhil Nanda Calls Plant a Defining Moment

Nikhil Nanda, Chairman and Managing Director, Escorts Kubota Limited, highlighted the scale of the investment and its importance to the company's manufacturing journey.

“Escorts began in 1944 with a simple conviction, that Indian farmers and builders deserve machinery built with the same rigour as anywhere in the world. This is one of the largest investment we have made in our own manufacturing capacity, and a defining moment in that journey. The plant will serve farmers and construction contractors across India and global markets, while strengthening the country’s position as a manufacturing hub for the world.”

Integrated Campus to Adopt Kubota Production System

The facility will incorporate manufacturing, testing, warehousing and other operations within a single integrated campus. The company also plans to introduce automation and digital quality-control systems from the beginning.

Akira Kato, Deputy Managing Director, Escorts Kubota Limited, said:

“This is an integrated manufacturing campus. Across its multiple phases, it will considerably increase our capacity from today’s levels. Machining, assembly, testing, engines and a mother warehouse for spare parts will sit on a single site. We are embedding the Kubota Production System, automation and digital quality control from day one, along with energy-efficient utilities and rigorous safety standards.”

Plant Expected to Generate Employment Opportunities

Apart from increasing manufacturing capacity, the project is expected to create significant employment opportunities in the region as different phases of the facility are developed.

YEIDA allotted the land to Escorts Kubota following a Letter of Intent with the Government of Uttar Pradesh. The plant's location near major road infrastructure and the upcoming airport is also expected to support the company's distribution and export operations.

Escorts Kubota's Manufacturing Expansion

Escorts Kubota currently manufactures and sells tractors under brands including Farmtrac, Powertrac and Kubota, along with Farmpower agricultural machinery and construction equipment.

The company's new Uttar Pradesh facility represents a major expansion of its manufacturing footprint. With 60,000 tractors per annum planned in Phase 1, the project is set to play an important role in Escorts Kubota's future tractor manufacturing strategy while supporting the company's broader agricultural and construction equipment businesses.

Once all planned phases are completed, the 154-acre facility is expected to become one of the largest manufacturing facilities within the Kubota Group globally, further strengthening India's position in Kubota's global manufacturing and engineering strategy.

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