Escorts Kubota withdraws plan to set up new plant in Rajasthan
Escorts Kubota will not set up a new plant in Ghiloth, Rajasthan. The company says that this area is not able to meet the key requirements of the project.
Agricultural equipment manufacturing company Escorts Kubota Limited has withdraws its plan to set up a new plant in Ghiloth (Alwar), Rajasthan. The company was considering setting up a new manufacturing plant in this area of Rajasthan, but due to water shortage and non-fulfillment of other requirements, the company had to withdraw from this plan.
In the information given to the Bombay Stock Exchange, Escorts Kubota Limited said that the company had sent an offer for proposal (EOI) to Rajasthan State Industrial Development and Investment Corporation (RIICO) for proposed land acquisition to set up a new manufacturing plant in Ghiloth, Rajasthan. But after a detailed evaluation of the location, the company came to the conclusion that this place is not suitable for a big project. Therefore, the company has decided to withdraw this proposal.
Escorts Kubota Limited says that it is committed to setting up an integrated manufacturing plant and will continue to search for alternative places in other states including Rajasthan.
Ghiloth Industrial Area in Alwar district of Rajasthan is being developed on the lines of Neemrana. This region is getting the advantage of being near Delhi-NCR and Delhi-Mumbai Industrial Corridor but there are many other problems including water problem. Escorts Kubota Limited is working on a plan to invest Rs 4500 crore in the next three-four years for its new manufacturing plant. Through this, the company will double its tractor manufacturing capacity.
