New Holland plans new unit near Pune

Tractor manufacturer New Holland Fiat India has announced plans to set up a new plant in addition to its assembly facility in Pune. The company is scouting for land and is said to be “close to finalising” the deal. The new facility is expected to come up in two to three years, the investment figure was undisclosed.

The first tractor from the assembly facility in Pune rolled out just four months ago. At present, the company imports partly-built tractors from its European plants. The engine and gearbox for the tractor come from Cummins India and are locally assembled. “The main aim of doing this was not only to reduce the cost of the product, but to increase the availability of parts too,” said Rakesh Malhotra, managing director, New Holland Fiat India.

Meanwhile, New Holland recently signed a MoU with EID Parry to provide tractors for sugarcane farmers in Tamil Nadu. The understanding is that the machines will be purchased by EID Parry from New Holland and leased out to farmers for use during the harvest season. “This activity will involve an investment of Rs 100 crore over 2-3 years to increase the penetration of mechanisation in our areas.” He added, “Initially we are planning to reach around 15,000 farmers. Through continued usage and awareness, we expect we will be able to reach even larger sections of the farming community,” said Ravindra S Singhvi, managing director, EID Parry.