Escorts Kubota Ltd. has canceled its plan to build a new manufacturing facility in Ghiloth, Rajasthan. The decision was due to the location not meeting essential criteria for a large-scale project. The company had planned to invest up to Rs 4,500 crore over the next three to four years for this plant.
Escorts Kubota had expressed interest in acquiring land in Ghiloth and had submitted an Expression of Interest to the Rajasthan State Industrial Development and Investment Corp. However, after assessing the location, the company concluded it did not meet key requirements, such as adequate industrial water supply.
Despite this, Escorts Kubota remains committed to setting up an integrated greenfield manufacturing facility and is exploring other locations, including options within Rajasthan. The new plant aims to double the company’s domestic tractor production capacity to 3.4 lakh units annually and add new engine and construction equipment lines.
Currently, Escorts Kubota’s main plant in Faridabad produces 1.7 lakh tractors and 1.5 lakh engines annually, with Kubota engines being imported.
