Apollo Tyres has announced the commissioning of its new manufacturing facility in the Chittoor district of Andhra Pradesh. The new plant will see an investment of about ₹ 3800 crore in the first phase over the next year and a half, the company said in a regulatory filing. The new facility will be the brand's seventh plant globally and fifth in India. Apollo says that the greenfield factory will be using state-of-the-art technologies to enable the company to target premium OEMs and after-market customers in India. The plant employs about 850 people at present.
Commenting on the commissioning of the facility, Onkar S Kanwar, Chairman, Apollo Tyres Ltd, said, "This ultra-modern facility is a reflection of our growth aspirations and manufacturing capabilities, showcasing some of the best practices available across the globe in tyre manufacturing. This highly automated plant uses IT-driven systems and robotics and employs young and skilled associates on the shop floor, mostly hired locally. This plant mirrors the hopes and aspirations of the new self-reliant India. I would like to take this opportunity to thank the AP Government for all the support that they have extended towards setting up of this facility."
Apollo's new plant is spread over 256 acres and will see production ramp-up gradually in the next 12-18 months. As the demand improves by 2022, the plant will have a capacity to produce 15,000 passenger car tyres, and 3000 truck-bus radials per day. The new facility will have a modular layout, which facilitates minimal engineering efforts and higher economies of scale.
The new facility has been designed to meet the global environment certifications and will be equipped with roof-top solar panels in a phased manner. It also plans to make optimum use of natural light for the shop-floor with an eco-friendly power source, and a zero water discharge facility with an in-built effluent treatment plant. The manufacturing facility will put in place energy-efficient utility and process equipment, as well as environment-friendly coolants. The plant will also have a spine-line central utility corridor service for both passenger car and truck radial production, which will help reduce fatigue and improve productivity for the employees.
Furthermore, Apollo says this Manufacturing Execution System (MES) integrated plant has been set-up using 35000 tonnes of steel, and around 1.23 lakh cubic metre of concrete, with 12 million man-hours of construction work. The built-up area of this facility currently stands at 216,000 square metres.