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Rediff.com  » Business » John Deere to up Pune capacity

John Deere to up Pune capacity

By BS Reporter in Pune
November 20, 2006 10:33 IST
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Tractors manufacturer John Deere has plans to expand the capacity of its plant at Sanaswadi (Pune) by 50 per cent. The US tractors and agri-equipments behemoth may also bring in its drip irrigation products range and increase its sourcing of components from India.

The company is also in the process of increasing the number of professional at its Pune technology centre from 400 to 800.

Adel Zakaria, executive vice-president, Deere & Co (US), told mediapersons that the Indian operation - John Deere India Pvt Ltd -- will expand its capacity from 30,000 now to 45,000 in the next two years.

He did not disclose the investment the company would make for the proposed expansion.

John Deere India currently makes tractors with capacities between 40 HP and 65 HP. Senior company sources said the company may consider expanding the its capacity range but continue with the 5,000 platform on which the current products are based.

Zakariah indicated that the US parent may bring to India a range of drip irrigation products which have come to its fold after the acquisition of a company in the US engaged in drip irrigation business. 

He said the company also saw major scope in sourcing agricultural implements that go with its tractors.

"We don't make implements in the capacity range that is relevant for India, but can think of designing these at the global research facility and then develop Indian manufacturers to make them," Zakariah said. 

Pointing out to the declining number of farm labourers in India, Zakariah said the country will need efficient agricultural equipment and the company sees a role in this scenario.

The entry of big Indian corporates will lead to standardisation of farm practices.

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BS Reporter in Pune
Source: source
 

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