Mahindra announces its largest integrated manufacturing plant in Maharashtra

Mahindra Group has announced a major step in strengthening India’s manufacturing ecosystem by planning its largest integrated automobile and tractor production facility in Nagpur, Maharashtra. This large-scale Mahindra group investment reflects the company’s long-term vision for mobility, farm mechanisation, and global expansion.

The announcement was made during the Advantage Vidarbha industrial event, which highlights the Vidarbha region as a fast-growing manufacturing destination in India.

Massive Investment and Production Timeline

Mahindra will invest ₹15,000 crore over the next 10 years to develop advanced manufacturing infrastructure across Maharashtra. The upcoming Nagpur facility is expected to begin production by 2028, making it one of the most important future hubs for the company.

The integrated plant will be developed across 1,500 acres in Vidarbha, along with a 150-acre supplier park in Sambhajinagar to support component manufacturing and logistics efficiency.

Strong Tractor Sales Creating Need for New Plant

During the retail YTD period (Apr’25–Jan’26), Mahindra and Swaraj together recorded 3,72,735 tractor sales, almost matching their FY’25 total of 3,73,624 units, despite FY’26 still having two months left.

On the wholesale front, Mahindra & Mahindra Ltd. combined tractor sales reached 4,47,235 units during Apr’25–Jan’26, already surpassing their FY’25 (Apr’24–Mar’25) total of 4,24,641 units, with two months of FY’26 still remaining.

This sustained rise in retail and wholesale demand highlights the growing future requirement for tractors, which is why Mahindra is moving ahead with a new large-scale integrated manufacturing facility to ensure timely supply and support long-term market demand.

Production Capacity of Vehicles and Tractors

Once fully operational, the new facility will deliver large-scale production:

• More than 5 lakh vehicles annually
• Around 1 lakh tractors per year

This will make the Nagpur complex Mahindra’s biggest integrated manufacturing footprint in India, significantly boosting both automotive and farm equipment output.

Strategic Importance of the Vidarbha Region

Vidarbha offers several advantages for industrial growth:

• Strong road connectivity through the Samruddhi Expressway
• Reliable rail transport network
• Easy access to domestic and export markets
• Rapidly developing industrial ecosystem

The supplier park in Sambhajinagar will also supply components to Mahindra’s existing facilities in Chakan and Nashik, improving localisation and reducing logistics costs.

Support for Next-Generation Vehicles and Advanced Tractor Manufacturing

The upcoming automotive unit in Nagpur will support Mahindra’s next-generation vehicle platforms, including ICE vehicles, electric vehicles, and future powertrain technologies. The facility will operate with advanced automation and digital manufacturing, ensuring high quality, efficiency, and sustainable production.

Strengthening Mahindra’s global leadership in tractor manufacturing remains a key priority. This expansion will enhance the company’s position in the global farm equipment market while effectively addressing growing domestic demand and rising export opportunities.

Expansion Plans Beyond Nagpur

Mahindra also plans to acquire land in the Igatpuri–Nashik region to expand:

• Product manufacturing capacity
• Engine production capability
• Advanced technology operations

In total, the company aims to secure over 2,000 acres across three locations in Maharashtra to support long-term industrial growth.

Boost to Employment and Regional Development

This landmark investment is expected to:

• Generate large-scale employment opportunities
• Accelerate economic development in Vidarbha
• Strengthen Maharashtra’s position as a manufacturing hub

The project aligns with India’s broader Make in India vision and supports the country’s push toward advanced mobility and agricultural mechanisation.

Mahindra’s Vision for Future Mobility and Farming

With this new integrated manufacturing complex, Mahindra is moving forward with a clear focus on:

• Innovation-driven mobility solutions
• Sustainable manufacturing practices
• Global competitiveness in tractors and vehicles
• Rural prosperity through farm mechanisation

As the world’s largest tractor manufacturer by volume, Mahindra continues to invest in technologies and infrastructure that support farmers, industries, and global markets.