Mahindra Group on Friday announced plans to establish its largest integrated manufacturing facility for automobiles and tractors in Nagpur, Maharashtra. Mahindra is committing an investment of Rs 15,000 crore over a 10-year period in Maharashtra and will acquire over 2000 acres across three locations.
The Nagpur facility will commence production in 2028.
The facility will be developed across an area of 1500 acres in Vidarbha, complemented by a 150-acre supplier park in Sambhajinagar. Once fully operational, the facility will have an annual production capacity of over 5 lakh vehicles and 1 lakh tractors, making it Mahindra’s largest integrated manufacturing footprint in the country.
The facility will support Mahindra Auto’s next-generation platforms, including the NU_IQ architecture, and will be capable of manufacturing vehicles across multiple powertrains—ICE, EV and future technologies—for both domestic and global markets. The tractor manufacturing unit will cater to growing domestic demand and key export markets.
In addition, Mahindra will acquire land in the Igatpuri-Nashik region to expand current product and engine capacities, as well as to support the growth of its Advanced Technology business.
Devendra Fadnavis, Chief Minister of Maharashtra, said: “Mahindra’s decision to establish its largest integrated auto and tractor manufacturing facility in Maharashtra is a strong endorsement of the state’s robust industrial ecosystem and progressive policy framework. This landmark investment will generate significant employment, accelerate regional development in Vidarbha and surrounding areas, and further reinforce Maharashtra’s position as a leading manufacturing hub in India.”
Rajesh Jejurikar, Executive Director & CEO, Auto and Farm Sector, Mahindra & Mahindra, said: “Designed to support our next generation of vehicles and tractors, it brings together scale, flexibility and advanced technology within one integrated footprint.“
According to Mahindra, Vidarbha region offers strong strategic advantages, including excellent road connectivity via the Samruddhi Expressway, robust rail links, easy access to key domestic and export markets, and a rapidly evolving industrial ecosystem. The supplier park at Sambhajinagar will strengthen the manufacturing value chain through closer partner collaboration, improved logistics efficiency, and enhanced localisation. It will supply components to the new Nagpur facility as well as Mahindra’s existing ones at Chakan and Nashik, stated the automaker.
The announcement was made at Advantage Vidarbha, a three-day flagship event positioning Vidarbha as an emerging industrial growth hub on India’s manufacturing map.