Mahindra Group has announced plans to set up its largest integrated automobile and tractor manufacturing facility in Maharashtra, marking a major expansion of its manufacturing footprint in India. The new facility will be set up in Nagpur, with production expected to begin in 2028.
The announcement was made at the Advantage Vidarbha Summit, a major event aimed at establishing the Vidarbha region as a major industrial growth hub. As part of this long-term commitment, Mahindra will invest Rs 15,000 crore over the next 10 years in the state and acquire over 2,000 acres of land across three locations in Maharashtra.
Largest integrated manufacturing footprint for Mahindra
The upcoming Nagpur facility will be developed over 1,500 acres in Vidarbha and will be supported by a 150-acre supplier park in Sambhajinagar. Once fully operational, the plant will have an annual production capacity of over 5 lakh vehicles and 1 lakh tractors, making it Mahindra’s largest integrated manufacturing complex in the country.
The supplier park is expected to play a key role in strengthening Mahindra’s value chain by improving localisation, reducing logistics costs and enabling closer collaboration with component partners. It will supply parts not only to the Nagpur facility but also to Mahindra’s existing plants in Chakan and Nashik.
Strategic location and advanced manufacturing
Vidarbha offers several strategic advantages, including strong road connectivity through the Samruddhi Expressway, strong rail infrastructure and access to major domestic and export markets. Mahindra said the location aligns well with its long-term manufacturing and logistics strategy.
Automotive plant to support Mahindra Auto Next Generation Vehicle Platform including NU_IQ ArchitectureAnd will be able to produce vehicles in multiple powertrains – ICE, electric and future technologies for both the Indian and global markets.
The facility will include advanced automation, digital manufacturing systems and sustainability-focused processes, underscoring Mahindra’s emphasis on innovation and quality. The tractor manufacturing unit will further strengthen Mahindra’s leadership position in the farm equipment sector while catering to the growing domestic demand and key export markets.
Expansion beyond Nagpur
Apart from the Vidarbha facility, Mahindra will also acquire land in the Igatpuri-Nashik region to expand existing product and engine capabilities. This expansion will also help in the growth of Mahindra’s advanced technology business, reinforcing the company’s long-term focus on future-ready mobility solutions.
leadership comment
Devendra Fadnavis, Honorable Chief Minister of MaharashtraSaid: “Mahindra’s decision to set up its largest integrated auto and tractor manufacturing facility in Maharashtra is a strong endorsement of the state’s strong industrial ecosystem and progressive policy framework. This historic investment will create significant employment, accelerate regional growth in Vidarbha and surrounding areas, and further strengthen Maharashtra’s position as the leading manufacturing hub in India.”
Rajesh Jejurikar, Executive Director and CEO, Auto and Farm SectorMahindra & Mahindra Limited said: “This facility represents a bold step in Mahindra’s manufacturing journey. Designed to support our next generation vehicles and tractors, it brings together scale, flexibility and advanced technology within an integrated footprint. It strengthens our ability to deliver world-class products while staying true to our commitment of ‘Make in India for the World’. We are proud to further our partnership with the state of Maharashtra through this transformational investment.” Proud to deepen.
With this large-scale investment, Mahindra continues to strengthen its manufacturing base in India, positioning itself to support future growth in the automotive and farm equipment sectors while contributing to regional development and India’s broader industrial ambitions.