TAFE to invest Rs. 250 cr on expansion, product development.

Chennai-based tractor manufacturer Tractors and Farm Equipment Ltd. (TAFE) said the company would invest Rs. 250 crore by end of this financial year on expansion and development of new products.

The company, with four factories, has a capacity of around two lakh units a year, which it plans to increase to around three lakh units a year in the next two years, Mallika Srinivasan, Chairman and Chief Executive Officer, TAFE, told Business Line.

'New product development and all the processes will mean an investment of Rs. 500 crore, half of which is already on ground in the last two years, so another Rs. 250 crore will be spent by end of this year,' she said.

Srinivasan said revenue-wise, TAFE has done well at around Rs. 9,663 crore last year (till March 31) from Rs. 8,290 crore the previous year, and is expected to do better this year too.


HBL