Project News Detail

Project No :183289
Project Title :Tyres Production Project In India
Company Name : Tvs Srichakra
Project Detail :TVS Srichakra has planned a capex of Rs. 150 crore for the current fiscal to increase production capacity as the leading twi- and three-wheeler tyre maker gathers growth momentum both in domestic and export markets

The Rs. 2,168-crore company is ramping up its production capacity for two- and three-wheeler tyres across Madurai and Rudrapur factories. The overall production capacity has been increased to 2.7 million tyres a month during the first half of this fiscal from 2.5 million tyres in 2017-18

We will be adding further capacity during the second half of this fiscal as the market demand continues to be strong,” P Vijayaraghavan, Director, TVS Srichakra, told

The company’s expansion comes in the wake of strong two-wheeler market growth, its increasing volumes in the after-market segment and growing exports

Vijayaraghavan said TVS Tyres continued to remain the largest or preferred brand in the two-wheeler OEM (original equipment manufacturer) segment

Furthermore, the company has been strengthening its presence in the domestic two-wheeler after-market segment, where it has been recording a strong volume growth, supported by new product launches including radial tyres, large marketing and advertisement campaigns and increased channel management

In the past three years, we have been growing in the after-market segment every quarter and increasing market share. We have been very successful due to our new campaigns,” he said but declined to provide more details citing competitive reasons

The two-wheeler after-market segment is presently dominated by MRF, Ceat and TVS Tyres though the segment has seen the entry of many new players in recent years

Though Vijayaraghavan admitted that increased competition in the after-market segment had led to price pressures, he ruled out price wars or cheap imports. “There is only healthy competition among the major players,” he added

The company has started expanding its tractor/agricultural radial tyres (Tigertrac range), which was launched two years ago for Europe, due to growing acceptance. This segment will bring in more volumes in the coming years

Vijayaraghavan also said two- and three-wheeler exports, which commenced a couple of years ago, were also gaining momentum in view of the expansion of Indian two-wheeler makers to African, Latin American and South Asian markets. “We have created our own channels in these regions to grow this business,” he said

Project Location : Not Classified - Not Classified - Multi Country
Project Industry :Security Services
Project Estimation :INR 150 Cr / INR 1.5 Bn
Status :Announced