Balkrishna Industries Ltd. Announces Timely Commissioning of Rs.1,000 Crore OTR Unit
- 18-Aug-2020 5:00 PM
- Journalist: Timothy Greene
India’s large cap tyre manufacturer, Balkrishna Industries (BKT Tires), has come up with an INR 1,000-crore capacity expansion project aimed at setting up a fully integrated OTR (off-the-road) radial tyre manufacturing facility at a capex of about INR 500 crore in place of its existing plant to improve its productivity. The company is setting up a large-scale all-steel OTR radial tyre unit with a capacity of 5KTPA at its Bhuj factory in Gujarat. The unit is said to be one of its kind in India and is expected to be commissioned by March 31, 2021 unless no further lockdowns are imposed due to COVID-19. The company’s expansion project is aimed at seizing the opportunity emerging out of earthmover and mining tyres segment, where there is an observed shift from bias to radial tyres. The company, which sells its products under BKT brand has recently revealed its financials for the quarter ending June wherein it has reported a downward shift in its consolidated tyre sales. The company clocked its consolidated sales at Rs 942.61 Crore, down by 31.31 % from the last quarter numbers. However, the officials confirm that the market is gaining momentum and its effects can be clearly seen in July and August.