Bharat Alt Fuel, which focuses on alternative fuel technology and e-mobility, will set up a greenfield unit in Tamil Nadu at an investment of Rs 250 crore to manufacture electric vehicles, batteries and motors, a top company official said on Friday.
The integrated facility spread across 40,000 square metres in Krishnagiri, around 300 kms from here, was expected to commence production in the second half of 2023.
"BAF aspires to be a catalyst for change wherever it is needed, so it makes perfect sense that we are bringing electric two-wheelers to one of the world's largest vehicle markets. Our new factory will be making all the critical components, including batteries and motors...
"Establishing a global manufacturing footprint is a practical, natural step and enables us to grow our brand, scale our business, and address climate change through inspiring sustainable transportation," its executive director Sorubh Kumar Bharti said.
According to him, the construction of the plant was expected to start in the fourth quarter of 2022-23 and the first electric scooter was expected to be unveiled during Diwali festive season in 2024.
"Of the 40,000 square metres, around 10,000 square metres will be utilised for motors and later expanded to batteries...We will be scaling up the production at the facility (gradually)," he said.
The integrated facility will be upgraded to a fully functional battery and motor manufacturing unit, thus making the product 80 per cent localised, Bharti added.
"The investments will be funded through internal accruals...We plan to unveil the product by the Deepavali festival in 2024. Initially, we will have dealerships in Chennai, Bengaluru and Hyderabad," he told PTI.
According to him, the plant will recruit 1,000 and be scaled up to 3,000 once the production has been increased. The vehicles would be sold in the domestic market and later be shipped to ASEAN, African countries, he said.
The new manufacturing facility will be owned by Bharat Alt Fuel and enable the company to meet growing domestic and international demand for electric vehicles, he said.
The company was also in the process of signing some international technological collaborations, which will enable the company to bring world-class products to the domestic market, he said.