Bridgestone to invest Rs 80 cr in Pithampur

Bridgestone India Private Limited, a part of Bridgestone Corporation, Japan, is on an expansion spree. The company is expanding its Kheda (Pithampur, near Indore) facility with an investment of Rs 80 crore.

The company, according to a government source, plans to further expand its operations. However, a project report for necessary requirements, if any, is yet to be submitted to the state government.

Bridgestone, one of the leading manufacturers of tyres in India that carries a tag of official tyre supplier for Formula 1, is expanding its Kheda facility by another 2,500 tyres," said a top government official of the department of industries.

"The company, which has already made an investment of about Rs 400 crore and has a capacity of manufacturing 8,000 tyres a day, will augment its capacity by 2,500 tyres a day with an investment of Rs 80 crore. The expansion is on," the government official told Business Standard.

Bridgestone India, according to the official, will expand its capacity by 4,000 tyres per day with an investment of Rs 180 crore, but we are awaiting details from the company. "It is preparing a project report. They are probably entering in truck and bus radials," the source added.

Bridgestone entered Madhya Pradesh in 1996 as a joint venture between Bridgestone Corporation of Japan (BSJ) and the Associated Cement Companies of India Ltd (ACC). The commercial production started in 1998.

Bridgestone India, which manufactures passenger steel belted radial tyres, tubes and steel belted radial tyres for light commercial vehicles, became 100 per cent subsidiary of Bridgestone Corporation of Japan in March 2003. The Singhanias-promoted JK Tyres is also expanding its Banmore facility in Madhya Pradesh.

"A number of big firms are showing interest to invest in Madhya Pradesh, thanks to our investor-friendly approach, better facilities, sops and concessions. We are also making amendments in our existing Industrial Promotion Policy of 2004 to make it more investor-friendly and employment-oriented," said OP Rawat, principal secretary, department of industries.

The state government has recently constituted a sub-committee to iron out problems of industries.

The committee, after holding discussions with various industrial groups, is preparing a report to be submitted to the chief minister and his team to launch the new Industrial and Employment Policy.