Jyoti to move Vadodara unit to Mogar by '10

Jyoti Ltd, a diversified engineering company, had initiated the implementation of the process of shifting its Vadodara facility to a new location at Mogar, outside Vadodara.

Talking to Business Standard, Rahul Amin, Chairman and Managing Director, Jyoti Ltd, said, "We are in the process of shifting the Vadodara plant to a new location at Mogar near Anand."

Presently, the company's main plant and corporate office are located at Vadodara where it manufactures pump, motor and turbine machines. Mogar is situated approximately 30 km from Vadodara city.

"The plant will be moved to Mogar in a phased manner in the next two-three years," adds Amin. According to him, it is expected that the company will complete shifting it by the end of the 2010. However, it will continue to have its switch gear production facility at Gorwa in Vadodara.

Under the plan of shifting the facility, the company in the first phase will sell 1.35 lakh sq feet (over 3.1 acres) of land of the 15-acre land it has at its present facility in Vadodara. In subsequent phases the company plans to sale the entire 15 acre land and move plant to Mogar.

"The proceeds from the sale of the land will be used for setting up the new facility at Mogar as well as for working capital," adds Amin. According to the company, the cost of shifting will be approximately Rs 10-15 crore over a period of two years.

Jyoti Ltd already has a manufacturing unit at Mogar spread over a area of 75-acre land. Of the 75 acres of land, the company is only utilising 1/4th area by its existing facility at Mogar. The Vadodara facility will come up at the remaining land available at Mogar.

"With the shifting of our facility to Mogar, we are aiming at production expansion as well as modernisation of our facility," adds Amin.

The company has 900 employees working at it Vadodara facility and as per the company the employees have given their consent to move to the new location.