Deere & Co. is making new capital investments of approximately $100 million in India, to expand its tractor factory at Pune as well as to build a new plant to produce small agricultural tractors, for sale in India and export to other countries. The Moline, Ill.-based manufacturer said the investments would put it in a better position to grow in the Indian market.
"John Deere will continue to pursue opportunities to grow in our core businesses of agriculture and construction equipment around the world," stated chairman and CEO Samuel R. Allen. "We have been successful in growing our tractor market share in India and will invest to continue that success."
The site of the new factory has not been named. In addition to the existing plant at Pune, Deere maintains a joint venture with commercial vehicle manufacturer Ashok-Leyland that builds construction machinery.
Last September Deere began construction for a new grain-harvester plant in India, and it inaugurated a new plant for John Deere Water, its irrigation products subsidiary.
"India will be an important contributor as the world works to meet the growing demand globally for food production. For Deere to maintain and expand its leadership role, we must be active in many economies around the world," according to Allen.