Escorts Kubota has announced plans to set up an integrated greenfield manufacturing facility in Uttar Pradesh which would be geared towards expanding its existing capacities to meet future growth requirements.

The estimated direct and indirect investment of the order including land is of approx. Rs 4,500 crore-plus and is to be done in phases.

The company is targeting an annual production revenue generation of over Rs 10,000 crore, with direct and indirect employment creation of more than 14,000 people at full capacity.

The company proposes to acquire approx. 250-300 acres of land and would utilise a part of this land for setting up additional tractor and engine manufacturing capacity and balance for meeting its future growth requirements.

The company will begin the implementation of the project in year 2028.

The tractor manufacturer will use the proceeds of the earlier preferential issue of shares to Kubota Corporation, Japan lying with the company and internal accruals to this end.