Auto components manufacturer DCM Engineering has announced that it will invest INR 200 crore for setting up its new facility in Chennai to meet growing requirement of automotive industry. With the setting up of plant in Chennai, it also hopes to cut down the input costs, which are higher in Punjab at present.

Mr Keshav Sachdev chief mentor of DCM Engineering said that "A piece of 50 acres of land has been acquired in Chennai for setting up new facility, which will manufacture engine blocks. It will be our second plant after Ropar in Punjab."

He added that the facility, with proposed capacity of 50,000 tonnes units per annum, would be operational within 2 years and cater domestic and export markets.

Mr Sachdev said that in addition to it, the automotive market has expanded in southern states with several big companies setting up their production units in there. He added that the setting up of new unit would also enable the company to meet the requirement of the industry in south India.

DCM Engineering, post expansion, it is looking to double the turnover to INR 700 crore from INR 350 crore at present. In domestic market, DCM supplies its products to Maruti Udyog, Hyundai Motors, Mahindra & Mahindra, International Tractors Limited and Ashok Leyland etc.