Ashok Leyland moots new LCV project

Hyderabad: Ashok Leyland, the Hinduja group flagship, has proposed to set up its light commercial vehicle (LCV) plant in Andhra Pradesh.

Executives of the company met Chief Minister Y S Rajasekhara Reddy on Tuesday in this regard and informed him that the proposed plant would have a capacity of 1 lakh units in the first phase at an investment ranging between Rs 1,000 crore and Rs 1,500 crore.

It is also considering to double the capacity in the next phase, according to Sam Bob, secretary, industries department, Andhra Pradesh.

“Senior Ashok Leyland officials had informed the chief minister about the company’s intent to set up an LCV plant in the state and also sought land for the same. Though they have not given any written proposal to the government as yet, it was more or less clear from yesterday’s meeting that the company had made up its mind in favour of Andhra for this plant,” Sam Bob said.

The chief minister has instructed state-owned Andhra Pradesh Industrial Infrastructure Corporation (APIIC) to help in providing suitable land. The company has sought about 600 acres.

However, the company has to select a location among the three shortlisted places — Hyderabad, Visakhapatnam and Nellore.

A company team would soon finalise the location, the industries secretary said.