The company currently has an industrial products division at Sahagunj facility in West Bengal, the Indian Hindu Business Line Newspaper has reported.
According to preliminary estimates, the new industrial product division at Ambattur would cost 200-250 million rupees (£2.86 million). The new production line would take at least six months to be installed.
“We have identified substantial demand for industrial products, which includes a range of industrial belts. Accordingly, Dunlop is planning to set up an industrial products division at Ambattur,” said group chairman P.K. Ruia.
It has also emerged that plant salaries have been fixed at the December 2001 level. These will be increased by 100 rupees a year for three years. Meanwhile production has increased from 90 tonnes a day to 130 tonnes daily.