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RPG Group considers tyre plant, other investments in Madhya Pradesh
Economic Times, 9 Oct '26Headlines 9 Oct 2026
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RPG Group is considering establishing a greenfield tyre manufacturing plant in Madhya Pradesh, with Jabalpur, Ratlam and Sagar under consideration as potential locations.
The group is also evaluating additional investment in its engineering, procurement and construction (EPC) business, as well as opportunities in power transmission and information technology (IT), with Ujjain being considered for a possible IT project.
These proposals were discussed during a meeting between Madhya Pradesh Chief Minister Dr Mohan Yadav and RPG Group Chairman Harsh Goenka at the 'Dialogue on Investment Opportunities in Madhya Pradesh' event in Mumbai.
The Rama Prasad Goenka Group, commonly known as RPG Group, is an Indian industrial and services conglomerate headquartered in Mumbai. It already has a manufacturing facility in Jabalpur.
"We are looking at a fresh investment; we already have a plant there in Jabalpur. So we want to expand. And we are looking at a tyre plant possibility over there," Goenka told media sources.
When asked about the proposed tyre plant's investment value and production capacity, he said that the details were still being worked out and that no decisions had been finalised.
Jabalpur, Ratlam and Sagar Under Consideration for the Tyre Plant
RPG Group is considering establishing a tyre manufacturing unit in Madhya Pradesh, with Jabalpur, Ratlam and Sagar identified as potential locations. Factors under consideration include the state's geographical position, access to raw materials, industrial infrastructure and workforce availability.
The group is expected to assess industrial facilities and other requirements at the potential sites before making a final decision. The investment amount, plant capacity, location and implementation plans have not been confirmed.
A new tyre manufacturing plant could create direct employment and generate demand for related services, including logistics, transport, maintenance, suppliers and other allied activities. The facility could also contribute to manufacturing and distribution activities in Madhya Pradesh. The proposed facility forms part of RPG Group's investment plans in Madhya Pradesh. Further assessments are required before the group confirms the location, investment amount and production capacity.
Power Transmission Investment in Jabalpur
The discussions also covered RPG Group's interest in investing in the power transmission sector in Jabalpur. Electricity transmission infrastructure is required to supply power to manufacturing clusters, urban areas and new industrial facilities.
The group and the state government discussed the possibility of establishing additional industrial facilities, taking into account Madhya Pradesh's geographical position, workforce and existing infrastructure. Investment in transmission infrastructure could increase the electricity network capacity available to businesses and large projects.
RPG Group operates in the state through its infrastructure business. KEC International, an RPG Group company, has worked on power transmission infrastructure in Madhya Pradesh, including the Neemuch Inter-State Transmission System.
Ujjain Considered for IT Investment
Information technology was another subject discussed during the meeting, with Ujjain identified as a potential location for investment. An RPG Group team is considering visiting prospective sites to assess their infrastructure and commercial suitability.
The IT Built-up Park in Ujjain, which offers plug-and-play facilities, was discussed as a possible location. Such facilities provide ready-to-use infrastructure for companies establishing operations. An IT investment in Ujjain could create employment opportunities for skilled professionals and young people and support businesses involved in technology, services and digital solutions. Establishing IT operations outside the state's major urban centres could also distribute economic activity across a wider area of Madhya Pradesh.
State Government Support for Proposed Projects
The meeting addressed requirements for advancing the proposals, including land availability, regulatory approvals, investment incentives and assistance through Madhya Pradesh's single-window clearance system.
The discussions focused on identifying investment proposals and suitable locations for further assessment. Industrial infrastructure and approval processes are among the factors that can influence decisions on manufacturing and infrastructure projects.
The next steps are expected to include site assessments, feasibility studies and evaluations of the necessary approvals before investment decisions are made. These assessments will also help determine the requirements for the proposed tyre manufacturing plant and the other projects under consideration.
RPG Group's Existing Presence in Madhya Pradesh
RPG Group has operated in Madhya Pradesh since 1951 through RPG Transmission.
Its business interests include infrastructure, mobility, tyres, information technology, pharmaceuticals, energy solutions and emerging technologies. Major group companies include KEC International, CEAT and Zensar Technologies. RPG Group operates in more than 135 countries across six continents, with businesses in infrastructure, manufacturing and technology. Its existing operations and infrastructure projects in Madhya Pradesh form part of its current presence in the state.
Potential Economic Impact for Madhya Pradesh
The proposed investments cover three sectors: tyre manufacturing, power transmission and information technology. A new tyre manufacturing facility could expand the state's manufacturing capacity and generate employment across its supply chain. Investment in power transmission could support electricity supply for industrial and urban development, while an IT project could create jobs for skilled workers and contribute to the state's technology sector.
The proposed locations also have implications for the geographical distribution of investment. Projects in Jabalpur, Ratlam, Sagar and Ujjain could spread economic activity across different parts of Madhya Pradesh.
All the proposals remain under consideration. The next steps involve assessing potential sites, establishing project feasibility and determining investment and infrastructure requirements. The results of these assessments will determine whether RPG Group proceeds with the proposed greenfield tyre manufacturing plant and the other investments in Madhya Pradesh.
