The Tamil Nadu railway wheel plant set up by Ramkrishna Forgings and Titagarh Rail Systems is expected to begin bulk production this month, with the joint venture targeting full capacity utilisation by financial year 2029-30 and exports to North America, Europe and Africa.
Located near Chennai, the facility will manufacture forged railway wheels and wheelsets. The plant is expected to become Asia’s second-largest manufacturing facility of its kind. Ramkrishna Forgings holds a 51 per cent stake in the joint venture.
The facility currently has capacity to produce 110,000 wheels a year, which is planned to rise to 220,000 wheels annually when the project reaches full scale. The committed capital expenditure is ₹2,000 crore, funded through a combination of debt and equity.
Ramkrishna Forgings joint managing director Chaitanya Jalan said the company had secured an order from Indian Railways covering 25 years. The off-take agreement involves 80,000 to 100,000 wheels annually, meaning about half of the plant’s eventual capacity has already been committed for the long term.
“We have won an order from the Indian Railways for 25 years. The off take agreement is for 80,000-100,000 wheels per annum. So about 50 per cent of the capacity is already sold for the next 25 years,” Jalan told businessline. He said the company expected to fill the remaining order book with customers over the next one to two years.
The company has so far augmented capacity close to 110,000 wheels. The balance capital expenditure is expected to begin over the next six months, according to Jalan. He said the plant was expected to reach full capacity utilisation by FY30.
Exports are expected to form 25 to 30 per cent of the plant’s total revenue by the end of the current financial year, with North America, Europe and Africa identified as the main overseas markets. The company expects the facility to generate full revenue in the fourth quarter of FY27.
The plant adds a major industrial manufacturing base to the railway supply chain in Tamil Nadu, while the long-term Indian Railways agreement provides an initial demand commitment for its output. The project’s scale also links domestic rail procurement with the company’s plans to build an international customer base.
Ramkrishna Forgings operates 20 manufacturing facilities across India and Mexico. As of September 30, 2026, its installed capacity stood at 3,95,800 metric tonnes across ring rolling, forging, press and casting operations.
Jalan said the company’s wholly owned subsidiary in Mexico was expected to generate business worth $30 million to $40 million over the next five years. Sales from the Mexican plant began in January, and the facility is expected to generate $4 million to $5 million in business this year while serving North American customers.
The company reported consolidated revenue of ₹1,405 crore in the second quarter of the current financial year, up 55 per cent year on year. The Tamil Nadu plant’s next milestones are the start of bulk production, the expansion of capacity beyond 110,000 wheels and the completion of the remaining capital expenditure over the coming six months.
