Jyoti was here for signing a memorandum of understanding with the state government for an investment commitment of Rs 250 crore in the existing plant at Savli. He said the plant would have a production capacity of 24 coaches a month fabricated by three robots with the help of 600 employees.

The company has got phase one order for the Delhi Metro Rail Corporation to supply 424 car coached, of which first 36 will be airlifted from Germany in early March. The remaining 388 will be made and supplied at the Savli facility, Jyoti said.

The first order of 424 cars would be worth 530 million euros (Rs 3,700 crore), but at this juncture, it was difficult to say when the break-even point would be reached, he said.

According to Jyoti, Vadodara would be the only city in the world having the production facility of all critical elements of a train, including the body, shells and bodies besides locomotives.

A good thing about the project at Savli is the land size used for the factory. It is just 50 acres on which everything is done, which makes it a lean operation, he said.