News Stocks R M Drip And Sprinklers Systems Limited Announces New Manufacturing Unit in MaharashtraR M Drip And Sprinklers Systems Limited Announces New Manufacturing Unit in Maharashtra
R M Drip And Sprinklers Systems Limited announced the setup of a new manufacturing unit under Brahmanand Pipes Private Limited in Sinnar District, Nashik, Maharashtra, approved by the Board on January 12, 2026. The facility will add 12,000 metric tonnes annual capacity, increasing overall production by 50%, and will manufacture diverse products including drip irrigation systems, HDPE pipes, and telecom infrastructure. Commercial production is expected to commence in Q2 FY 2026-27.
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R M Drip And Sprinklers Systems Limited has announced a significant expansion with the proposed setup of a new manufacturing unit under Brahmanand Pipes Private Limited in Sinnar District, Nashik, Maharashtra. The Board of Directors approved this strategic initiative during their meeting held on January 12, 2026, marking a decisive step in scaling operations and strengthening market positioning.
Manufacturing Capacity and Timeline
The new facility represents a substantial capacity addition for the company. Key project parameters include:
| Parameter: | Details |
|---|---|
| Installed Capacity: | 12,000 metric tonnes per annum |
| Capacity Increase: | Approximately 50% |
| Current Capacity Utilization: | Approximately 90% |
| Land Acquisition Completion: | February 28, 2026 |
| Construction Completion: | Q1 FY 2026-27 |
| Commercial Production Start: | Q2 FY 2026-27 |
Product Portfolio and Market Strategy
The new manufacturing unit will produce a comprehensive range of products targeting multiple high-growth end markets. The facility will manufacture:
- High-speed drip irrigation systems and equipment
- HDPE pipes for government water supply and irrigation projects
- Drainage and sewerage pipelines
- Telecom pipes and ducts
- Industrial piping solutions
- Mulching paper for modern agriculture
- Specialized micro-irrigation moulded products and accessories
- Other value-added agricultural and infrastructure products
Strategic Rationale
The company cited favorable government policies as a key driver for this expansion. With the Government of India reducing GST on many agriculture products to 5%, there has been significant demand growth from the agriculture sector. This diversification strategy aims to reduce product concentration risk while positioning the company to benefit from structural tailwinds in agricultural modernization, water infrastructure, rural development, telecom expansion, and industrial capital expenditure.
Financing Structure
The project will be financed through a mixed funding approach comprising own sources, promoters' contribution, loans and borrowings, and fresh equity investment. This diversified financing structure provides flexibility in funding the expansion while managing financial risk.
The expansion comes at a time when the company is operating at approximately 90% capacity utilization, indicating strong demand for its existing products and justifying the need for additional manufacturing capacity.
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