Apollo Tyres stops production in flood-affected Kerala plants
Flooding in India’s Kerala state has claimed hundreds of lives since June and forced hundreds of thousands of people to leave their homes. It has also affected industry within the region. In letters sent to the BSE and the National Stock Exchange of India, Apollo Tyres reports that flooding has disrupted production at two of its tyre plants.
In its letter, dated 20 August, Apollo Tyres confirms that production at its factories in Perambra and Kalamassery has stopped due to the floods in Kerala; the to-date loss of production at the time of writing was 1,500 tonnes, and Apollo did not indicate when production would resume. The tyre maker doesn’t expect any significant loss in profit due to this pause in production and anticipates that insurance will cover the incident.
The Perambra plant has (as of 31 March 2018) an annual production capacity of 116,565 tonnes and the Kalamassery plant an annual capacity of 34,572 tonnes. Combined, the two facilities account for 26.9 per cent of Apollo Tyres’ production capacity within India.