Carborundum Universal Limited (CUMI) has announced the commencement of commercial production at its new Cutting and Grinding Wheels (Thin Wheel) facility in Hosur, effective March 16, 2026. This strategic expansion, built using technology acquired from DRONCO GmbH, Germany, effectively doubles CUMI’s total annual manufacturing capacity from 45 million wheels to over 90 million wheels per annum. The facility required an investment of Rs. 83 crores and is expected to yield a turnover of Rs. 160 crore at peak utilization.
CUMI Doubles Abrasives Manufacturing Capacity
Carborundum Universal Limited (CUMI) has initiated commercial production at its cutting and grinding wheel (Thin Wheel) manufacturing facility located in Hosur, effective March 16, 2026. This major capacity addition represents a significant milestone, as CUMI’s total annual manufacturing capability for cutting and grinding wheels is doubled from 45 million wheels to over 90 million wheels.
The new facility integrates production lines and technology acquired in 2023 from DRONCO GmbH, Germany. CUMI envisions this Hosur unit as a Centre of Excellence for its specialized abrasive operations.
Key Financials and Rationale
The development of this state-of-the-art plant required a total investment of Rs. 83 crores (excluding land costs), financed through internal accruals. CUMI anticipates that this enhanced capacity, leveraging an automated manufacturing facility, will enable the company to capitalize on the strong growth being witnessed in key consumer industries like fabrication, construction, and general engineering.
At peak utilization, the expanded capacity is projected to generate an additional turnover of Rs. 160 crore.
Technological Edge and Market Reach
The Hosur plant features several unique attributes designed to ensure consistency and competitiveness, including a state-of-the-art mixing unit with SCADA based Process controls, automated press lines integrated with unmanned curing systems (U-Lines), and an ambient control system for raw material stability.
The products manufactured here serve both domestic and international markets. Furthermore, the plant has secured certification from the Organization for the Safety of Abrasives (oSa), confirming that the cutting and grinding tools meet the highest safety standards.
Capacity Snapshot
| Particulars | Details |
|---|---|
| Existing Capacity | 45 million wheels/Annum (Roorkee & Maraimalai Nagar) |
| Existing Capacity Utilisation (till Feb 2026) | 86% Annualised |
| Proposed Capacity Addition | 46 million wheels/ Annum at Hosur |
| Investment Required | Rs. 83 crores |
About Carborundum Universal Limited (CUMI)
Carborundum Universal Limited (CUMI) is a significant materials sciences engineering solutions provider and a key part of the 125-year-old Murugappa Group. For the financial year 2024-25, CUMI reported consolidated revenue of ₹4834 crores and a Profit After Tax (PAT) of ₹293 crores. The company operates across Abrasives, Electrominerals, Ceramics, and Refractories, serving diverse sectors globally.
Source: BSE
