RM Drip and Sprinklers Systems has approved a major manufacturing expansion that will lift the company’s overall production capacity by around 50 per cent, marking a significant step in scaling operations and strengthening its competitive position across key growth segments.

The Board of Directors has cleared the establishment of a new, state-of-the-art manufacturing facility at Sinnar in Nashik district, Maharashtra, through Brahmanand Pipes, a proposed wholly owned subsidiary. The new unit will have an installed capacity of about 12,000 metric tonnes per annum, substantially expanding RMDRIP’s manufacturing footprint.

The capacity addition is strategically aligned to support higher order inflows from irrigation, infrastructure and industrial markets. It is also expected to improve asset utilisation, operating leverage and margin profile, while enabling the company to capitalise on the GST reduction introduced by the Government of India in the agriculture sector. The expansion further strengthens RMDRIP’s ability to compete for large government and institutional projects.

The upcoming facility will manufacture a diversified range of products catering to multiple high-growth end markets. These include high-speed drip irrigation systems and equipment, HDPE pipes for water supply and irrigation projects, drainage and sewerage pipelines, telecom pipes and ducts, industrial piping solutions, mulching paper for modern agriculture, specialised micro-irrigation moulded products and accessories, along with other value-added agricultural and infrastructure offerings.

This broader product mix reduces concentration risk and positions the company to benefit from long-term structural tailwinds such as agricultural modernisation, water infrastructure development, rural growth, telecom network expansion and rising industrial capital expenditure.

Commenting on the expansion, Nivrutti Pandurang Kedar, Promoter and Managing Director, RM Drip and Sprinklers Systems, said, “This capacity expansion is a pivotal milestone in RMDRIP’s growth strategy. By increasing our manufacturing capacity by nearly 50%, we are building the foundation for sustained revenue growth, improved margins, and stronger execution capabilities. The new facility allows us to address multiple high-growth sectors while improving operating leverage and long-term returns for shareholders. We remain confident about demand visibility driven by government infrastructure spending and agricultural modernization.”

With execution progressing as planned, the expansion enhances RMDRIP’s long-term growth visibility and reinforces its focus on efficiency, scalability and shareholder returns.