Epsilon Group a leading industrial conglomerate in the carbon black and advanced battery materials industry has signed a Memorandum of Understanding (MoU) with the Government of Karnataka (GoK) to invest Rs. 15,350 crores in developing a state-of-the-art manufacturing and research facility for EV battery testing and advanced materials.
Strengthening India’s EV Ecosystem
This strategic investment planned over the next 10 years, aims to bolster India’s electric vehicle (EV) sector create thousands of jobs and strengthen India’s position as a hub for advanced battery technology.
As part of the MoU Epsilon Group along with its subsidiaries Epsilon Advanced Materials and Epsilon CAM Pvt. Ltd. will manufacture sustainable and high-performance Graphite Anode and Lithium Iron Phosphate (LFP) Cathode battery materials. Additionally, Inspire Energy Research Center Pvt. Ltd. will focus on R&D, testing, and training for EV battery materials and battery manufacturers.
Investment Breakdown
- Rs. 9,000 crores – Graphite Anode manufacturing plant
- Rs. 6,000 crores – LFP Cathode manufacturing plant
- Rs. 350 crores – Battery materials R&D, testing, and training center
The Government of Karnataka will provide the necessary approvals, incentives, and infrastructure support, aligning with its industrial development policies.
Localizing India’s Battery Supply Chain
Epsilon Group will act as a sustainable and reliable manufacturer of Graphite Anode and LFP Cathode materials, reducing dependence on imports and supporting Indian cell manufacturers in achieving higher Domestic Value Addition (DVA).
- 100% DVA for anode materials
- 60% DVA for cathode materials
This initiative will significantly enhance local value creation and supply chain localization reducing India’s reliance on Chinese imports.
Leadership Insights
Speaking on the occasion, Vikram Handa, Managing Director, Epsilon Group, said:
“This association marks a significant milestone in India’s transition towards clean energy & EV revolution. Our investment in Karnataka aligns with our vision of making India self-reliant in advanced battery materials and supporting the country’s EV ambitions. We are committed to job creation, fostering technology innovation, and promoting sustainable manufacturing to drive economic growth and strengthen the vision of Viksit Bharat.”
Building India’s Battery Hub
Epsilon Group’s Rs. 15,350 crore investment in Karnataka is a crucial step towards building a localized self-sufficient battery material ecosystem. By establishing Graphite Anode and LFP Cathode manufacturing plants along with an advanced R&D and testing center Epsilon ensures that India develops indigenous capabilities in battery technology.
This investment will:
- Secure a sustainable supply of critical battery materials for domestic and international EV manufacturers.
- Reduce import dependency, enhancing energy security.
- Support Atmanirbhar Bharat and Viksit Bharat vision.
- Foster innovation and local employment with over 2,000 direct jobs.
- Attract global OEMs and battery manufacturers looking for reliable, non-China-dependent supply chains.
With this strategic investment, Epsilon Group is set to revolutionize India’s battery industry positioning Karnataka as a global hub for EV battery materials and technology.
