Digger group JCB is to invest £65 million in a new plant in India as the company prepares to celebrate 40 years of manufacturing in the country.

The new factory will be located in Vadodara, near the port city of Surat on the west coast, and will fabricate parts for global production lines as the company prepares to meet increased demand.

JCB chairman Lord Bamford laid the foundation stone for the new plant, which will be JCB's sixth in India, a country which has been JCB's biggest single market since 2007.

Lord Bamford said: "With major investment in manufacturing capacity in the UK and India, we are very well placed to grow our business in the future.

"This year we celebrate 40 years of JCB India and our success over those four decades is down to our continual investment.

"It's fitting that we mark the 40th anniversary with an investment in a factory which will give us enormous manufacturing capacity."

JCB India managing director Vipin Sondhi said: "For 40 years JCB has remained committed to India. The decision to build a new world-class factory at Vadodara builds on JCB's commitment to India."