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Maruti Suzuki to Set up two Manufacturing Facilities in Gujarat

Published On Jan 21, 2013 10:54 AM By Vikas for Maruti Suzuki

India's largest car manufacture, Maruti Suzuki which has been planning to set up its manufacturing unit in Gujarat for quite sometime now, has now decided to set up two plans in Gujarat. Suzuki Motor Corporation after getting bancrupt in the US market, is now focusing on Asian markets, and setting up the plants in Gujarat is a decision in the same direction.

As per the ET, Suzuki Chairman Osamu Suzuki is planning a trip to India on January 24 and 25 to possibly finalise its Gujarat Plants. MSI is now directly acquiring a 480-acre plot from farmers at Ukarade and Ughroz villages in Gujarat, which is in addition to the already allotted 700 acres' of land to MSI by the govt of Gujarat to set up a facility.

Investing around 4,000 crore in the first phase in Gujarat, the company would set up a plant which will have the initial capacity of producing 2.5 lakh cars. Moreover, the company has also planned some new models for India besides exporting more cars from the exiting Manesar and Gujarat facility.

"We are looking for a second location and the land is being acquired currently. We are saturated in Haryana with no scope of expansion. We would have a similar two-location model in Gujarat that would be developed and expanded in accordance with market demand," Maruti Suzuki chairman RC Bhargava had recently told reporters.

"To avoid further complexities, the company has decided to acquire more land on its own. The acquisition would be done directly from land owners keeping in mind its future needs. Land price have already started moving north in Gujarat," the executive added.

Source: ET

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