Latest Car News in India

Friday, September 09, 2011

By Pranjal Gera

Maruti Suzuki looks to finalize the site for plant in Gujarat

Chairman of Maruti Suzuki India, R. C. Bhargava has said that the company will come up with the final decision regarding a manufacturing unit in Gujarat, by the end of next month.

He said that they are at present studying the site and the risks factors involved there. He added that the board of directors will make the final decision.

On Thursday, he, along with Osamu Suzuki (Suzuki's Motor Corp President), went to Gujarat to meet the state's Chief Minister Narendra Modi. Osamu said that it was the first time that he went to Gujarat, and that Narendra Modi has promised them with full support.

Maruti Suzuki is, at present, India's largest carmaker. But it is facing problems at its Manesar Plant, as the workers are on a strike since 29th August. This has caused the company to stop bookings for its highest selling car Swift.

The reason for the strike was the introduction of Good Conduct Bond by Maruti Suzuki's mangement, which the workers' refused to sign.

On the 11th day of strike, Maruti Suzuki was able to produce 340 units of the new Maruti Swift. The Gurgaon plant manufactured 90 units, whereas Manesar plant manufactured 250 units. Though, the company has plans to produce atleast 500 units per day, collectively from both the plants.

The bookings of the new Maruti Swift have crossed the figure of 90,000 units. It is expected that the people who have made the bookings would have to wait for a long period, as the company is production rate has slowed down significantly.

The automobile giant has plans to buy a 1,000 acre piece of land in Hansalpura, in Ahmedabad district. R. C. Bhargava stated that it may take years to start up production at the proposed site.

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