Monday, May 28, 2012
By Shilpa Chopra
Maruti zeros in land for its Gujarat plant
Tata took Tata Nano to Gujarat and now it is the turn of Maruti to manufacture its cars there. Maruti and its parent Suzuki have suffered a lot following the strike and work outage at the Manesar and Gurgaon plant following which production of Maruti Swift and Maruti Swift Dzire was hampered severely. Now Maruti has purchase around 494 acres of land at Hansalpur in the state capital of Gujarat. Will it be the Maruti Ertiga, upcoming Maruti Cervo, it is unclear but it is sure that Maruti will be producing the export oriented models there.
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With the increase in demand of Maruti cars and the bulging waiting period of Swift, Swift Dzire and Ertiga might has forced the car maker to hurry up things regarding the establishment of a new plant outside its home state Haryana. Notably, Maruti will be the fifth car maker that will be establishing its car plant in Gujarat after Tata, Ford, General Motors and Peugeot. As per the available information available on the internet, Maruti has purchased the land in Bechraji in Ahmedabad district contrary to the popular reports that indicated Maruti’s intention of purchasing a land in Mehsana district. However, these are initial reflections and a final approval on the purchase will be given by the state cabinet.
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It is believed that Maruti will also be setting up a research and development unit besides the production lines at the Bechraji plant and if all goes well, it will gradually shift the production of its most popular cars here. The reason for such assumption being the regular strike and labour union issues at the Gurgaon and Mehsana plant. It is said that the labor and other factors are conducive in Gujarat and the labor is also cheaper than anywhere else.