Ford India sets new manufacturing unit at Sanand and aims growth in subcontinent

Tuesday 27 March 2012, 11:08 AM by

Ford India, the wholly owned subsidiary of Ford Motor Company, is establishing a new US$1 billion state-of-the-art production unit at Sanand and is foreseeing growth opportunities in the subcontinent. In an event on 22nd March 2012, the company laid its foundation stone at the paint shop area of its new production unit. This unit will complete in 2014 and will have the capacity to produce extra 270,000 engines and 240,000 vehicles each year.

The event commenced at a 460-acre site in Sanand and was witnessed by Michael Boneham, President and Managing Director, Ford India. He was joined by Maheswar Sahu, Industry Secretary, government of Gujarat and Felix Guillen, Executive Director of manufacturing, Asia Pacific & Africa region, Ford Motors.

Ford India sets new manufacturing unit at Sanand and aims growth in subcontinent  |
Ford India sets new manufacturing unit at Sanand and aims growth in subcontinent

Michael Boneham, President and Managing Director, Ford India, said in the ceremony, “Today we lay the foundation for Ford’s continued expansion in India, and plant the seed for a brighter future for our employees, suppliers, dealers and customers, and for the people of Gujarat and India. With this new state-of-the-art Ford Integrated Manufacturing Facility for Sanand, we are committed to significantly increasing our manufacturing output and aggressively expanding our business in India. The vehicles and engines produced at Sanand with India-based, world-class suppliers and partners, will add greatly to the full range of exciting, safe and fuel-efficient vehicles available to Indian customers at tremendous value.”

The world class assembly unit will be incorporated with high-end features to sustain stamping, paint, body assembly, trim and final assembly of the vehicles. The paint shop will operate Ford’s 3-Wet technology paint processes and eco friendly rotational dip technology, dramatically improving paint quality, durability and depth, as well as drastically reduce the CO2 emissions, Volatile Organic Compounds and waste materials.

During the foundation stone ceremony, Ford's Guillen commented, “Ford is very proud to invest in India during these momentous times of rapid development, economic growth and profound change for India. Both in Chennai and in Sanand, Ford will create a lasting investment, not just in the physical manufacturing facilities that will be constructed here, but an investment in our workforce themselves and in their communities, our suppliers and our partners, in Gujarat and across India."

So far, total investment made by Ford Motors in India is around USD 2 billion. Till the finishing of Sanand unit, this investment is likely to expand by the end of 2014. In addition to this, it will also reduce unemployment because the new production unit will create 5000 direct jobs opportunity and will also generate thousands of indirect jobs in the industrial area of Gujarat. In order to allocate maximum sourcing of parts from local area, the company has already grabbed the attention of 19 optimum level supply commodities, which will produce components in a close proximity to the Ford’s Sanand unit.

In order to strategically compete in the dynamic India auto industry, Ford recently revealed its EcoSport at the mega event of 2012 Delhi Auto Expo. At this event, the company also announced that it will introduce 8 new cars in the Indian market by the mid-decade. This league was started with the launch of All-New Fiesta, which was unwrapped in July 2011. With its appealing features, the car was able to pull the masses and thus, generated brilliant interest within the Indian buyers. The leadership of Ford India indicates that the launch of high-end cars from the company’s platform will consolidate its position in existing segments of the Indian auto industry.

Ford India was established in 1995 as a sub division of Ford Motor Company. The company is engaged in distributing and manufacturing engines and automobiles, which are produced at its Maraimalai Nagar, production unit near Chennai. In current scenario, the car portfolio of Ford Motors in India includes Figo, Classic, Endeavour and the recently introduced Fiesta.

Along with this, the business operations of Ford Motors in India also include Global Business Services, which comprise Ford Technology Services India and the Ford Business Services Centre. Both of these units are located in Chennai and Coimbatore, and are engaged in supporting Ford globally in the field of accounting and finance, Information Technology, financial services as well as automotive operations support, global analytics and engineering services. The operations of Ford employ around 10,000 dedicated men and women throughout the country.

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