Gujarat gears-up to become car manufacturing hub of India

Wednesday 05 October 2011, 16:42 PM by Vikas Yogi

The state of Gujarat is gearing up to become an industry hub soon with a number of international car makers having shown their interest in opening their new manufacturing plant in the state. Taking the opportunity with both hands, Chief Minister Narendra Modi led government of the state is leaving no stone unturned in offering complete support and cooperation to the auto giants.

The international auto giants including PSA Peugeot and Ford Motors are all set to invest a whopping sum of nearly $2 billion to set-up their new plants in the State. Adding to the excitement of the government of the state, Maruti Suzuki has almost finalized everything to set-up their new plant in Gujarat. In a recent statement, R C Bhargava, Chairman at Maruti Suzuki, said, "When more states compete for investments, then more states will become states where people want to go. This is a good thing."

The major factor behind the decision of these leading car makers to set-up their facilities in Gujarat are include a pro business environment in the state. Moreover, the shifting of Tata Motors Nano manufacturing facility from Singur in West Bengal to Sanand in Gujarat has further strengthened the industrial hub image of the state.

In a recent statement, Michael Boneham, who heads the Indian operations for Ford, said "You have a pro-business environment from the Gujarat government focused on getting companies like us to come in." Ford will be neighboring Tata Motors in Sanand, where it will commence production by year 2014.

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