Maruti will save Rs 4000 per car through Gujarat plant

Ahmedabad, 14 April, 2012

Speaking to Business Standard, MM Singh, Maruti’s Managing Executive Officer said that Maruti Suzuki plans to export a large share of production from its proposed Gujarat plant as according to the company estimate the proximity of Mundra port will save as much as Rs 4,000 per car on logistics cost.

“The Gujarat factory will focus on export. The proximity of Madura port will help us to save about Rs 4000 per car. This will be huge boost for our export business,” he said adding that all models which have high demand from overseas are likely to be produced in Gujarat factory.

“Gujarat government will hand over 600 acres of land to Maruti following the agreement(likely in June this year). The balance 600 acres will be privately acquired by us. The process is on. We are expecting to get hold of the land by June,” Singh said.

Maruti will also develop a vendor park in the plant area.The construction work in the plant is likely to begin by next year and the company is confident of meeting 2016 deadline to make the plant operative.

Full report here