Due to traffic and congestion problems, Maruti Suzuki is planning to set up a new manufacturing plant in Haryana, to replace its Gurugram facility
Maruti Suzuki India Ltd (MSIL) is planning to replace its manufacturing facility in Gurugram, Haryana, with a new one in the same state. The Indo-Japanese manufacturer is planning to invest around Rs. 18,000 crore for the new plant. The company is facing congestion and traffic issues with the Gurugram plant, which is why the step has been taken.
Maruti had started its operations in India with its Gurugram facility back in 1983, which rolled out the iconic Maruti 800. However, as time passed, the city developed, and it has been bustling with traffic in recent times. As such, transportation to and from the plant has become quite difficult, and the congestion caused by transportation trucks is an inconvenience for the residents and authorities as well.
Maruti’s Gurugram plant, which is spread over 300 acres, is responsible for the manufacturing of cars like the Alto, Wagon-R, etc., and has an annual capacity of 7 lakh units. The upcoming plant will have an annual manufacturing capacity ranging between 7.5 lakh and 10 lakh units.
In an interview with PTI, RC Bhargava, Chairman of Maruti Suzuki, stated “We had said a long time ago that we will shift our Gurugram plant and we will shift it close by somewhere in Haryana..so that is there,” while also revealing that the company hasn’t yet fixed a timeline for starting work on the new plant.
Also, Haryana’s new policy mandates that 75 per cent jobs should be reserved for locals, in business and factory establishments, and the carmaker is not too happy with it. Talks with the state government are ongoing regarding this. “Those issues still remain, they have not been solved so nothing has changed there as well,” he added.
Apart from the existing Gurugram plant and the upcoming facility, Maruti Suzuki has another one in Haryana, at Manesar. The Gurugram and Manesar plants have a combined production capacity of 15.5 lakh units per annum. Apart from that, Maruti Suzuki’s parent company, Suzuki Motor Corporation, has one production facility in Gujarat, which currently has a production capacity of 7.5 lakh units after its third plant started operations in April this year.