Gurgaon November 3rd, 2011: Certain sections of media have reported on Maruti Suzuki’s decision to purchase land in Gujarat, as `moving out of Haryana and shifting its base to Gujarat’.
The Company wishes to clarify that the decision to purchase land in Gujarat is towards building additional capacity. Further it has no linkage whatsoever with the recent industrial unrest situation faced by the Company. The Company’s plan to invest in Gujarat started much before the industrial unrest situation at Manesar.
The Board of Directors approved the purchase of land in Gujarat for future capacity requirements of the Company, last week. The logistics for reaching the finished cars to the large domestic markets in West and South India and the close proximity of the Mundra port for future exports, played an important role in the decision.
The Company also clarifies that its investment plans for Haryana stay on course. These include installation of the 2.5 lakh capacity Assembly line in Manesar (Manesar C), a world class R&D Center and test course in Rohtak. The Company has lined up a direct investment of over Rs 3,400 Crores towards these facilities.
In addition to Company’s investment, its vendors and joint venture partners will continue to appropriately invest in Haryana for the future expansion.