Ford India expansion plans

Ford India is planning expansion for its Indian unit. According to the National Conference on Corporate Governance, organized by the Loyola Institute of Business Administration (LIBA), Ford India's CFO and Whole time Director, Mr G. Parthasarathy, told Business Line that the $500- million project announced in January 2008 is going as planned.

According to the reports ,nearly 70% of the investment will come from the parent company in the US as equity and the rest will be managed through internal accruals and debt by Ford India. Despite the recession period in the US there is no dearth of funds from the headquarters.

The project will be completed by early 2010. The expansion program will double its vehicle manufacturing capacity to 2 lakh units a year. The engines will be for captive consumption and exports.

Addressing the conference, Mr Parthasarathy said “Corporate governance was nothing but individual ethics and principles under the umbrella of the organization” He further said that “For organizations to demonstrate corporate governance, it is not sufficient if companies proclaim high standards. Instead they must live with them on a day-to-day basis.”

Ford is helping to align the values of corporations uniformly. The training program of the Company evaluated time to time and some are asked to repeat their module who scores less than 80%.