Maruti mulls relocating 3 lakh units production to Manesar

India’s Premier Car Manufacturing Company Maruti Suzuki India aims to move the production unit of almost three lakh Maruti Cars to its two new upcoming plants at Manesar near Haryana. The present plant of Maruti at Gurgaon with three units has the capacity of producing 9.5 lakhs of Maruti cars annually. With an objective of providing suitable work space to workers and increasing the production capacity this decision has been taken up by Maruti.

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After shifting the production plant at Manesar the Gurgaon plant shall be able to produce 6 to 6.5 lakhs Maruti units annually. Speaking on this decision, Maruti Suzuki India’s, Chairman Mr. R.C.Bhargava said that the Gurgaon facility is very congested and old, therefore we need to reduce some production there. He further added that the plan is to reduce the output to 6-6.5 lakh units annually. He also said that the company is envisaging to shift the excess production to Manesar from Gurgaon. The two new upcoming plants in Manesar will have a total installed capacity of 5 lakh units, we should be able to do 7 lakh units.

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Maruti has made an investment of Rs. 3,625 crores to set up its new additional units at Manesar. At present the plant located at Manesar has produced 3.5 lakhs units of Maruti cars during the financial year 2010-11. The upcoming two plants at Manesar are estimated to produce 2.5 lakh units per annum. The company plans to start the production operation of the second  unit this year between September-October. Whereas the third plant is subjected to start operating during 2012-13.

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When Mr. Bhargava was asked about the shifting of units from Gurgaon Mr. Bhargava said, "We would like to do it as soon as we can do. It will depend on creation of new capacity and market demand." The Gurgaon Plant of Maruti apart from producing engines of its various variables also manufactures 7 lakhs units of K series engines and 4.5 lakh engines of F,G and M series. The future plans of Maruti also include the setting of its 7^th plant including the upcoming new plants of Manesar. Maruti also plans to increase its sale of 30 lakhs units annually by the year 2015-16.

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