Maruti Suzuki, India’s largest car maker, is likely to sign a formal agreement with the Gujarat government for procurement of land for its greenfield manufacturing facility at Mehsana in June this year, a top executive of the company said Friday.
“The Gujarat government will hand over 600 acres of land to Maruti following the agreement. 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,” Maruti Suzuki managing executive officer (Production) M.M. Singh told reporters after launching the company’s new multi-utility vehicle (MUV) Ertiga here.
The construction work for the plant is likely to commence by 2013 and the company is confident of meeting the 2016 deadline to make the plant operative.
It will also develop a vendor park on the other 600 acres of land in Mehsana.
Almost three decades after the car major rolled out the first of its iconic Maruti 800s, Maruti is likely to cease carmaking at its Gurgaon plant and turn it into an engine-making hub as Gurgaon is getting very congested to have a car assembly plant.
Instead a new facility will be coming up in Mehsana.