Suzuki to Set Up a New Plant

Suzuki Motorcycle India Private Limited, fully owned subsidiary of Suzuki Motor Corporation, Japan has got quite a good number of bikes for the Indian market which mostly falls in the 125 cc category. Their 150 cc bike – GS150 is constantly being backed by good reviews from the users except that fact that it has got serious issues when it comes to the quality of service offered in the Authorized Service Centres. However, all these drawbacks are taken care by just one scooter they have in their stable which is the Access 125. The brand has proved to be a major hit among both the sexes.

Now, Suzuki Motorcycle India Private Limited has decided to adopt the expansion mode for the company by itself. The state government of Haryana has approved an INR 2,000 crore worth unit of Suzuki Motorcycles that will come up at Rohtak.

An official working with Suzuki said ‘The first phase of the project will entail an investment of INR 500 crore and will be completed in the year 2014 with an annual installed capacity of 5 lakh units.’ The work will happen in phases and there will be three phases in total for the entire work to get completed. The amount that would be spent by the company at the end of all three phases will be close to approximately 2000 crores of INR. This will help the company in boosting the output capacity to a whooping figure of 2 Mn units by the end of the year 2019, thereby proving that this is a long term project for the company.

The state of Haryana has been a hot destination for two wheeler manufacturers. The other players in the Indian market who’ve their facilities in this state are Hero MoroCorp and Harley Davidson.

Economic Times has quoted that Haryana approved Suzuki’s proposal at a meeting presided over by Chief Minister Bhupinder Singh Hooda. It was also attended by state Industries Minister Randeep Singh Surjewala and Managing Director of Maruti Suzuki S Nakanishi and other officials.

The company will commence the production from this new manufacturing facility by 2014, which is just a couple of years down the line. Mr. Nakanishi said that the 50 acre unit will provide employment to 4,000 people and generate indirect employment opportunities for thousands more in the nearby region in terms of vendor manpower, logistics providers and service industries.

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