Gujarat Auto Industries Thread

[gandhi.rushabh1992]

Its always good to see foreigners in Indian costumes (for a change!!)

[tryindiffdrugsngirls]

what indian costume? only the dot and turban is Indian lol

[gandhi.rushabh1992]

Anything Indian is good to see...

[gandhi.rushabh1992]

Will Maruti double its production in Gujarat?

Market abuzz with news that Japan-based carmaker plans to raise production capacity from the proposed 2.5 lakh to 5 lakh per year at Hansalpur unit

Source


India’s biggest car-maker Maruti Suzuki may double the capacity at its proposed manufacturing car plant in Gujarat because of the deadly labour unrest at its other factory in Haryana. There is a buzz in the Indian market that the Japan-based Suzuki will produce 5 lakh unit cars against the proposed 2.5 lakh units at Hansalpur plant in Mehsana. However, ambiguity arises as highly placed sources in the firm as well as the state government denied this news.

The Gujarat plant will be the first for Maruti outside Haryana, where a riot by workers last month at its Manesar factory led to the death of a manager and injury to 96 supervisors. Last month’s violence at the plant near New Delhi, was the worst since Maruti cars started rolling off assembly lines in India in 1983. The Indian unit, the country’s largest carmaker by sales, lost $9 million a day during a subsequent 21-day plant shutdown, which ended earlier in the week, analysts estimate.

Speculations about a sense of urgency to start operations from Gujarat got strong after Suzuki Motor Chairman Osamu Suzuki met Chief MinisterNarendraModi.Marutiisinvesting Rs 4,000 crore at Hansalpur, about 110 km away from Ahmedabad, to build the factory. The company in its agreements with the state government has planned to begin the operations by 2015-16 and produce 2.5 lakh units’ cars initially.

The Indian market is crucial to the Japanese company’s fortunes as it reportedly contributes one-third of its pre-tax profit and accounts for half of its production outside Japan. However, a senior Maruti official denied such a development. “Currently, the Manesar plant produces 6 lakh cars while its full production capacity is 8 lakh. The firm is planning on tapping the plant’s full potential. For Gujarat, we are sticking to our proposed plan of producing 2.5 lakh cars initially. If market conditions are favourable, we may increase the capacity later.”

Principal Secretary (Industries) Maheshwar Sahu said, “As per the MoU, Maruti will produce 2.5 lakh unit cars at the Mehsana plant initially. We do not know anything about the plans to produce 5 lakh cars. It is their company decision.”

Gujarat’s longest coastline allows easy exports and hence the state has emerged as an automobile hub. So far players like US-based General Motors and Ford Motors, Tata Nano and French car-maker PSA Peugeot have proposed to produce cars in Gujarat and some have begun operations, too.

[CivilEngineer079]

Bosch Rexroth's Sanand facility to be ready by Dec

Bosch Rexroth (India) Ltd, a part of German automation firm Bosch Group, expects completion of its production facility in Sanand, Gujarat, by November or December this year, according to VK Viswanathan, managing director, Bosch Ltd.

The facility, which would cater to industrial applications, is coming up with an investment of around 21 million Euros and the production is expected to start by the first three months of 2013.

Bosch Rexroth, which specialises in drive and control technology, has been producing hydraulic components at Ahmedabad in a leased facility. The company is planning to shift the operations from the existing plant at Ahmedabad to the new plant, once the works are completed.
“We are coming up with a state-of-the-art production plant in Sanand for drives and control systems for industrial application. Currently, Bosch Rexroth has a facility in a leased property and we will be shifting it to the new facility. This should be completed by the last quarter of this year,” said Viswanathan.

The new plant would manufacture hydraulic valves, power units and control blocks as well as cylinders, which are used in industrial applications.

By creating value locally, it would increase its market in the country, said company officials. Bosch Rexroth has been producing hydraulic components in Ahmedabad since 1976, initially in a joint venture.

Bosch Rexroth (India) posted a sales of Rs 611.3 crore in 2011, according to the company website. It has a customising unit in Bangalore for power units, pneumatic panels, cabinets and cylinders among others and sales offices in cities including Ahmedabad, Bangalore, Chennai, Kolkata, Jamshedpur, Mumbai, Pune and New Delhi.

Meanwhile, Bosch Ltd, the automotive component manufacturing arm of the Bosch Group in India, would invest Rs 500-600 crore per annum in India as announced earlier, said Viswanathan. He said the current grim market conditions had reflected on the company’s April-June results, but it was expecting a higher growth in the coming months, during the festival season.

[arun82]

Peugeot Citroen surrenders its right to Sanand land meant for Rs 4,000-cr facility

http://economictimes.indiatimes.com/...w/16468050.cms

NEW DELHI: French carmaker, PSA Peugeot Citroen has surrendered its right to a 600-acre tract of land at Sanand, Gujarat, an upcoming auto hub, where it planned to set up a Rs 4,000-crore manufacturing facility.

The move follow its decision to focus its resources on its flagship venture closer home which is in the midst of battling its worst ever financial crisis in its century old existence. It has kept its India plans in 'indefinite abeyance'.

Peugeot Citroen Europe's second-largest carmaker after German Volkswagen AG has defaulted on its periodic payments to the Gujarat government as it shelved its initial 1.70 lakh capacity green field plant along with putting on hold all future plans, three persons close to development said. The company had signed a State Support Agreement (SSA) with the Gujarat government in September last year for setting up the plant with 3.4 lakh cars by 2016. Gujarat Industrial Development Corporation (GIDC), the nodal agency for allotting land for industries in Gujarat confirmed the development in Peugeot Citroen's local subsidiary. "All their plans for India are on hold as of now," said M Sahu, MD of GIDC. While senior officers in the government said that the SSA for allotment of land to Peugeot Citroen has been scrapped.

Paris-based Peugeot had benefited from the government policy of incentivising investors of projects worth Rs 1,000 crore or more. Gujarat had charged Rs 900/square metre to Tata MotorsBSE 0.60 % for 1,100 acre facility putting the estimated land cost of land at Rs 400 crore. In case of Ford, the price was Rs 1,200/square metre for the 400 acres, which translates into roughly Rs 225 crore.

The French carmaker that had proposed to make the Sanand plant its manufacturing hub for India and export of right-hand driven car to ASEAN nations and Australia now will not make any investment in India in the next three years as all its resources are being mobilized to turnaround the Europe operations, a person who had worked closely with Indian subsidiary said. "There are no commitments for India right now. All the 'turnaround strategies' are centered around Europe, its principal market and it seems India is off the radar at least for the next three years. Any possible review of India plans seems only around 2015-16, after the results of Europe's revival plan" the same person said.

According to two sources in the automotive industry, the staff at Peugeot India has also come down drastically with most of its 15 persons on its rolls exiting the company. Besides all the Indian related activities like products clinic trials for its cars had been scrapped earlier and all these test cars shipped back to Europe. Peugeot Citroen had originally planned to roll out its flagship mid-size sedan Peugeot 508, which was to be locally assembled at Sanand by 2014 and then move to smaller B-segment hatchbacks like the Peugeot 3008

[gandhi.rushabh1992]

This was expected...Peugeot finally exits from India. R.I.P

[GJ10]

Yeah, looking at how Peugeot was doing in Europe, this was likely to be the case even 6months ago. On the brightside, there is 600acres of prime land for Auto sector just waiting for some other company to snap it up.

Part of me thinks that this land has actually already been allotted to another company which will be announced at VGGIS13

[gandhi.rushabh1992]

If the land has already been auctioned to some company then it wont hurt Modi if he announces it in public, what with Congress giving out one bogus schemes after other, he needs all the goodwill and positive publicity he can get. Narendra Modi is not designed to fight with lowlife such as Congress. He does not deserve Congress even as an enemy...

[GJ10]

Announcing anything now would only detract from the impact of announcing at a Vibrant Gujarat summit. Congress shouldnt really figure in the reasoning.

Generally any deals that have been arranged in the prev 9months or so will only be kept under wraps until Vibrant Gujarat. A few Auto companies, including Mahindra, Volkswagen, Volvo, Toyota and Isuzu have signaled intent of setting up plants in India, but with no real confirmation of where.

If those projects are not confirmed for other states within the next 3months, then its likely they will be announced at Vibrant Gujarat 2013.

[TheOptimist]

Ok guyz Peugeot Citroen has not abandoned sanand project completely as we had thought it to be, here is the latest update....


PSA Peugeot Citroen to get land in Gujarat as and when it requires, says government official

Source

AHMEDABAD: French auto major PSA Peugeot Citroen (PPC) will get 600 acres for the proposed Rs 4,000 crore greenfield project in Gujarat "as and when they require it", a top official said here today.

"Six hundred acres of land was not transferred to Peugeot due to some financial issues for its proposed integrated manufacturing facility in Sanand and the company will now be given land as and when they require it," state's Principal Industry Secretary M Sahu told PTI.

Making its re-entry into India, PPC had signed a State Support Agreement (SSA) with the Gujarat government to set up an integrated manufacturing facility at an investment of Rs 4,000 crore at Sanand near here. It had also laid the foundation of the project in November last year.

The second largest European car manufacturer had proposed to roll out its first car from the Sanand plant -- the high- end C-segment model 508 -- in 2014 with establishment of a total production capacity of 1,70,000 cars in the first phase of the project.

The state government's decision comes in wake of reports that the French auto major is reviewing its global expansion policy in wake of slowdown in Europe.

"PPC plans for Gujarat has been put on hold. It is not only for Gujarat, but the company is reviewing its entire global expansion policy, in wake of slowdown in Europe," Sahu said.

"Taking into account the European market crisis which impacts significantly the Group's cash flows and profitability, PSA Peugeot Citroen announced its intention to reschedule its project in India, and construction operations on the production facility in Sanand during its financial results on February 15, 2012," a company statement said.

[GJ10]

Construction of Ford plant at Sanand on schedule, to start car production in 2014: Micheal Boneham

While speaking to media in Mumbai recently, Ford India President and MD, Michael Boneham said that the construction at their new facility in Sanand was going according to plan. If all goes well, Ford will start manufacturing cars at their new facility by early 2014. The image above was clicked last week at the Ford Sanand construction site. Michael added that as of now, 3,000 construction workers are working in order to complete the setting up of the facility which is being built over an area of 400 acres.

[gandhi.rushabh1992]

Good to see site pics

[Nick11]

Thats Really nice !! thanks for pics GJ10 !! where is the location in sanand ?

[Nick11]

Some Old News but ford really on fast track ..

Ford India celebrates World Environment Day at Sanand

SANAND, India — Ford’s Sanand plant project team and its construction suppliers celebrated World Environment Day on June 5 by planting 280 saplings around the 460-acre plant site in Gujarat and used the occasion to reiterate Ford’s long-term commitment to environmental protection and sustainable manufacturing.
Ford India, which has seen steady progress in construction of its US$ 1 billion plant in Sanand since its groundbreaking last year, is working with its plant project team and suppliers to follow Ford’s global environmental management practices to build a world-class manufacturing facility. When completed in 2014, the plant will have the capacity to produce an additional 240,000 new Ford vehicles and 270,000 engines per year.
The tree planting event was attended by Kel Kearns, director of Manufacturing for the site, George Andraos, director of Energy, Ford Land, Ravi Kumar, site construction manager, Kevin Kingston, site safety manager, V.Dhanasekar, site environmental engineer, and Shanuk Pathak, site plant engineer. Also, teams from Kajima-India, Larsen & Toubro Ltd, Shapoorji Pallonji Co. & Ltd, Mukesh & Associates, and Vijay Nirman Company joined in the celebration.
Keeping the hot, dry, and windy climate during June in Sanand in mind, the team planted Neem trees, a local native and shady species suited to the conditions.
“We are fully committed to Ford’s environmentally sustainable manufacturing practices and this plant is going to include some of the best practices in reduced emission, waste management and water conservation when it goes online,” said Kearns.
“I also urge that every new employee plants a tree at the site so that we can all feel the importance of inclusive and sustainable growth,” he added.
Ford is applying several environmentally-friendly practices already at the Sanand integrated manufacturing facility. Some of the latest technologies including Minimum Quantity Lubricant (MQL) processes in the Engine Plant and 3-Wet application of High Solids Solvent-Borne paint are being used in the assembly plant. In addition, Ford is installing advanced wastewater treatment systems – such as Ultra-Filtration, Reverse Osmosis, and Membrane Biological Reactor – to be able to re-use all of the wastewater discharged from the operations. This treated wastewater will be routed back to manufacturing processes and the surplus used for landscape irrigation.
The Sanand site will also have a unique rainwater harvesting system. The former land is now being converted into a state of the art manufacturing facility. To compensate the capacity of the site to retain and absorb rainwater, three retention ponds over 25,000 cubic metre capacity with rainwater wells drilled to a depth of 20 metres are now under construction. This scheme will allow control of surplus rainwater runoff and will sustain rainwater feeding the aquifer

[gandhi.rushabh1992]

Around 10-15 kms west from Sanand town...

[karkal]

France offers €7-billion bailout for Peugeot Citroen

http://www.thehindu.com/business/Ind...cle4028026.ece

This could change PC's fortunes and who knows we might get an Indian plant soon.

[DS 93]

The Ford Project is going on a great pace. Erection of Columns for all the 5 plants s started with simultaneous construction of foundation in 2 plants and 1 of the plant is on the merge of completion.

[gandhi.rushabh1992]

When are expecting to start production of cars? 2014??

[GJ10]

Yup, early 2014 they expect to start producing 240,000 Cars and 270,000 engines