Investment plans of Maruti on track

Bangalore, May 8 (UNI) The investment plans of Maruti Suzuki to augment capacities at its new plant in Manesar and upgrade Gurgaon facility is on track with a total of Rs.9,000 crore planned till 2010.

Launching the second global car SX4 a sedan, Maruti Udyog Managing Director and CEO Jagdish Khattar told newsmen here that the new model was the second global car after the Swift from Suzuki Motor Corporation, the parent company of Maruti Udyog.

He said the new vehicle has an indigenous content of 79 per cent with the engine having 40 per cent local content. Over a period, the local content would go up considerably, he added.

Mr Khattar said SX4 would claim the leadership position in A3 segment and has been launched in India even before it had made its entry in Europe and Japan.

He said the Company had spent Rs.340 crore on the model and it was a collaborative effort with the parent company and European experts. He said the car expected to replace Baleno was the talest, longest and widest car in its class.

He said Maruti had a 29 per cent share in South out of its total sales.

A company spokesperson later told UNI that the company had spent nearly its investment plan of Rs.9000 crore earmarked till 2010 end.

The investment included Rs.2500 crore for the diesel plant, Rs.2500 crore for the new plant in Manesar and Rs.4,000 crore for upgradation and enhancement of facilities at Gurgaon to roll out new models.

He said the Manesar plant would make the new combat car code named A100 and developed by Maruti, Suzuki and Nissan. The new model was expected to roll out in 2008-09 with 100,000 units exported to Europe under Suzuki brand, 50,000 units to Europe under Nissan brand and 50,000 units sold domestically.

UNI