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Suzuki, Nissan seek better infrastructure facilities
| To jointly produce cars for domestic and export markets |
JOINT OPERATIONS: O. Suzuki (left), Chairman, Suzuki Motor Corporation, calling on Sontosh Mohan Dev, Union Minister for Heavy Industries, in New Delhi on Wednesday. Suzuki jointly with Nissan will produce small and big cars in India for domestic and overseas markets.
NEW DELHI: Suzuki Motors Corp, the parent of Maruti Udyog Ltd., and Nissan on Wednesday sought Government cooperation for their joint manufacturing operation in India, meant for domestic and export markets.
Suzuki Chief Osamu Suzuki and Nissan's Vice-Chairman Takeshi Isayama called on Prime Minister Manmohan Singh, Commerce and Industry Minister Kamal Nath, Railway Minister Lalu Prasad and Road Transport and Highways Minister T. R. Baalu and apprised them of their plans.
They also sought better infrastructure facilities like ports, railways and roads for moving their production from the manufacturing location in Manesar for domestic destinations and exports, Heavy Industries Minister Sontosh Mohan Dev told reporters here after meeting them.
Mr. Dev said the joint production would include small and big cars meant for sales in domestic and overseas markets. "We told them that the facilities and infrastructure would be upgraded wherever required to facilitate the company's plans,'' he said.
In June, Suzuki had announced a manufacturing collaboration with Nissan and said the companies would begin joint production in India. "Nissan and Suzuki will start manufacturing collaboration in new emerging markets by sharing their respective manufacturing facilities. This activity will start at Suzuki's plant in India,'' a statement by the companies had said.
Maruti, in which Suzuki holds 54.2 per cent stake, while the Government holds 10.27 per cent, is building a new manufacturing facility in Manesar, which will begin production later this year.
The facility, being built at an investment of over Rs. 1,500 crore, will have an initial capacity of one lakh units that will be scaled up to 2.50 lakh units by 2008-09. — PTI
UNI reports:
Railways, Maruti sign deal
With its coffers already bulging with a Rs. 13,000-crore surplus money, the Railways on Wednesday signed a deal with Suzuki. Giving details of the agreement, Railway Minister Lalu Prasad told reporters here that the Railways would provide freight facility to the Japanese company for exporting four lakh Maruti and Nissan vehicles annually.
"The deal will become operational after 2009, and the Railways expect to earn Rs. 250 crore annually from the deal,'' Mr. Prasad said.
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