Date:26/02/2008 URL: http://www.thehindu.com/2008/02/26/stories/2008022655611600.htm

Business

Honda’s Noida plant goes on stream

Special Correspondent

Will invest Rs. 1,000 cr. initially in the Rajasthan plant

Plans to enter the compact car segment
To launch hatchback ‘Jazz’ soon

PHOTO SANDEEP SAXENA

WORLD-CLASS: (from left) M.Takedagawa, President and CEO, Honda Siel Car India; T. Oyama, President and CEO, Asian Honda Motors Co.; and H. Iwata, Operating Officer, Honda Motor Company and GM, Suzuka Factory, at the inauguration of a new production facility at Greater Noida near New Delhi on Monday.

NEW DELHI: Honda Siel Cars India (HSCI) on Monday inaugurated its new production facility at Greater Noida and announced an initial investment of Rs. 1,000 crore at its upcoming plant in Rajasthan that will start operation next year, producing 60,000 units a year.

HSCI, which has now doubled its production capacity to to one-lakh vehicles annually, has so far invested Rs. 1,620 crore at the Noida plant since its establishment in 1997. The plant now produces Honda City, Honda Civic and Honda Accord models.

World-class facilities

The new facility, with a host of world-class manufacturing techniques and technological advancements, was inaugurated by Asian Honda Motors Company President and CEO T. Oyama in the presence of HSCI President and CEO M. Takedagawa.

Speaking to media persons here, Mr. Takedagawa said the new plant in Rajasthan would be spread over 600 acres. The investment would be in the region of Rs. 3,000 crore by the time it reached its full capacity of over two-lakh units annually. The company intended to produce 60,000 units in 2009 from the new plant.

Honda planned to enter the Indian compact car market, besides launching hatchback ‘Jazz’ soon. The company was likely to assemble ‘Jazz’ from its new plant in Rajasthan.

On the Noida plant, Mr. Takedagawa said that apart from doubling the capacity, several advanced manufacturing techniques and robots had been used in the plant to enhance quality and accuracy of operations, which would speed up the manufacturing process and increase efficiency on the line.

“As we expand our presence in India, we are conscious of our commitment to the environment. Apart from setting up the mandatory infrastructure for water recycling and waste management, we have set ourselves stiff CO2 emission and waste reduction targets for our plant. Innovative use of solar power and recycled water will ensure conservation of scarce natural resources such as water and power,” Mr. Takedagawa added.