Sunday, November 22, 2009

Maruti Suzuki to approve proposal of 3,00,000 more cars

Maruti Suzuki's board of directors is planning to approve the second assembly line with installed capacity to produce 3,00,000 cars. The second line will be developed at company's Manesar site in Haryana. Chairman of Maruti Suzuki company, R C Bhargava told, we are coming up with a company proposal to put second line within course of time at Manesar. It's new line proposal is already prepared and the proposal will come up to the board as soon as, it's ready. He said we have to take decision, perhaps either in December or surely in January. R C Bhargava unveiled the second line that would have installed 3 lakh cars capacity. However, he explained, we don't make investment and then wait for two to three years for it will fully used in market, company want to make invest and fully utilise in a very short period of time.

Maruti Suzuki

When Asked about new line project cost, Bhargava said, we don't know about the cost, at Manesar, I don't like to guess the project cost at this time of approval. In response to another question on current capacity status, he said, we need more to currently doing some balancing, rationalisation, which helps to get more output from the same facility. The company makes a plan that we will add 70,000 to 90,000 units for new approved capacity at the Gurgaon plant by December. Maruti Suzuki yearly capacity has one million cars in which two plants Gurgoan and Manesar, these plants stay in Haryana. Company has sold 558,332 cars between seven months with 25 per cent sales grew. Show that the company is already producing at full capacity. Bhargava said, everybody has completed that India is basically Small car market and quantity are going to be A1,A2 more than other segment's in India, auto companies will increase competition.

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