Honda to invest Rs. 1,000 crore in Gujarat plant

Earlier this year, we had reported that Honda Car India was exploring the possibility of setting up a new plant in the state of Gujarat. Latest media reports suggest that the company is in talks with the state government to set up the new facility at Vithalapur, near Ahmedabad. 

The proposal is reported to be in the final stage of consideration and is likely to receive clearance in the next few weeks. Honda is gearing up to invest more than Rs. 1,000 crore in the new facility. The capacity of the plant has not been decided as yet.

The new plant will be Honda's third in India. The company's other plants are located in Greater Noida, Uttar Pradesh and Tapukara, Rajasthan.

Other manufacturers like Maruti Suzuki and Ford have also invested in new plants in the state and Tata Motors already has a functional plant in Sanand. Additionally, Honda Motorcycle & Scooter India Pvt. Ltd. is setting up the world's largest scooter-only plant at Vithalapur with an investment of Rs. 1,100 crore.

Source: Economic Times