Karnataka may have narrowly lost the race for housing Tata Motors’ Nano car plant but that is not stopping the southern state from nursing ambitions of winning the second round of the same race. It was late last year when Tata Motors announced that it would set up the first plant for producing the Rs 1-lakh car at Gujarat’s Sanand rather than Karnataka’s Dharwad, among other places.
Now, if all goes well, Karnataka will get a chance to play host to Tata Motors' proposed second Nano car plant in South India. The state government has been assured by the company that Dharwad will be a preferred choice for the company's plans to expand its Nano manufacturing capacity into South India.
The state government, in turn, has assured the company that it will provide the required land as well as tax concessions, similar to those offered by the Gujarat government, for setting up the second Nano car plant, Karnataka minister for medium and large industries Murugesh R Nirani said.
"When Tata Motors initially came to inspect Dharwad, we had offered them 600 acres within 24 hours and had assured another 400 acres in three months. But the company chose to go to Gujarat for reasons best known to them. However, they have told us, for expansion of their Nano car capacity, they will consider Dharwad and we have promised them all possible help," he told Business Standard.
Nirani added the state government recently acquired 2,500 acres at Dharwad, adjacent to the existing Tata Motors' bus plant, where the company had intended to set up the Nano plant. Tata Motors had indicated a requirement of around 1,000 acres.
"We have already discussed this with the company's higher officials. They have plans to set up one more plant in South India for producing the Nano car and they want to do it in Dharwad because it is closer to Pune, where they have a major presence. Tata Group Chairman Ratan Tata has invited us for further talks in this regard and we will soon meet him," Nirani said.
Tata is currently manufacturing the Nano at their plant in Pantnagar. Its dedicated Nano car plant will be operational at Sanand in Gujarat by early 2010.
At Dharwad, Tata Motors currently operates two plants to manufacture construction equipment under the Telcon brand name. It also produces buses in a joint venture with Brazil's Marcopolo. So far, it has acquired 600 acres and employs around 3,500 workers in both the plants. The company has invested close to Rs 500 crore in its bus plant, which started commercial production in January this year.
In addition to Tata's Nano car plant, the state government is also in talks with Korea's car maker Hyundai Motors and the domestic utility vehicle major, Mahindra and Mahindra, for locating their new plants in Karnataka.
Recently, the state government approved an additional investment proposal of Rs 800 crore by Toyota Kirloskar Motors at Bidadi, near Bangalore. The government is also planning to hold a special meeting with the automobile industry very soon in Bangalore, as a precursor to its forthcoming global investors' meet scheduled to be held in January 2010, Nirani added.
Source: Business Standard (MSN News)
Showing posts with label Nano plant. Show all posts
Showing posts with label Nano plant. Show all posts
Second slot of Nano, Tata Motors now in the race in Karnataka
Amidst the commotion in installing the manufacturing unit in Gujarat for Rs1 lakh car , Tata Motors is now journeying towards Karnataka(Dharwad) for the same race. If fortune smiles the Karnataka state Tata Motors will start the second plant in its South India base, with an assurance given to the state government in this regard. The reciprocity from the state government has been positive including land, tax concessions in the lines of Gujarat government.
The initial offering of the Karnataka government was in the form of 1000 acres of land in a split of 600 acres in just 24 hours and the remaining in the time span of three months. But the venture could not fruitify but the time has now come for further negotiations and this time Tata is firm on its foot at Dharwad. In the current move, according to the government’s Minister, 2500 acres of land has been acquired adjacent to the proposed Nano plant from which 1000 acres will be benchmarked for Tata. The choice of Dharwad is for the reason that it is closer to Pune to indicate the wide presence of Tata. Further talks are on between the Chairman of Tata, Ratan Tata and the government officials. The present unit in Pantnagar is designing Nano and the full-fledged Nano plant will start its operation from Sanand in Gujarat from 2010.
The Dharwad plant is currently in the operation for Telcon ranges including a bus project with Brazil ‘s Marcopolo. Tata has got possession of 600 acres with the employees ranging upto 3500 in its two plants and the bus plant has yielded Rs500 crore investment by which the commercial production commenced this January. Karnataka government has in good spirits to promote Korea’s Hyundai and, Mahindra&Mahindra too for erecting their units in this state. Earlier, Toyota got the grace from the Karnataka government for Rs800 crore at Bidadi. In all the Karnataka government is in celebrity mood to meet the automobile industry prior to the global investor’s meet slated for January 2010.
The initial offering of the Karnataka government was in the form of 1000 acres of land in a split of 600 acres in just 24 hours and the remaining in the time span of three months. But the venture could not fruitify but the time has now come for further negotiations and this time Tata is firm on its foot at Dharwad. In the current move, according to the government’s Minister, 2500 acres of land has been acquired adjacent to the proposed Nano plant from which 1000 acres will be benchmarked for Tata. The choice of Dharwad is for the reason that it is closer to Pune to indicate the wide presence of Tata. Further talks are on between the Chairman of Tata, Ratan Tata and the government officials. The present unit in Pantnagar is designing Nano and the full-fledged Nano plant will start its operation from Sanand in Gujarat from 2010.
The Dharwad plant is currently in the operation for Telcon ranges including a bus project with Brazil ‘s Marcopolo. Tata has got possession of 600 acres with the employees ranging upto 3500 in its two plants and the bus plant has yielded Rs500 crore investment by which the commercial production commenced this January. Karnataka government has in good spirits to promote Korea’s Hyundai and, Mahindra&Mahindra too for erecting their units in this state. Earlier, Toyota got the grace from the Karnataka government for Rs800 crore at Bidadi. In all the Karnataka government is in celebrity mood to meet the automobile industry prior to the global investor’s meet slated for January 2010.
Gujarat’s 1st Nano owner owns ’48 Morris
When Chandrasinh Parmar, a Surendranagar-based entrepreneur wanted to buy a car in 1976, he went for a Morris. Parmar, 60, who runs a cooking gas agency, had got the vintage car cheaper than an Ambassador or a Fiat then. “I bought a 1948 model for Rs 5,500 as a new car would have cost much more,” he said.
On Tuesday, he accompanied his son Umangsinh, 30, who became the first buyer of Tata’s Nano in Gujarat, much before Gujarat itself starts rolling out the small car from the Sanand plant later this year. “We own four cars, including the vintage Morris. But, I feel really special today with a Nano,” said the younger Parmar, who drove down from Surendranagar with his father to take delivery.
“I was eager to buy this car ever since Ratan Tata made an announcement. Today, my dream has come true,” said Parmar, who drove back to Surendranagar where his arrival was eagerly awaited late in the evening. “My family is dying to take a Nano ride,” he told TOI, flashing the car keys.
Four cars were delivered in Ahmedabad on Tuesday as the dealer coped with a big rush. Vipul Thakkar, a Gandhinagar-based doctor, came along with 25 relatives to take the small car delivery. The Thakkars, who already own a Santro, celebrated the buy with an ice-cream party at their Sector-3 residence which was crowded by curious onlookers. Ahmedabad-based doctor, Mahendra Goswami, who drives a Maruti Esteem, also became a proud Nano owner.
“I decided to buy this car when Tata chose Gujarat over other states to set up the Nano plant,” he said. The fourth owner, a retired Air Force official, too owns three cars. Charanjeet Singh Walia, 68, drove down from Gandhidham in Kutch to pick up the car. “I wanted to become a part of this revolution,” said Walia, who was accompanied by his twin daughters. Tata Motors is likely to deliver nine more cars in next four days in the city.
On Tuesday, he accompanied his son Umangsinh, 30, who became the first buyer of Tata’s Nano in Gujarat, much before Gujarat itself starts rolling out the small car from the Sanand plant later this year. “We own four cars, including the vintage Morris. But, I feel really special today with a Nano,” said the younger Parmar, who drove down from Surendranagar with his father to take delivery.
“I was eager to buy this car ever since Ratan Tata made an announcement. Today, my dream has come true,” said Parmar, who drove back to Surendranagar where his arrival was eagerly awaited late in the evening. “My family is dying to take a Nano ride,” he told TOI, flashing the car keys.
Four cars were delivered in Ahmedabad on Tuesday as the dealer coped with a big rush. Vipul Thakkar, a Gandhinagar-based doctor, came along with 25 relatives to take the small car delivery. The Thakkars, who already own a Santro, celebrated the buy with an ice-cream party at their Sector-3 residence which was crowded by curious onlookers. Ahmedabad-based doctor, Mahendra Goswami, who drives a Maruti Esteem, also became a proud Nano owner.
“I decided to buy this car when Tata chose Gujarat over other states to set up the Nano plant,” he said. The fourth owner, a retired Air Force official, too owns three cars. Charanjeet Singh Walia, 68, drove down from Gandhidham in Kutch to pick up the car. “I wanted to become a part of this revolution,” said Walia, who was accompanied by his twin daughters. Tata Motors is likely to deliver nine more cars in next four days in the city.
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