GM to set up Rs1,250-crore plant in Maharashtra

03 August 2006

Mumbai: General Motors, the world's biggest car maker, will invest Rs1,250 crore ($267.5 million) to set up an export-oriented, greenfield production unit in Maharashtra. This will be GM's second production facility in the country after its Halol unit in Gujarat.

This is also the biggest investment in the auto sector in the state.

The factory, to be located in Talegaon, near Pune, would have a capacity of more than 100,000 units and would involve an overall investment of about Rs2,000-2,200 crore ($428-$471 million), industry sources said.

The company will sign an agreement with Maharashtra Industrial Development Corporation for setting up the new unit. MIDC would provide infrastructure support by setting up a container hub near Talegaon to facilitate its export activities.

The state government has already announced the setting up of a 1000 MW- power plant near Talegaon, to fuel industrial growth in the area. Last year, the state government had initiated a unique auto cluster in the industrial town of Pimpri-Chinchwad to strengthen the manufacturing activities there.