GM may hike capacity of Gujarat Halol plant
By Our Corporate Bureau | 18 Jun 2007
Mumbai:General Motors India is expanding the capacity of its existing Halol plant in Gujarat from the current 85,000 to about one lakh cars in a couple of years - even as it is set to commission a new manufacturing plant at Talegaon, Pune, next year with an initial installed capacity of1.4 lakh cars per annum.
"The capacity of the Halol plant near Vadodara, where the company has invested Rs 1,400 crore so far, has been increased recently from 60,000 to 85,000 cars per annum. We will be making around 66,000 cars this year, but in view of increased demand, we may increase the capacity to between 90,000 and one lakh cars per annum," reports quoted P Balendran, Director and Vice President (Corporate Affairs), as saying.
Thecompany, he said, was also in talks with the Gujarat government to develop an automobile ancillary park near Halol. It was in the process of tying up with technical institutions in Gujarat to ascertain the kind of synergy to be created, both as a business opportunity and corporate social responsibility(CSR), he added.
The company, which had started making a profit from 2004 onwards, expects to increase its market share from the current four per cent to 10 per cent by 2010. These expansion plans are in view of the projected increase in the company's market share, he said.
The company, which introduced five models of cars during the last one year — the Aveo, SRV, Aveo U-Va, Optra Diesel luxury sedan. and the Chevrolet Spark mini-car — plans to introduce at least two new models every year till 2010.
Optra Diesel and Spark were launched in Ahmedabad on June 15, andf GM said sales target of all seven of GM's Chevrolet models across India has increased from 35,000 to 66,000 this year. Of all models, U-Va has proved most popular with a waiting list of two months for customers who want to buy it, he added.
