Toyota to invest additional Rs800 crore in Bengaluru plant
26 Jun 2009
Toyota Kirloskar Motor will put in an additional Rs800 crore at its Bidadi plant located near Bangalore, to be invested between 2011-2016. The overall investment will be in the tune of Rs4,000 crore by 2016. The company is the Indian subsidiary of Japan's Toyota Motor, the largest passenger car maker in the world.
The company is also setting up an additional plant with an investment of Rs3,200 crore with a capacity of 100,000 units. This will be used to produce a small car expected to roll out in 2010. (See: Toyota Kirloskar to join small car bandwagon by end-2010, launches Land Cruiser)
The first plant, with a capacity of 60,000 units, has seen investments of Rs1,700 crore. Together with the proposed investments, Toyota's India investment will be around Rs5,700 crore by December 2016.
Speaking about the fresh investments in the state, Karnataka's minister for large and medium scale industries, Murugesh Nirani, said, "After losing Tata Motors' Nano car project last year, we met Toyota officials in Japan and offered them several concessions and convinced them to increase their investment in the Bidadi plant (40km from Bangalore). They have accepted our offers and are going to increase their investment to Rs4,000 crore, an addition of Rs800 crore over their earlier investment programme."
The company is also waiting for approval from the government for additional land at Bidadi for vendors and suppliers.
The plant at Bidadi currently produces Toyota's Innova and its mid-segment luxury car Corolla.
