Narendra Modi welcomes Maruti's decision to set up plant in Gujarat

Gujarat Chief Minister Narendra Modi today welcomed Maruti Suzuki's decision to set up a plant in the state, saying that it would accelerate the growth of the state's automobile sector.

"I welcome Maruti Suzuki's decision to come to Gujarat. Gujarat is moving ahead fast as Asia's auto hub. With Maruti, the pace will accelerate," Modi said on twitter.

"It's Gujarat's new year and this is Maruti's gift to Gujarat on this occasion," he said.

Maruti Suzuki India (MSI) board today gave approval for purchase of land in Mehsana district of the state for its third manufacturing facility. Suzuki Motor Corporation Chairman Osamu Suzuki had met the Gujarat Chief Minister in September.

MSI had stated that it could invest, along with vendors, up to Rs18,000 crore in Gujarat. The company is seeking about 500 acres of land from the Gujarat government for the plant, and another 500 acres for its vendors.

"MSI has not yet finalised the land in Mehsana. In all probability, the company would be setting up the plant near Becharaji taluka of the distirict," government sources said. The site is well connected through a highway to Mundra port, from where the company plans to export the cars.