Maruti Suzuki 3.0: MSIL planning to double production to 4 mn units in 9 years, says RC Bhargava
1 min read 06 Aug 2023, 05:54 PM ISTThe automaker will soon announce what it is proposing for its next stage of growth, Bhargava said
PremiumMaruti Suzuki India Limited (MSIL) chairman RC Bhargava said the automaker is planning to double its production capacity to 4 million units in nine years from now.
The company will, as soon as possible, announce what it is proposing for its next stage of growth, Bhargava said in the annual report for 2022-23.
“Your company now has to add the next 2 million in a period of 9 years. The task of managing all the issues relating to the production of 4 million units a year requires considerable thought and possible reorganisation of the structure of the company keeping in view the best interests of all shareholders as well as other stakeholders of the company. We will, as soon as possible, announce what we are proposing," he told shareholders in his written message.
On Saturday, India’s largest automaker
released its annual integrated report for the financial year 2022-23. titled ‘Maruti Suzuki 3.0’.
Bhargava said it took 40 years for MSIL to create a capacity of 2 million units. The required investments will all come from internal resources.
According to the MSIL report, the overall auto industry is expected to grow at a 6% rate till 2030-31. In 2023-24, Maruti Suzuki India expects to grow at a slightly higher rate.
“Along with the rising domestic demand, the prospects for exports are also expected to continue to improve," Bhargava said in the report.
The company’sexports increased to 2.59 lakh units last year. By 2030-31, the export volumes are projected at 750,000-800,000 cars.
“The domestic plus export requirements have made it necessary for your company to add another 2 million manufacturing capacity. Work is progressing at the first site in Kharkhoda (Haryana), and it is expected that the first plant of 250,000 capacity will start production in the first half of 2025," Bhargava said said.
“Thereafter, one similar plant will be added each year to reach a capacity of one million. At the same time, we are in the process of selecting a second site for adding another one million capacity by FY 2030-31," he added.
(With inputs from ANI)
