Hero Honda to enter Gujarat; may establish factory in Sanand

By | February 25, 2010

Gujarat has now become an auto center. After Tata Nano, now it is the turn of Hero Honda. The world’s biggest two-wheeler manufacturer Hero Honda is looking for a place to establish a production plant in the state. Sanand, which is also the home for Tata Nano, may be the location for Hero Honda’s 4th production unit in India.

A team of senior officials from Hero Honda met officers in the chief minister’s office (CMO) and state industries department bureaucrats and have asked the Gujarat government to recommend appropriate sites.

A senior CMO official said that till date, there was only General Motors at Halol. But after Tatas opted to relocate Nano factory here, the condition altered quickly.

The state government has officially suggested to the company 2 sites – Gujarat Industrial Development Corporation (GIDC) estate in Sanand and GIDC estate in Vadodara district.

A senior government official said that the company has yet to tell them the quantity of land they need. Currently, Hero Honda has 3 plants at Dharuhera, Gurgaon and Haridwar, whose total yearly production capacity is around 50 lakh units.

Hero Honda will manufacture more than 45 lakh units in 2009-10 , as compared to 37 lakh in last financial year, from its 3 factories in India and will decide on establishing a 4th production unit during the next 6 months.

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