Traditional start: Shohei Kimura, corporate vice-president of Nissan Motor Co Ltd, participating in the ground breaking ceremony at Oragadam, near Chennai on Friday.
Business Line Jun 07, 2008
CHENNAI: The ground-breaking ceremony of the Rs. 4,500-crore Renault-Nissan Automotive India Pvt Ltd (RNAIPL) car manufacturing plant was performed at Oragadam near Chennai on Friday, with the company officials promising to roll out the first passenger car by 2010.
Top officials of the company took part in the ceremony, while Industries Secretary M.F. Farooqui unveiled the plaque.
Renault and Nissan are holding 50 per cent stake each in the new company that proposes to manufacture 400,000 passenger cars a year. The cars are meant for domestic as well as export markets.
Essential suppliers are also planning to set up their base in Oragadam as well as in Pillaipakkam. RNAIPL would procure most of its components from its vendors, who are being allotted around 250 acres of land and their investment is estimated to be over Rs. 1,000 crore.
Three models
In his address, Nissan Motor Co senior vice-president Colin Dodge said that Nissan proposes to produce a family of three models based on its new A-platform, including the next generation of Micra.
“India is one of the five leading competitive countries to produce the new A-platform models. The development of a competitive A-platform is one of the several business breakthroughs announced as part of Nissan GT 2012, the company’s new five-year business plan. We are fully committed to India and would offer only the best. The new compact cars would address the needs of larger section of society,” he added.
Renault Group executive vice-president – Manufacturing and Logistics Michel Gornet said that Renault plans to produce several cars on the Logan platform and on the other platforms as well. Renault is currently developing a product range to match Indian customers’ needs, tastes and dreams and this called for setting up a new facility in Oragadam.
Mr. Farooqui said that the establishment of RNAIPL added brand value to Tamil Nadu as an investment destination and it also opened up new areas of employment.
He also said that a major portion of land was handed over to the company to begin the construction activities.
http://www.hindu.com/2008/06/07/stories/2008060753530500.htm
