US automobile giant Ford is planning big to get a bigger share of one of the fastest growing automobile market in the world i.e. India. As part of the plan, Ford said today that it would invest $1 billion to build a vehicle assembly and engine plant in Gujarat as to expand its production capacity as the company’s hathcback Figo helped the group nearly triple its sales last year.
The proposed factory in Gujarat, expected to be up and running by 2014, will employ 5,000 people and is expected to have an initial annual capacity of 240,000 vehicles, the company said. The facility will come up near Tata Nano’s mother plant in Sanand, located 40 kms from Ahmedabad.
“We are aggressively expanding in markets around the world that have the most growth potential in order to offer more of the fuel-efficient, high-quality vehicles from our global portfolio that customers in markets like India want and value,” Michael Boneham, president and managing director of Ford India, said in a statement.
Ford’s Head of Asia-Pacific & Africa, Joe Hinrichs was quoted as saying that Gujarat had been selected over other states for its pro-business reputation and geographical location and ports from which to export cars to other emerging markets.
The company, which also sells the Fiesta sedan, recently said it would invest $72 million to increase production capacity at its engine assembly plant in Chennai to support its sales and export growth plans.
