The Gujarat government is all set to use the labour outbreak at Maruti’s factory at Manesar in Haryana to its benefit. Gujarat Chief Minister Narendra Modi has planned to meet the senior officials of the Suzuki motors to convince them to shift their factory from Haryana to their state. This meeting is going to take place in Japan in next week.
Earlier in 2008, Modi government had successfully convinced Ratan Tata to shift his Nano’s factory to Sanand in Gujarat, after the two year long land disputes by the farmers at the original plant in Singur in West Bengal. This dispute had badly affected the production of Tata Nano.
These steps taken by Modi shows how serious he is for the development of his state. He is doing his best to make Gujarat a global hub for automobile sector. Before Modi came into power, there was only one car manufacturing company General Motors at Halol in Vadodra district and now under his term French car maker PSA Peugeot Citroen, Ford India, Bombardier of Canada and a heavy commercial vehicle manufacturer Asia Motor Woks have followed the Tata Motors to Gujarat. Even the bike manufacturer Hero Moto Corp’s are seeking land to set up a unit there.
Gujarat government has provided tons of benefits to the companies in term of tax rate and ports to export of goods to western countries other than good roads and uninterrupted power supply. Auto auxiliary hubs have also been developed by the state government in various parts of the state.
Gujarat is all set to offer the same benefits to Maruti if it agrees to set up their plant in the state.
During his trip to Japan, Modiwill also be meeting various government officials including the Deputy Prime Minister Katsuya Okada, representatives of Japan Chamber of Commerce and lobby groups. He is also scheduled to meet the executives of business houses like MitsubishiCorporation, Itochu Corporation and Hitachi.