'GM to shut Gujarat project, invest Rs 6,400 cr in Pune plant'
The Maharashtra government on Thursday said that automobile giant General Motors has decided to invest Rs 6,400 crore for the expansion of its existing plant in Pune and close down its project in the neighbouring Gujarat state.business Updated: Jul 30, 2015 21:42 IST
The Maharashtra government on Thursday said that automobile giant General Motors has decided to invest Rs 6,400 crore for the expansion of its existing plant in Pune and close down its project in the neighbouring Gujarat state.
Industries minister Subhash Desai, while replying to a debate on the state's industrial development policy during the Question Hour in the Assembly, said Maharashtra is the country's most favoured destination.
"The latest investment of Rs 6,400 crore by the company in Pune and the decision to close down its plant in Gujarat amply proves that Maharashtra is the favoured destination for investment," the minister said.
General Motors unveiled its investment plans in Delhi on Wednesday, Desai said, adding that the company has decided to expand its existing set-up at Talegaon in Pune.
He said the government is taking all steps to implement its 'Make in Maharashtra' initiative and "ease of doing business" slogans.
Replying to a supplementary question by Jayant Patil (NCP) on why the government did not persuade the company to invest in Marathwada and Vidarbha regions of Maharashtra, Desai said negotiations with General Motors were going on for quite some time.
"During my visit to General Motors headquarters in Detroit with chief minister Devendra Fadnavis, the company told us that they had selected Chakan for their investment expansion plans after assessing various other locations," he said.
Replying to a query by Patangrao Kadam (Congress) on whether General Motors was investing in the state for the first time or going for only expansion, Desai said that even though the company has a plant, fresh investment is huge and the existing plant is a small one. "The company has already bought land at Chakan," he added.