Auto major Maruti Suzuki to get 900 acres in Sonepat

The allotment, officials said, will entail an investment of ₹18,000 crore, one of the biggest in recent times

Automobile giant Maruti Suzuki India Ltd (MSIL) will be allotted about 900 acres at Industrial Model Township (IMT) Kharkhauda in Sonepat for setting up car and motorcycle manufacturing units. The allotment, officials said, will entail an investment of 18,000 crore, one of the biggest in recent times.

The country’s largest car manufacturer plans to gradually shift its car manufacturing operations from the Gurugram facility to IMT Kharkhauda once the new unit get commissioned

Officials said the 900 acres being allotted to the auto giant will fetch ₹2,500-2,700 crore for the state exchequer.

A decision to this effect was taken during a meeting of the Haryana Enterprise Promotion Board (HEPB) headed by chief minister ML Khattar in Gurugram on Saturday. MSIL chairman RC Bhargava and top functionaries were also present during the meeting. The country’s largest car manufacturer plans to gradually shift its manufacturing operations from the Gurugram facility to IMT Kharkhauda once the new unit get commissioned. The relocation has been necessitated due to growing congestion and traffic snarls in Gurugram. Officials said the car manufacturing unit will come on 800 acres and the Suzuki motorcycle unit will be set up on 100 acres at IMT Kharkhauda.

The finalisation of expansion and relocation plans at IMT Kharkhauda, officials said, were delayed due to issues pertaining to reimbursement of State Goods and Services Tax (SGST) and the newly enacted law providing for 75% reservation for locals in private sector jobs. “We have been able to iron out these issues and a broad agreement has been reached on the incentives to be provided to the company. The minutes are being prepared and will be shared with MSIL,’’ said an official.

CM Khattar, in a statement, said the ongoing talks with Maruti were finalised. “If the company deposits the entire amount within 45 days, then it will be given 10% discount on the total amount as per the policy. Along with this, the company has been given State Goods and Services Tax (SGST) reimbursement for 15 years by the government,’’ he said.