MSIL, Mundra ink car terminal MoU

Maruti Suzuki India Limited (MSIL), India's largest carmaker, on Wednesday signed an agreement with Mundra Port and Special Economic Zone Limited (MPSEZL) for a mega car terminal at Mundra, Gujarat. This car terminal is expected to be operational by December 2008.

The agreement was signed by MSIL managing director. Shinzo Nakanishi and MPSEZL chairman and managing director Gautam S. Adani. The initial investment in the project is expected to be around ₹100 crore.

Of this, MPSEZL will invest ₹60 crore in setting up infrastructure at the port.

Maruti will invest remaining ₹40 crore to set up a 'pre-delivery Inspection' centre at the port premises. MPSEZL is planning to augment the port infrastructure in due course of time.

Maruti Suzuki will commence export operations at Mundra Port from January 2009. In view of increasing export volumes, Maruti Suzuki will continue exports from Mumbai as well.

Maruti Suzuki will be launching its new model, A-Star, by the end of this calendar year. With this, exports are likely to go up significantly. The company plans to export two lakh cars annually to Europe and the rest of the world by the year 2010.

Maruti Suzuki's exports have grown significantly this year, and will touch 50,000 units in 2007-08 (nearly 28 per cent growth). The company currently exports from Mumbai Port.

The new Terminal, will have a car stockyard spread over 35 acres, and a dedicated 'buffer area' for cars to be parked just before loading on the PCC (Pure Car Carrier) ships.

Speaking on the occasion, S Nakanishi said, "Maruti Suzuki is ready to play a much greater role in Suzuki's global operations. We have the technology and skills to build top quality cars for the international market. But our export ambitions need infrastructure support on the ground, and this initiative will be a big step forward in filling that gap."

Gautam, S Adani said, "We are pleased to develop cost effective Roll-on Roll-off (RORO) terminal for facilitating automobile export by Maruti Suzuki, the largest car manufacturer in India. Our RORO terminal at Mundra will provide cost competitive support to Indian automobile industry for international trade and our aim is to make Mundra a hub for automobile exports."