From Hero Honda to Tata Motors, the expansion of auto giants in Uttarakhand is high on the radar.
With auto companies, which have set up their units in the state, registering robust growth during the past few quarters, the state government would shortly launch efforts for further expansion of these manufacturing facilities.
Tata Motors, Hero Honda and Bajaj Auto are some of the top auto companies which have set up their manufacturing facilities in the state taking the benefits of tax exemptions. Ashok Leyland’s new facility would begin production in March at Pantnagar.
For this purpose, the state government is gathering information regarding all those auto companies which are having sufficient land for expansion. In case there is shortage of land, the government is of the view that it would provide all facilities including land to companies so that they can expand. Although, the special industrial package offering a slew of tax incentives is coming to an end on March 31, 2010, the hopes are still alive that it might be extended at least for two to three years, which may be an added attraction for these companies.
Ashok Leyland’s new manufacturing unit at Pantnagar for commercial vehicles will also start production by the end of this financial year. The government hopes the company can go for further expansion. The government is also holding talks with Tata Motors which still have over 300 acres of vacant land at Pantnagar.