Gujarat, with its investor-friendly policies and outward looking approach, has succeeded in attracting some of the world′s biggest corporates to its shores. ′India Investment Journal′ profiles a few of the key MNCs happy with Gujarat as their base.
Honda
Industry: Automotive
Headquarters: Minato, Tokyo, Japan
Year of establishment in Gujarat: February 2016
Description:
Honda inaugurated one of the world's largest scooter exclusive plants at Vithalapur in Gujarat with an annual capacity of 1.2 million units. The new plant will employ approximately 3,000 people within the first two years of commercial production. Spread over 250 acres, the facility has come up in just 13 months with an investment of nearly $167 million [Rs 1,100 crore]. In October 2016, the firm started exports of its two-wheelers from this Gujarat base to Sri Lanka.
Bosch Rexroth
Industry: Electronics
Headquarters: Gerlingen, Germany
Year of establishment in Gujarat: 1976
Description:
Bosch Rexroth (India) Ltd, a subsidiary of German automation giant Bosch Group, inaugurated its facility in Sanand, Gujarat, in 2013 with an investment of around $42 million [Rs 280 crore]. The facility is for the manufacture of hydraulics components and systems. The firm had an older manufacturing facility at Vatva near Ahmedabad, which started operations in 1976. The entire operation of the Vatva facility was moved to the newer plant at Sanand.
In their words...
We started the new plant replacing the old facility not only to expand production capacity, but to focus more on the services business as well as expand our product line through the technology centre. Going beyond production, we have developed the Sanand plant more and more into a technology centre.-Johannes T. Grobe, Managing Director, Bosch Rexroth
Industry:
Pharmaceutical
Headquarters:
Petah Tikva, Israel
Year of establishment in Gujarat:
2013
Description:
Israel-based Teva Pharmaceuticals, an $18-billion generic drug maker, set up an over-the-counter (OTC) medicine facility in Gujarat in collaboration with Procter & Gamble in 2013. The facility focuses on OTC product manufacturing, including liquid, oral solid dosage and inhaler production, including P&G′s current Vicks range of cough & cold medicines and throat drops in India. It has plans for other OTC products for India and other regional markets.
Oracle
Computer software
Redwood City, California, United States
2015
The American software products giant commenced operations at its new product development centre (PDC) at Gujarat International Finance Tec-City (GIFT City) in Gandhinagar in December 2015. Oracle India has taken up three floors in GIFT City Tower-1. The centre is now operational with around 120 professionals, who are developing cutting-edge cloud solutions at what is the company's 10th product development centre in India.
Siemens:
Electronics
Berlin and Munich, Germany
2007
Siemens has two factories in Vadodara, for Steam Turbines and Laboratory Diagnostics. It also has a memoranda of understanding (MoU) with the government of Gujarat to set up six Centres of Competence with an investment of around $108 million [Rs 714.90 crore]. Siemens has already invested around $76 million [Rs 500 crore] to set up five such centres of excellence in the state.
McCain foods
Frozen food
Florenceville-Bristol, New Brunswick, Canada
Year of establishment in Gujarat:
2007
McCain Foods set up a processing plant at Mehsana in Gujarat. In 2013, the company announced an investment of around $53 million [Rs 350 crore] to increase the existing production capacity at the unit. It has around 1,200 contract farmers over 4,000 acres in the state to cultivate processed quality potatoes. The company plans to double the land under potato cultivation, thereby enhancing employment opportunities in the state.
In their words...
The Indian frozen snacks market is on the rise as the combination of taste and convenience is rapidly increasing the retail market. For a variety of reasons, including agro-climatic conditions, a strong base of skilled farmers and infrastructure, Gujarat will continue to be our preferred destination.-Vikas Mittal, Managing Director, McCain Foods
Industry:
Chiyoda, Tokyo, Japan
1984
Hitachi's state-of-the-art facilities are based at Gandhinagar and Sanand in Gujarat to manufacture a wide range of Power Electronics products. The Sanand-based manufacturing unit is modelled on Hitachi′s Omika Works, Japan.
Automotive
Dearborn, Michigan, US
Ford has invested $1 billion [Rs 6,200 crore] in its Sanand facility in Gujarat, which consists of vehicle assembly and engine plants. The plant has an installed capacity of 200,400 vehicles and 200,700 engines annually. It manufactures compact sedan Ford Aspire and hatchback Next-Gen Ford Figo. The company exports to Mexico, the Middle East and South Africa from the Sanand plant. In September 2016, Ford India achieved a new milestone by rolling out its 100,000th vehicle from the facility.
With the opening of our plant in Sanand, we have taken our growth commitment to a new high in India. We are doubling our manufacturing capacity in India, creating good jobs and serving our customers around the world with great products.-Mark Fields, President & CEO, Ford
Consumer goods
New York City, New York, US
2014
Colgate began construction work at its site in Sanand in 2012 and kicked off commercial production from its new facility in May 2014. The Sanand plant marked Colgate′s fifth plant in India. In the initial phase, the company was looking to manufacture 15,000 tonnes of toothpaste from this facility. The project has been set up with an investment of around $300 million [Rs 200 crore].
