In one of the biggest movement of auto ancillary units to a single location in the country, over 15 vendors of automobile manufacturer, Ford Motors, — including those from US, France and Germany — have moved to Sanand in Gujarat. This according to Gujarat government officials is singular largest movement of auto ancillary units in to Gujarat after Tata Motors vendors shifted to Sanand six years ago.
The Ford vendors together have invested close to Rs 500 crore and have taken up over 130 acres of land within the Ford Vendor Park within Sanand GIDC estate, figures sourced by The Indian Express from Gujarat government reveal. The influx of the vendors, most of whom are multinational companies, comes at a time when Ford Motors plans to commission $ 1 billion plant at Gujarat’s emerging automobile hub by the end of 2014.
“About 15 vendors of Ford have come to Sanand investing close to Rs 500 crore for their new units. This is the single largest movement of auto-ancillary units into Gujarat after vendors of Tata Motors moved from Singur in West Bengal to Sanand few years back,” said a senior state government official referring to the 30-odd vendors of Tata Motors who had shifted to Sanand, about 40 kilometers from Ahmedabad.
Among the 13 Ford vendors who have already taken up space inside the Ford Vendor Park specially created on 200 acres of land at Sanand includes Getrag Transmission India Pvt Ltd, the Indian subsidiary of 80-year old German firm Getrag that is among the biggest Ford vendors to have come to Sanand so far. Getrag has acquired over 1.45 lakh square meters of land (about 36 acres) with the Sanand GIDC with an investment of Rs 159 crore.
Another German automotive supplier, Cosma International having presence in over 29 countries will be setting up base on 35,000 sq mtrs of land at Sanand. Cosma International, a wholly-owned operating unit of Magna International, is one of the world’s premier global automotive suppliers providing a comprehensive range of body, chassis and engineering solutions to our OEM customers.
Even the French have decided to set up base in Gujarat. Valeo India Pvt Ltd which has acquired over 60,700 sq mtrs of land, while another French vendor of Ford that has decided to pitch tent is Noble Automotive. It has acquired over 20,300 square meters of space. Apart from the French, London-based Lord Swaraj Paul-promoted Caparo Engineering who is also a Ford vendor has taken up 39,900 sq mtrs of land at Sanand. Caparo is already present at Kalol near the General Motors plant in Gujarat.
Among the Indians vendors who have taken up space include JBM Autosystem Pvt Ltd (a Tier-I supplier to automotive OEM industry and caters to companies like Ford, General Motors, Maruti Suzuki, Honda, Toyota and others), Mahabal Metals and Indica Industries.
“There are some Ford vendors who have acquired land outside the Ford Vendor park at Sanand for the ease of doing business with other auto companies as well,” said Nirav Kothary, the head of industrial real-estate of Jones Lang LaSalle (JLL), a global real-estate consultant. “This is one of the largest movement of auto-ancillary units after vendors of Tata Motors shifted to Sanand few years back,” confirms Kothary.
Vendors like Mitsubishi Steel Manufacturing Co Ltd have taken up space outside the Vendor Park at Sanand, state government sources pointed out.