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This is an archive article published on October 1, 2008

Maruti to set up new R&D centre

In order to strengthen its Research and Development base in India, Maruti Suzuki India has firmed up plans to establish a new R&D centre at Manesar.

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In order to strengthen its Research and Development base in India, Maruti Suzuki India has firmed up plans to establish a new R&D centre at Manesar. The company aims to develop new models for the Indian as well as the global market by developing an independent R&D centre which will be at par with the Suzuki Motor Corporation’s (SMC) research centre in Japan. An official spokesperson of Maruti Suzuki India told The Indian Express that negotiations are on with the Haryana government for land and the project work will begin soon.

“The R&D centre is likely to be functional by the year 2010. We are also hiring engineers for our new R&D facility. At the beginning of the current fiscal we had about 270 engineers working with us and the number has grown to 570 now. We expect over a 1,000 engineers to be employed by 2010,” said the spokesperson. Maruti undertakes Research and Development for its new models at SMC’s research centre in Japan and its research facility is in Gurgaon. But with the new R&D centre coming up at Manesar, the company intends to shift the entire R&D base to India. The centre will also include a crash testing facility which will further reduce the manufacturing costs for Maruti.

Nearing its target of pumping in Rs 9,000 crore into the Indian market by 2010, Maruti has invested around Rs 5,000 crore in manufacturing operations in Manesar. The remaining Rs 4,000 crore will be invested in the development of the next generation KB engine plant in Gurgaon, an R&D facility at Manesar, a port at Mundra, rolling out new models like A-star and Splash as well as establishing regional stockyards and brand centres over the next two years.

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“Our production capacity will be scaled up to one million units by mid of October to support the launch of A-star in November. We expect our current exports of 53,000 units per annum to increase to 2 lakh units per annum by 2010. To match the quality standards followed worldwide, we are upgrading our Tier-II suppliers by training them at our Centre of Excellence in Gurgaon,” he added.

Maruti is conducting several pilot studies to bring services at the customers’ doorsteps. The “express service” through which the customer can get his car serviced while catching a movie or the “night shift” model where the servicing can be done at night, is at the testing stage. “Experiments are going on at different locations, once successful the services will be launched in the entire country. Another focus of our company in the coming two years will be to roll out CNG models of our cars,” said the official.

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