In a landmark move for India’s automobile and logistics sectors, Prime Minister Narendra Modi recently unveiled the country’s first automobile in-plant railway siding at Suzuki Motor Gujarat Private Ltd.’s unit in Becharaji, Gujarat. This event, conducted via video conferencing, marks a significant stride towards sustainable and efficient transportation within the automobile industry.
The new railway siding initiative is part of the broader Gati Shakti programme, aimed at enhancing India’s logistic capabilities through comprehensive infrastructure development. By integrating rail transport within its operations, Maruti Suzuki India Ltd.’s (MSIL) subsidiary aims to significantly reduce its carbon footprint, minimize reliance on fossil fuels, and alleviate road congestion. This is not just an operational upgrade but a major step forward in the company’s commitment to environmental stewardship.
Once fully operational, this facility is expected to dispatch an impressive 300,000 cars annually to 15 different destinations across India. This scale of operation underlines the siding’s potential impact on making the automotive supply chain more sustainable and efficient.
The project has come to fruition through a collaborative effort involving Gujarat Rail Infrastructure Development (G-RIDE), Indian Railways, the Gujarat Industrial Development Corporation (GIDC), and MSIL itself. This synergy between public and private entities underscores the importance of collective action in achieving significant infrastructural milestones.
In addition to this, Maruti Suzuki has announced plans for further expansion, including the establishment of a fourth production line at the SMG facility by the financial year 2027. With an investment of Rs 3,200 crore, this expansion is set to increase the plant’s annual production capacity from 750,000 units to an impressive 1,000,000 units. Moreover, the MSIL board of directors has recently approved the acquisition of SMG from Suzuki Motor Corporation for a total purchase consideration of Rs 12,841.1 crore, indicating strong future growth prospects.
