After facing controversies in West Bengal, finally TATAs announced the shift of project to Northcote Cattle Farm in Sanand, 30 km from Ahmedabad, Gujarat. While this will delay the rollout of word's cheapest car but still TATAs are committed to roll out Nano in the last quarter of the this financial year.
Tata's stocks are already up in the hope of Nano, while protests at Singur, West Bengal hampered progress of Nano production, the Tata made quick moves to shift it to Gujarat. Tata took decision to shift project to Ahmedabad after having survey at various placed around the country including Karnataka, Andhra Pradesh, Uttarakhand etc.
The Gujarat government today handed over 1,100 acres of prime land for the project. The Tata group will invest Rs 2,000 crore to manufacture the Nano and its variants including an electric car and a CNG car.
The project was almost 90% completed at Singur, West Bengal while TATA announced shift to project to Gujarat. Though farmers were given compensation at much higher rates but still they were not happy and may be involvement of Govt. made thing hard for TATA over Singur. The clear reason for the TATA's loss over Singur despite of full support from State Govt. seems to be lack of transparency in talks between protester and Tata management.
The plant will have a capacity to manufacture 250,000 cars a year in the first phase, which will be built up to 500,000 cars a year.
The project complex will also house a vendor and ancillary park accommodating 60 small and medium units and “could be bigger than the project originally envisaged,” Tata said.
THE NANOMeanwhile, Tata Motors will explore the possibility of manufacturing the Nano at its facilities at Pune, Maharashtra, and Pantnagar, Uttarakhand, to meet the launch deadline.
While Gujarat took advantage of having better infrastructure and also having good image as per Industrial point of view, Tata said the other reason to choose Gujarat was location of the land provided as well as the price TATA has to pay for acquisition.