Maruti planning yet another capacity increase

Maruti SuzukiIt's been just after two months after the market leader Maruti Suzuki announced a rise in the capacity of the company, but according to a top official familiar with the matter, the company is working on a plan to announce another round of increase in the Indian market. R. C. Bhargava, Chairman, Maruti Suzuki said that the company will make an announcement of the second hike by the end of the current year.

Moreover, Bhargava also mentioned the fact that a standard line of the company has a capacity of close to 2.5 lakh units that require and investment of over Rs. 1,500 crore. It is believed that even this expansion will take place at Maruti's plant in Manesar, Haryana. It may be noted here that this expansion will be apart from the Rs1,700 crore, 250,000-unit line at the same facility, the company had announced in the month of March this year.

The company expects this production line to be ready by the year 2012 that will help it match the rising demand of the Indian consumer. Currently, models like the Swift, Swift DZire and Eeco have a waiting period of one-three months.