The board of directors of Maruti Suzuki India (MSIL) has approved a contract manufacturing agreement between MSIL and parent firm Suzuki Motor‘s (SMC) subsidiary Suzuki Motor Gujarat (SMG), for a new plant in Gujarat.
The agreement is for an initial period of 15 years to be automatically extended for a further period of 15 years, unless terminated by mutual agreement. It could be extended again after the full 30 years.
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The Gujarat plant, expected to begin operations in May 2017, will have annual capacity for 750,000 units, ET Auto.com reported.
