GWM, Foton PMI and Exxon Mobil commit Rs 5,530 crore investment in Maharashtra

by Nilesh Wadhwa 15 Jun 2020


In what is good news for Indian industry amidst the ongoing Covid-19 pandemic, for the domestic automotive industry and for the automotive hub of Maharashtra, the state of Maharashtra today signed 12 MoUs worth Rs 16,030 crore with investors from 12 countries and agreements with the United States, China, South Korea, Singapore and Indian investors.

The event marked the launch of the Magnetic Maharashtra 2.0 roadmap aimed at reviving the economy in the state and promote industrial development. Amongst the industries that have announced their intent to set up or expand manufacturing operations in the state, companies from the automotive and allied sectors have committed Rs 5,530 crore worth of investment and to create jobs for more than 3,000 people amongst them.

Automotive industry is a big draw
One of the major investments in the automotive segment is from Great Wall Motors, which has announced a Rs 3,770 crore investment towards setting up its plant in Talegaon, Pune, and also hire more than 2,042 people. In January 2020, Great Wall Motors had signed an agreement with GM to acquire GM India’s manufacturing facility in Taleagon.  

The second major investment in Maharashtra is from Haryana-based coach manufacturing company PMI Electro Mobility Solution with its Chinese partner Beiqi Foton Motor to set up an electric bus manufacturing plant in Talegaon of Rs 1,000 crore and create 1,500 jobs.

Also, Exxon Mobil, the American oil and gas major, will invest around Rs 760 crore in Isambe, Raigad district. Other investors include logistics firms. 

The Maharashtra government also signed agreements with the World Association of Investment Promotion Agencies (WAIPA) and the US India Partnership Forum (USISPF).

Uddhav Thackeray: "We will ensure every form of assistance from the state for setting up facilities without any hurdles." (Twitter/Office of Uddhav Thackeray).

Speaking in a video message, on Twitter, at the launch of Magnetic Maharashtra 2.0 Roadmap, Maharashtra chief minister Uddhav Thackeray said, “This Magnetic Maharashtra event is a personification of the spirit of the human race. Even as we face the challenge of corona, we know one thing clearly – that we must not give up or give in. Our MoUs today don’t only signify a regular understanding between industry and the State. It is no longer simply only an investment of capital. This is an investment of faith. This exchange of MoUs is a small sign on paper but symbolises our intent as mankind to begin again." 

"Maharashtra is traditionally a land of progress, innovation, positive disruption. We are truly blessed with not only tradition but also rich geography and warm, hard-working citizens and friends who invest faith in us. Today, I am indeed pleased to announce that we have signed over Rs 16,000 crore crore worth of MoUs and I want to offer my gratitude to our key investors who will invest another Rs 8,000 crore in the coming months. From our end, we will ensure every form of assistance from the state for setting up your facilities without any hurdles. Sustainable development, jobs for local youth, skill development and prosperity of the state and industry is what we must achieve. As a state, we have always met and often surpassed the need of industries and we will always do so,” he added. 

With Magnetic Maharashtra 2.0, the state has rolled out the red carpet for investors. Companies looking to set up operations in the state will not need many licenses. Instead, a general license will be issued in 48 hours, and the government will set up an industrial labour bureau to help them.