Hyundai Motors India Limited (HMIL), the largest car exporter and the second largest car maker in the Indian market, is mulling over the option of establishing a new manufacturing facility in the state of Gujarat. Recently, a team of Hyundai India officials had visited a site in Dholera near Ahmedabad, an area suggested by the state officials.

Dholera, which is spread over an area of 80,000 km, falls in the special investment region (SIR) near Ahmedabad. Location wise, Dholera is strategically very important reason to establish car manufacturing plant as it is located near to Delhi-Mumbai Industrial Corridor (DMIC) and is just 90 km away from Ahmedabad city where the state government will establish a new international airport, within next few years.

Meanwhile, Hyundai India has announced to establish a new diesel engine manufacturing plant in the Indian market with an investment of Rs 400 crore.

The state of Gujarat is gradually emerging as a hot investment destination for auto makers since the Tata Motors has relocated its plant from Singur in West Bengal to Sanand in Gujarat. The government has been offering a number of benefits and tax waivers to the car makers and aims to make the state a manufacturing hub. Recently, official of the Indian unit of US based leading car maker Ford were in talks with the state government to set-up a new production facility in the country.

Hyundai currently sells about half a dozen cars in the Indian market that comprises of small hatchback like Santro Xing and i10, premium hatchback i20, mid-size sedans Accent and Verna Transform, premium sedan Sonata Transform, and recently launched luxury SUV Santa Fe.

For more India Car News visit Carzy