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Rajkot city has the potential to be the game changer in Auto Mobile Startups

Rajkot is the fourth largest state in Gujarat, India and recently the auto-component industry based there has garnered up a lot of attention.

Due to the rapid surge from Maruti and Ford in Gujarat, the component makers in Rajkot City expect at least a 20-30 percent increase in the auto-components industry in the years to come.

After seeing how successful Tata Motors was after parking their Nano project in Sanand close by to the city of Ahmedabad, there is now massive sought out growth in Rajkot. At the beginning of September, R C Bhargava (chairperson of Maruti Suzuki) showed a keen interest in starting a manufacture there.

At the moment, the state government is busy trying to finalize contracts with Ford India. Ford is looking for 550 acres in Sanand so that they can start up a factory in Gujarat. If Ford India is granted the 550 acres that they’re looking for this will be a game changer for the automotive industry there.

The reality is that Rajkot’s industry is going to see a massive growth as soon as automakers begin their operations in Gujarat. This transition will reduce the cost of transportation, which will significantly help the industry move along and overcome the manpower shortage issue they have been facing for quite some time. Not only will it be an asset regarding the cost of transportation but it will also create more jobs. Right now, there are 500 auto component manufacturers in Rajkot, and out of those 500, approximately 50 of them supply to Original equipment manufacturers. The other 450 are simply small time businesses that are suppliers to retail marketers.
The automotive industry in Rajkot currently makes over 300 kinds of automotive parts, employing over 10,000 people.

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