Tata’s Sanand factory working at peak capacity, after the usual suspects had predicted doom

The Tata Motors plant at Sanand, Gujrat has recently reached 100% capacity utilisation. The plant, which was initially set up to manufacture the Tata Nano compact car, now produces Tata’s successful models Tigor and Tiago and Tigor-electric. The plant has now reached its maximum production capacity of 150,000 units per anum.

According to reports, the manufacturing plant at Sanand, Gujarat alone contributes to 60% of the total passenger vehicle production of Tata Motors and since its inception in 2010, has rolled out a staggering 4,50,000 units. With the current production rates at maximum capacity, the plant will reach the number of 5,00,000 rolled out units by October this year.

Going further on its efficiency, the plant also has produced the Tigor Electric. As part of the order received from the Energy Efficiency Services (EESL) Ltd, the plant has rolled out 250 EVs so far. As per the contract with EESL, the plant had to make 5000 EVs for various government departments.

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It is curious though, how such a vibrant and successful manufacturing facility, which is at its peak of production, was termed ‘dead’ by none other than Congress President Rahul Gandhi. Rahul, during his campaign for Gujrat assembly elections, had declared that 33,000 crores of tax payer’s money were turned to ‘ash’.

Rahul had shared a report in Business Standard that stated that dealers have stopped placing orders for Tata Nano car and the vehicle is seeing nominal, almost single-digit sales in the past months. From that Rahul had propagated the idea that since Nano productions are almost over for lack of demand, the Tata manufacturing plant will now be ruined and closed. Which is totally false.

Even the claim of 33,000 crores of Tax payer’s money was debunked by Tata Motors themselves. They had issued a clarification letter stating that Rahul’s claims were wrong and the Sanand plant had only received a loan of Rs 584.8 crores from the Gujrat government.

As usual. Rahul’s ideas were soon picked up by the usual suspects.

Then again, in July this year, when it was officially announced that the Sanand Plant will not be producing Tata Nanos anymore, similar claims were furthered.

It is evident here, that the individuals have picked up the idea of the plant ‘dying’ along with the Nano model which is baseless and fact-free. The plant stopped producing Tata Nanos because of low demands and lack of popularity of a single model. A particular model being discontinued after a certain time is not out of the ordinary in the auto industry and happens all the time. The Tata Nano had started with much fanfare and had created wide curiosity for being the cheapest car. But it failed to find customer popularity after a while, and hence the company eventually decided to stop manufacturing.

But a manufacturing plant the size and level of the Tata plant in Sanand is never exclusively designed for one model. The Sanand plant has been manufacturing other Tata car models and quite successfully so, a fact that has been so conveniently ignored by people who were quick to declare that the plant was a ‘waste of tax payer’s money’. It is notable here that the article quoted by Rahul Gandhi and Bhushan itself says that Tigor and Tiago models are actively being produced. One Twitter user, Dhaval Patel, reminded Prashant Bhushan of his old claims.

Rahul Gandhi is used to making false claims. Recently he had even lied on the floor of the parliament regarding the Rafale deal during the discussion on the no-confidence motion against the NDA government.

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