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Tata Motors announced today that the mother plant for the Nano will be relocated to Sanand in Gujarat, India. The plant will take up nearly 1100 acres of space and Tata hopes to crank out roughly 250,000 Nanos each year from this location, though the plant's capacity allows for around 500,000 cars to be produced each year. This new plant is said to generate over 10,000 direct and indirect jobs.

While this new plant is being built, Tata Motors will look into the possibility of manufacturing the Nano at its existing facilities at Pune and Pantnagar. The car is expected to launch in the last quarter of 2008.

Click through the post to read Tata Motors' official press release.

TATA MOTORS’ NEW PLANT FOR NANO TO COME UP IN GUJARAT
Chosen site is at Sanand, near Ahmedabad

Ahmedabad/Mumbai, October 7, 2008: Tata Motors today announced that the mother plant for the Nano will be relocated to Sanand in Gujarat.

The company had received overwhelming support from several states for relocating the plant. After examining various sites in these states and carefully evaluating offers from the respective governments, the company has concluded that the site at Sanand and the offer from the Gujarat Government is in the best interest of the project.

The integrated project, comprising the mother plant and the vendor park, will come up on an area of about 1100 acres. The plant, to begin with, will produce 250,000 cars per annum. The capacity is expandable up to 500,000 cars per annum. The project, including Tata Motors’ plant, vendor facilities and service providers, will together generate over 10,000 direct and indirect jobs.

Speaking at the announcement, Mr. Ratan N. Tata, Chairman of Tata Sons and Tata Motors, said, "The site in Gujarat, already under the possession of the state government, will help Tata Motors establish a new dedicated mother plant with the shortest possible time lag and least possible incremental project cost. This is Tata Motors’ maiden venture in Gujarat, and will broad-base the company’s manufacturing footprint. We are happy to contribute to Gujarat’s strong industrial progress by creating an auto cluster, which will have a cascading impact on the state’s economy.”
While awaiting the Sanand plant’s completion, Tata Motors will explore the possibility of manufacturing the Nano at its existing facilities at Pune and Pantnagar, and launch the car in the last quarter of this financial year.

About Tata Motors
Tata Motors is India's largest automobile company, with revenues of US$ 8.8 billion in 2007-08. Through subsidiaries and associate companies, Tata Motors has operations in the UK, South Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business comprising the two iconic British brands. It also has a strategic alliance with Fiat. With over 4 million Tata vehicles plying in India, Tata Motors is the country’s market leader in commercial vehicles and among the top three in passenger vehicles. It is also the world's fourth largest truck manufacturer and the second largest bus manufacturer. Tata cars, buses and trucks are being marketed in several countries in Europe, Africa, the Middle East, South Asia, South East Asia and South America. (www.tatamotors.com )