Chennai (Automobile captial of South Asia)
Polished to a gleaming finish by robots, three cars roll out every minute at the manufacturing plants of the top guns of the automobile industry, who have set shop on the city’s outskirts. Coming in at a close second are the commercial vehicles, that are churned out at a speed of one every 75 seconds. With land at throwaway prices and cheap electricity, Chennai has attracted names like Ford, Hyundai, BMW, and most recently, Nissan and French brand Renault. The state government’s keen interest in providing a smooth transport corridor for these plants has compelled the global giants to expand operations here. As a port city, Chennai has probably given the biggest advantage for the auto giants. During 2008-09 alone, Chennai shipped 146000 cars to over 100 countries, making it the largest export hub for automobiles and auto components from India. The main reason TN has grown as an auto hub is the supportive policy of the state government, that has fostered the growth of the industry for over two decades now, says Rajiv Mitra, head, corporate communications, Hyundai India. “Apart from good infrastructure, the state has also given generous concessions like tax holidays, which has pulled in the big players,” he adds, pointing out how Hyundai has built up a steady market in Chennai. Besides the cars, global auto parts majors and tyre companies are also setting up their bases near Chennai. Apart from being home to traditional brands like MRF and Srichakra Tyres, the city has drawn …