India's largest commercial vehicle manufacturer Tata Motors has signed an initial deal with the government of Maharashtra to set up a 35,000 vehicle/yr scrappage centre in the state.
The scrappage facility will provide "benefits such as low import bills for scrap and crude oil, job opportunities for micro, small and medium enterprises, the possibility of upside in new vehicle sales for original equipment manufacturers, low operation cost for vehicle owners, safer and cleaner vehicles for consumers and a sustainable environment for all", Tata Motors said in a statement today.
The automaker will set up the scrapping centre in association with a partner, it said.
India launched the national vehicle scrapping policy in August this year aimed at phasing out unfit and polluting vehicles, while increasing domestic scrap metal processing capacity and reducing dependency on scrap imports.
Tata Motors announced a 36,000 vehicle/yr scrapping facility in Ahmedabad, Gujarat, earlier this year.
Maruti Suzuki Toyotsu India, a joint venture between India's Maruti Suzuki and Japan's Toyota Tsusho group, launched a 24,000 vehicle/yr scrapping and recycling unit in Noida, Uttar Pradesh, last month.
