Foxconn, the global electronic manufacturing giant and one of the key suppliers to Apple, has decided to invest a whopping $5 billion in Maharashtra over the next three years for electronic manufacturing facilities.
Foxconn chairman Terry Gou signed the memorandum of understanding for the investment with Maharashtra chief minister Devendra Fadnavis in Mumbai which will create 50,000 jobs in the state.
“This MoU would take us ahead on path of making @narendramodi ji’s and our dream of makeinindia & MakeinMaharashtra true. Thank you Mr Terry Gou,” Devendra Fadnavis tweeted after the MoU.
“Govt of Maharashtra would partner in this journey. We have gone a step forward. This is the right time to invest in Maharashtra,” Fadnavis added.
The investment comes in the wake of Fadnavis’ visit to China around two months ago where he had also met Foxconn officials.
Commenting on the occasion, Terry Gou said, “We sat seven times. I appreciate government of Maharashtra’s efforts and wonderful team. Chief Minister Devendra Fadnavis showed amazing leadership and his passion for Maharashtra.”
Fadnavis is truly a visionary leader. I am confident that if Maharashtra changes it is bound to change India, Gou added.
Fadnavis said he believes that if Foxconn starts manufacturing facilities in India, the pressure of electronic imports will be reduced, giving a boost to the current account deficit of the country.
He also said Maharashtra would be a key partner in setting up a hi-tech arena in the country.
Recent reports had suggested that Adani Enterprises is likely to form a joint venture with Foxconn to establish electronic manufacturing facilities.
Adani Enterprises, however, had clarified saying that the company is only at the discussion stage and have not signed any agreement which requires disclosure under Clause 36 of the Listing Agreement.
Factory in every state
Foxconn, the world's largest electronics assembly manufacturer, on Saturday said India would be the next IT (information technology) hub for it while expressing a desire to open factories in all states in the spirit of the Make in India initiative.
In an interview to CNBC-TV 18, Terry Gou, chairman of Taiwanese firm Foxconn, said, “We want to expand our base after setting it up in Pune. The Maharashtra government had encouraged us to come to India and invest in the state.
“The plant in Pune will be dedicated to production, innovation and research and development,” Gou said.
“We are not only going to make things here but we are looking at bringing the whole ecosystem here,” Gou had said earlier.
“We are also looking for local partners in the country and have visited plants of Tata Sons, TCS and Shapoorji Pallonji,” Gou said, as he reiterated his partnership with Adani.