27/08/2017
PUNE: Leading
automobile manufacturer Tata Motors is now working on alternative plans
for its small car Nano, whose sales have fallen making its production not a
viable proposition, an official of the company said. Tata Motors would launch a
compact SUV from its shared platform at Ranjangaon plant at Pune, he added
further.
Asked about the future of Nano, COO of Tata Motors Satish
Borwankar said "going forward, alternative plans for Nano is being
considered. Like the electric version of the small car, production of Nano is
no longer a viable proposition".
But he clarified that the company would not phase out Nano as
there were sentimental reasons attached to it and the shareholders also wanted
its production to continue. After the company abandoned the Singur plant, Tata
Motors shifted the production facility to Sanand in Gujarat.
"Around 1000 Nano cars are being sold every month at the
moment", he said. He said that the Sanand plant's assembly line produces
three passenger vehicles (PV), namely Nano, Tiago and Tigor. "The
production volumes of Tiago and Tigor are substantial as compared to Nano which
is very small", the official said.
Asked about the arresting the falling market share of both its
commercial vehicles (CV) and PVs, Borwankar said "there was a issue of
customer connect which is now being addressed". "We are now
understanding the customers' issues by visiting the dealerships. The sales for
June, July and the current month have bounced back", he told reporters.
The other problem regarding the CV segment was that the
vendors were finding it difficult to give the supplies. They are ramping up
production as demand has increased, he said. "This launch will be before
Diwali", the official said. Average capacity utilisation of the plants
manufacturing CVs has increased to 75 per cent, while those producing PV were
running at peak capacity, he said.
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