Tata Motors to develop Nano variants

02 July 2008

Kolkata: Soaring oil prices have forced Tata Motors to develop new Nano variants that will not only be fuel -efficient but also meet environmental standards.

Ratan Tata, chairman, Tata Motors in the 2007-08 annual report of the company, stated that high volumes of the Nano range will boost sales and improve the market position of Tata Motors drastically, in the small car segment in India. Tata pointed out that 2008 was going to be a tough year for the company as the rise in fuel prices was expected to take toll on the commercial vehicle and passenger car sales in India.

He said that the company's new plant at Singur in West Bengal was expected to go into operation in the last quarter of 2008 and the manufacturing facilities would be expanded to meet the demand in the domestic and international markets in future.

''New variants of the Nano are also currently under development to meet the new environmental and fuel challenges, as also the market requirements of several international markets,'' he added.

Ever since Ratan Tata announced his intention to build the cheapest car ever, there has been criticism from a variety of Tata baiters. Some competitors ridiculed the idea and questioned the company's ability to launch a car at such a low price.

Environment activists including  Nobel Peace Prize recipient, R K Pachauri, raised questions on the entry of the Nano at a time when Indian roads are witnessing vehicular congestion and raising pollution levels.The Nano made its debut in the Auto Expo in New Delhi in January 2008 (Also see: Why critics of the Tata small car are barking up the wrong tree)