Tata Motors’ PM Telang expects Nano sales to register 10,000 units per month very soon!

Tata Nano Concept at the 2012 Indian Auto Expo

Over the next two months, Tata Motors’ managing director PM Telang expects the Tata Nano to register sales of 10,000 units a month, up from the current levels of 7,000 that the small car has been managing over the past couple of months. Mr Telang expects this higher number to come from the attractive discount and exchange offers that Tata Motors is bundling with the Nano along with the big increase in the number of standalone dealerships that Tata Motors is planning for the Nano across India.

If the Nano manages to hit 10,000 units a month, the car will further inch towards profitability for Tata Motors. Tata needs to produce at least 60% of the Nano’s installed production capacity of 250,000 units at the Sanand manufacturing plant, for the world’s most inexpensive car to be a profitable proposition for Tata Motors. Tata has already begun exporting the Nano to Sri Lanka and Nepal, with Bangladesh to be the next market that Tata is looking at.

Tata Nano Concept with front disc brakes at the 2012 Indian Auto Expo

Tata Motors is also planning to set up assembly facilities in South East Asia to produce the Nano. Indonesia is one option the automaker is looking at. All these moves will lead to volumes of the Nano going up, and the small car becoming a profitable venture for Tata Motors and crucially, the suppliers who have also invested big amounts of money to make specific components for the Nano.

Tata Motors also has the CNG variant of the Nano, which it showcased at the Auto Expo. The petrol-CNG dual fuel version of the Nano could be a good bet for the bigger cities of India, where there is a high accessibility to CNG fueling stations. The Nano CNG will also be a good alternative to the Nano diesel, which is still at least a year away. The diesel variant of the Nano though will not be launched in 2012.

Via MoneyControl

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