Maruti to consider price hike next month
Automobile major will be taking a call on whether to up the price of its offerings next month, its Managing Director said.india Updated: Jun 29, 2006 21:27 IST
Automobile major Maruti Udyog Limited (MUL) will be taking a call on whether to up the price of its offerings next month, its Managing Director Jagdish Khattar said on Thursday.
Addressing journalists after inaugurating Maruti's largest dealership, SK Wheels Pvt Ltd, in Navi Mumbai, Khattar said that rising commodity costs and the increase in fuel prices were factors that MUL would take into account while deciding whether to hike the price of its offerings.
Khattar also said that MUL would be launching a diesel car by end-2006. "This will be manufactured in our Manesar (near Gurgaon) factory and we will initially manufacture 1,00,000 units which we will gradually scale up to 3,00,000 units depending upon business requirements."
The investment is pegged at Rs 1,500-crore.
He also said that a new model for exports would be launched in 2008.
Khattar further stated that MUL's diesel and transmission plant at the same location would be completed by end-2006 at an investment of Rs 1,400-crore.
In reply to a question on MUL's auto components joint venture, Khattar said that the JV could also supply components to other parties. "In fact, some auto component manufacturers will be encouraged to set up their units at our Manesar plant," he said.
On the alliance with Nissan, Khattar said that the details of the venture were yet to be finalised but initially, "we will have a capacity to manufacture 1,00,000 units which will then be gradually hiked."