GMI to raise investment, introduce new models

KOLKATA, JULY 14. General Motors India plans to raise its investment from $162 million besides introducing three new models in the domestic market in the near future.

``India has been identified as one of the key growth markets in the region. We have plans for further increase in our investment in the country and introduce new models," company vice-president (corporate affairs), Mr. P. Balendran, told reporters here.

At the launch of Opel Swing, he said three new models could be introduced in the near future. Besides, the company was working on to bring in completely built units to the country.

Meanwhile, GMI, a wholly-owned subsidiary of General Motors Corporation, was targeting a sales of 10,000 units for its three models - Opel Astra, Opel Corsa and the newly launched Swing - during the current year.

This would be a 27 per cent jump over the 7,300 units sold in 2000, he said. The target for next year was put at over 15,000 for the three models taken together.

On investment plans, Mr. Balendran said GMI would raise its investment on a regular basis given the importance of the Indian market to the parent company. In 1999, GMC took over 50 per cent stake of Birla group in the Indian JV. Subsequently, investments were being raised from $20 million to $162 million, he said.

The company has also decided to widen its dealership network. ``We have 42 dealers and 25 authorised service outlets (ASOs) spread across the country. By the end of this year, we intend to have 45 dealers and 40 ASOs in 85 locations," Mr. Balendran said.

On the new launch, he said, Opel Swing - an all purpose five-door compact vehicle - was developed on the aspirations of customers as reflected in a recent survey by the company. The model, available in two engine options of 1.4 and 1.6 litres, has been priced (ex-showroom, Kolkata) at Rs. 6.4 lakhs (1.4 litre) and Rs. 6.6 lakhs (1.6 litres). The exclusive features included a flexi-boot, raised roof rails, low loading height for baggage, a luggage compartment cover, reinforced suspension, among others.

- PTI

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