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Nissan to launch 10 models by FY16

Looks at expanding capacity, setting up new unit

T E Narasimhan  |  Chennai 

Japanese auto major is planning to ten upto fiscal 2016. In 2013-14 the company will Micra CVT (continuously variable transmission), Sunny CVT, compact sports utility vehicle (SUV) and its Datsun brand in India, said a senior official from the company. The company also said it will expand its through brown and green field expansions.

Toshiyuki Shiga, chief operating officer, Motor Company Ltd said that it has set a target of 10% market share by end of fiscal 2016 in India. To achieve this target the company is planning to 10 upto 2016 and planning to expand its dealership network to 300 from the current 95. At present company's market share in India's passenger vehicle segment is around 1.5-1.6%.

In 2013-14, will launch Micra CVT, Sunny CVT and it Compact SUV. CVT can provide better fuel economy than other transmissions and it will be more emission friendly also. Shiga claimed, Micra and Sunny CVTs can give 10% better fuel efficiency.

Commenting about company's sales target in India, he said the company is aiming at more than 50% increase on year on year sale over fiscal 2011. “Next fiscal we have set a target of one lakh vehicles sales in India, which is challenging but potential is available,” said Shiga. Last year the company sold around 50,000 units in India.

Shiga added, Nissan's strategic decision to invest in India is for three key reasons manufacturing, export base and research and development. It may be noted the company exported aroune one lakh vehicle from the Oragadam plant to over 80 countries.

On the manufacturing front, the company has invested around Rs 4,500 crore to set up a manufacturing capacity, which can produce upto four lakh vehicles a year on a three shift basis. The plant was set up at Oragdam, near Chennai along with its French partner Renault.

Takayuki Ishida, managing director and chief executive officer, Nissan Motor India, Indian subsidiary of Nissan, the issue of is under study at the group’s headquarters in Japan, which include expanding at the existing facility, setting up a new plant in or outside Tamil Nadu.

Currently the company has a of 200,000 units per annum at RNAIPL and one line is operating in three shifts, and the second line will also be increased to three shifts next year.

Speaking about the proposed models under Datsun brand Shiga said, the Datsun brand will focus on Indian and Indonesian markets while the Nissan brand is a global one.

Datsun for India is being designed at the Renault Nissan Technology and Business Centre India Pvt Ltd- the research and development outfit for Renault and Nissan in India.

The Datsun car is expected to be priced around Rs 4 lakh and Ishida refutes any notion that it would be cheap car. “ Datsun will target the first time buyers and as the first time buyer want to upgrade to the next level, Nissan brand will come into place”.

According to Ishida the company is also mulling the option of having a separate dealership network for Datsun brand. He did not clearly comment whether the dealership would be owned by Nissan India or by Hoover Automotive India, the sales company for Nissan vehicles.

First Published: Fri, February 01 2013. 16:08 IST