Exide to double OEM supplies by FY10

The rise in supply is seen following a slew of agreements with original equipment makers for passenger cars, most of which will hit the roads in 2009-10, Kataky said in an interview.

The Kolkata-based company has signed exclusive supply deals with automobile makers like General Motors India, Toyota Kirloskar Motor and Fiat India.

"Our supplies to the original equipment manufacturers (OEMs) are likely to reach 5 million units a year, from the present level of 2.5 million units, in 2009-10, when supplies for Tata Motors' Nano, new vehicles of Toyota, General Motors and Fiat would start, coupled with enhanced supplies to Maruti and Tata Motors' existing models," Kataky said.

However, he refused to divulge the details of the specific model for which the contract with General Motors has been signed, but said the deal was not for General Motors' proposed small car.

General Motors had earlier said it intended to launch a second small car in India at a price point below Chevrolet Spark's.

Exide currently supplies batteries to General Motors for Tavera.

"The GM model, for which we will be supplying, is code-named. However, it's not a small car," Kataky said.

Similarly, the brand names of Toyota and Fiat models have also not been revealed, he said.

Hyundai Motors India's i-10, which debuted in 2007-08, is sourcing its batteries from Exide, and the company also has a contract with the car-maker for its upcoming model, to be unveiled in the current financial year, Kataky said.

Hyundai reportedly plans to launch a new car that will be positioned between Verna and Sonata, and is also considering launching its i30 model in India.

Nano deal
Kataky said Exide's agreement with Tata Motors for supplying batteries to its Rs 1,00,000 Nano is only for 50 per cent of the production of the small car.

Tata Motors had earlier announced that production capacity at its Singur plant in West Bengal, which is expected to go on stream in October, would be 250,000 Nanos a year.

As Tata Motors would not be reaching that capacity initially, Exide would be meeting 100 per cent of Nano's requirement "initially".

"We understand that in the initial period, we would be meeting all of Nano's requirement, though our agreement is for 50 per cent of their capacity when they reach that level," Kataky said.