JLR to accelerate sourcing from India: Tata Motors

Tatas-owned British marque Jaguar Land Rover (JLR) will accelerate sourcing of components from India by leveraging the parent's extensive supplier base, Tata Motors said today.

"The journey of sourcing for JLR will be more accelerated (now) given the strong supplier base of Tata Motors in the country," Tata Motors President (Passenger Car) Rajiv Dube told reporters here.

JLR already has a sourcing office in Chennai since the days it was owned by Ford, which will now be shifted to Pune and eventually help the two iconic brands in leveraging Tata Motors' supplier base, he added.

Dube, however, did not give details of how much component JLR at present sources from India nor did he give any targets.

Earlier in February, speaking to analysts Tata Motors CFO C Ramakrishnan had said JLR was aiming to increase sourcing from low cost countries, including India, to about 30 per cent from existing 20 per cent.

JLR today opened its second dealership in the country at the National Capital. The first flagship outlet was launched at Mumbai in June last year.

Tata Motors is targeting to have a total of up to seven dealership across the country by the end of next fiscal.

"Hyderabad will soon follow, probably in next two months. After that Ludhiana is on the pipeline, and we are looking at Bangalore and Chennai. We may also choose one city between Cochin and Pune... All will come hopefully by next fiscal," Dube said.

Through its single showroom in Mumbai, the company is expecting to close this fiscal by selling 250 units of the two brands, he said, without giving any future projection.

"In the last two months, Land Rover has done even better than some of the German brands in India," Dube said.

Dube pegged the current premium luxury car market at 1,500-2,000 units a year and said it is growing every year.

"The market of Jaguar should expand when we will bring in the 3 litre diesel Jaguar later this year. Currently, we are selling the Jaguar with 5 litre engines here," he said, adding that the company will introduce the new XJ in the country during July-September quarter this year.

Dube also said the prices of Tata Motors vehicles will be increased in April as engines are upgraded to meet Bharat Stage IV emission norms. He, however, did not give the quantum of the price rise.