Maruti evaluates options to continue with M 800

Maruti Suzuki India is evaluating options of continuing with its first model Maruti 800 as also van model Omni post March 2010 when Euro IV emission norms would be in force in major cities.

"Technically, we can upgrade the M 800 and Van models to meet latest emission norms, but it would be a commercial decision whether the models would be continued or not," Maruti commercial business head S N Burman said here today.

"As marketing professionals, we want that M 800 continues as it is an important model for our numbers. We are working on this subject. But, I don't know about its continuance," Maruti Director (Marketing & Sales) Shuji Oishi said on the sidelines of the launch of Ritz here.

Burman said the final call on the subject would be taken considering whether the additional cost would be viable to meet the latest emission norms to convert these models.

He, however, ruled out the possibility of continuing with M 800 was in response to Tata's Nano.

Burman said the company would not export the Ritz, the first Euro IV car, but aimed to export one lakh units of the A Star model.

He agreed that the A and A2 segments of the market would continue to be the focus and new launches could be in these segments.

The models in A and A2 segment contributed 72 per cent of Maruti's sales.

The company has sold 7.92 lakh passenger cars (including exports) during the previous fiscal, growing by 3.6 per cent and aimed to cross the one million mark in 2010-11, Oishi said.

He said Suzuki Corporation was working on a new business plan for its global operations including India and reworking on target numbers in the wake of global recession.

Meanwhile, Maruti was planning to expand the K series engine capacity to three lakh units per annum by 2011 from two lakh now.