Nano plant faces cost escalation

Speaking to mediapersons after a meeting with the West Bengal Chief Minister Buddhadeb Bhattacharjee at Writers Building, the state secretariat, Tata Motors Managing Director Ravi Kant said that the company had already sunk in Rs 2,000 crore while the earlier project cost was pegged at Rs 1,700 crore. The project was facing cost overrun and had been reworked due to floods at the site last year, which led to cost escalation.

Kant reiterated that despite cost overrun the Rs 1 lakh car would roll out from Singur before Durga Puja. Trial production would start from July-August. "We are working at breakneck speed so that we car start production as soon as possible," he said.

Kant also said that "the company was flooded with foreign enquiries, for setting up the small car plant and distribution networks.It is a great sense of pride for everybody, he said. It is a pride for Bengal also" said Kant.

Kant visited Singur yesterday to review the progress of the project and sources indicated that part of the agenda was to review the drainage system.  To avoid flooding, the level of the land had been raised by 1.5-2 metres. Kant's last visit to Singur was in February this year.

However, his visit was marked by protests from about 100 villagers demanding jobs at the small car plant. The police had to fire teargas shells on the villagers, who had assembled under the of the Trinamool Congress-affiliated Krishi Jami Raksha Committee.

Responding to queries on whether Kant would discuss with the Trinamool Congress, he said that the company was open to discussions with anybody but added, "We have come here to manufacture, not to be involved in politics," he said.