We are in final stages for the new plant: Shigeru Wakabayashi

Q&A with Deputy Managing Director, Isuzu Motors India

Isuzu, the Japanese pick-up and sports utility vehicle making company is amongst the last entrants to make a India entry. Not only imports of models has started but the company has opened two showrooms in the south of the country. It is aiming at a full-fledged production in India in the coming years. Shigeru Wakabayashi, deputy managing director, Isuzu Motors India spoke to Swaraj Baggonkar. Edited excerpts.

What is Isuzu's mandate for India?

Our company was established in August last year, from October we started our business and in Febrary we opened two showrooms - Hyderabad and Coimbatore. We have started to sell MU-7 (SUV) and D-Max (pick truck) in India.

Are you importing these vehicles into India?

We are importing these vehicles as completely built units from Thailand. We are planning to make our own factory in the coming 3-5 years and before that we want to understand the customer requirement and market conditions. The MU-7 is priced at 23.75 lakh and the D-Max is priced from Rs 6.87 lakh (both ex-showroom, Hyderabad) onwards.

Have identified land or finalised investment size for the factory?

We are in the last stages in finalising the location and we have some candidates for it. We have study the proposals and summarise. Buying land is not easy in India. We are not going to north and the west (of the country). We are looking at the southern states.

Why have you chosen south?

Isuzu have big factory in Bangkok (Thailand) and our exporting hub for pick-up truck located there and in future we want to make a close collaboration between the two factories. We need a port for that (in India) and geographically closer to Thailand.

What is India's significance for your future operations?

Thailand is the export hub for light commercial vehicles. But for long term Indian operations could be very important. Indian market could be expanding to 10 million in five years. we can find very competitive price and good quality hub for components and we can procure parts for Thailand factory or we can produce cost competitive pick-up truck in India and supply to other country.

Do you think you are late in entering India?

Many countries in the west like US, UK, Germany, Sweden has one car per household and in Indian and China, vehicle penetration is still quiet low, many families still do not have cars. There is still a long way for India and there is lot of room for growth here.