Tata Motors lines up up to Rs 4,000 crore capex

With expected turnaround of auto industry by the latter half of the financial year, Tata Motors today said it is investing Rs 3,500-Rs 4,000 crore this year.
"Our capital expenditure plan for Tata Motors this year is Rs 3,500-Rs 4,000 crore and we will continue to invest for the next three-year period," Chairman Cyrus Mistry told shareholders at the annual general meeting (AGM) here.
The company spent Rs 3,094 crore on capex, design and development of products in FY 2014.
On international business, Mistry said the company will spend 3.5 to 3.7 billion pounds towards capex in Jaguar Land Rover business to launch new products. JLR will continue to expand its manufacturing footprint in growing markets like China and Brazil, he said.

The domestic auto industry, after seeing some bad years, started witnessing early signs of recovery and renewed confidence amongst consumers particularly with the stable government at the Centre, he said.
"Although the current year will be challenging one, we expect turnaround of the industry, particularly commercial vehicles market by the latter part of this financial year with a hope that the government would also come out with policy interventions that support the growth of auto industry, given its critical importance to development of the economy," Mistry said.

The company is working on a strong pipeline of new products and technologies keeping in view the changing market, customers' aspirations and regulatory needs. The company is at an inflexion point with its entire product portfolio being revamped with relevant and exciting products for target customers, he said.

The company is also strengthening its dealer network.
On the product front, Mistry said the company is hopeful of launching Tata Zest in August and Tata Bolt in the coming months.