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MUL indigenises sourcing for Alto, consumers to benefit
New Delhi, May 02: Maruti Udyog Ltd has localised up to 90 per cent of the components for its compact car Alto and passed on the cost savings to consumers ahead of taking the programme to production stage, Managing Director Jagdish Khattar said.
New Delhi, May 02: Maruti Udyog Ltd has localised up to 90 per cent of the components for its compact car Alto and passed on the cost savings to consumers ahead of taking the programme to production stage, Managing Director Jagdish Khattar said.
"We have passed on the price benefit on alto's 90 per cent indigenisation instantly to customers, though it takes time to reduce export content and then take it to the production line," Khattar told media.
After increasing the level of local components in a car, it normally takes six months to bring it to the production stage, but MUL extended the benefits of Alto's indigenisation to customers before the company started receiving benefits of reduced reliance on exports, he said. MUL, which is 54.2 per cent owned by Suzuki Motor Corp of Japan, last month introduced a low-priced 'Alto' variant at Rs 2.3 lakh (ex-showroom, Delhi), which Khattar described as an alternate entry-level car.
Local component content in 'Alto' has gone up to 90 per cent from 84 per cent a couple of months back.
"We have consistently worked towards bringing Alto's production cost low so as to give people a compact car at the price of an entry-level car," he said.
Before being indigenised to the level of 84 per cent, the car had 74 per cent local component when it made its debut in India. Bureau Report
After increasing the level of local components in a car, it normally takes six months to bring it to the production stage, but MUL extended the benefits of Alto's indigenisation to customers before the company started receiving benefits of reduced reliance on exports, he said. MUL, which is 54.2 per cent owned by Suzuki Motor Corp of Japan, last month introduced a low-priced 'Alto' variant at Rs 2.3 lakh (ex-showroom, Delhi), which Khattar described as an alternate entry-level car.
Local component content in 'Alto' has gone up to 90 per cent from 84 per cent a couple of months back.
"We have consistently worked towards bringing Alto's production cost low so as to give people a compact car at the price of an entry-level car," he said.
Before being indigenised to the level of 84 per cent, the car had 74 per cent local component when it made its debut in India. Bureau Report