The Hindu Business Line : General Motors India looking to export vehicles

Talegaon (Pune), Sept. 2 With the increased capacity, General Motors is looking at exporting vehicles from India. To begin with, the company is lining up dealerships in neighbouring countries such as Sri Lanka, Bangladesh and Bhutan, while expanding operations in Nepal.

“There is a reasonable prospect for export from India. We have extra capacity now and we have global products. We might export vehicles in large volumes beginning 2010,” Mr Nick Reilly, President, GM Asia Pacific, told Business Line on the sidelines of the opening ceremony of the company’s second manufacturing plant here on Tuesday.

India strategy

As its India strategy, the company seems betting big on its small car Chevrolet Spark for exports too.

About the export destinations, Mr Reilly said, “We haven’t gone that far”.

However, he indicated that the company may think of exporting vehicles to Europe from India as the demand for small cars are growing in that region.

“We are capable of making vehicles according to the European specifications,” he added.

Volume growth

GM India’s export volume is low, but it is growing. “In Nepal, we sold just 100 vehicles in 2007. But we sold 50 units last month alone,” Mr Karl Slym, President GM India, told Business Line. “We have one dealership in Nepal and we have five outlets in Nepal,” he added.

In Bhutan, the company is facing a challenge in terms of infrastructure, mainly in the availability of fuel filling stations.

The company recently started exporting to Bangladesh while preparing for export to Sri Lanka where the company lined up three dealers.

“Now, we have greater range of vehicles and we can increase our export. We have big plans for export,” said Mr P. Balendran, Vice-President Corporate Affairs, GM India.

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