NEW DELHI: Italian carmaker Fiat plans into increase the level of component sourcing from India to $10 million in 2006 and expects the figure to increase further subsequently.
"We have been sourcing components from India for some time now and expect to increase this," the Managing Director of Fiat India, Mr De Filippis Giovanni, said at the sidelines of the Tenth Asia Pacific Automotive Industry Roundtable.
The components are being sourced for the company's Palio model in South Africa, he said.
The company had to shut down production at its plant at Kurla in Mumbai after severe rains in Maharashtra disrupted operations at the facility. Fiat also has a plant at Ranjangaon, near Pune, though here the capacity is lying idle due to lack of demand.
On Fiat India's operations, Mr Giovanni said the company would resume production of cars such as the Palio from the Kurla unit from January. "Fiat has plans to introduce new models in India, as the company works on a revival strategy in the market," he said, adding that it will make investments for this. "Our parent company will be investing in India towards this end," he said.