Indian firm Tata Motors is to build the world’s cheapest car in the western state of Gujarat. Tata group chairman Ratan Tata said the Gujarat deal offered the best chance of making the car, the Nano, as quickly and cheaply as possible.
The move comes after Tata pulled out of its factory in West Bengal state in a row over land acquired from farmers.
The Nano is expected to cost about 100,000 rupees ($2,130) and was due to be launched this month.
“While awaiting the Sanand plant’s completion, Tata Motors will explore the possibility of manufacturing the Nano at its existing facilities at Pune and Pantnagar, and launch the car in the last quarter of this financial year.”
The Sanand plant will make 250,000 Nanos a year, rising to 500,000, the company says. It is not clear when production at the plant will begin.
The range of opposition to the Nano plant in West Bengal – from small tenant farmers to absentee landlords – displayed a collective shortsightedness rarely equaled in developing nations. They got what they asked for. Nothing.