MUMBAI: Will Ratan Tata go ahead with the Nano project in Singur or just call it quits? Indications are that he will defer launching the car from the plant and wait till the situation eases.
West Bengal chief minister Buddhadeb Bhattacharjee is scheduled to meet Ratan Tata, chairman of the Tata group on Friday, in a last ditch bid to persuade him to stay on. Work at the car plant in Singur has come to a complete standstill and is not likely to be resumed in a hurry.
Top sources told DNA that components are being delivered to Tata Motors’ new plant in Uttarakhand. Some key engine parts are reportedly being assembled in Pune and then despatched to this facility. The idea is to produce nearly 3,000 Nanos a month till end of March after which production could increase considerably. This is where Singur could still be relevant but only if a solution is reached.
Sources say the Tatas will be content to wait for another six months. After all, it is no big deal if Nano numbers total 15,000 units till end-March even if initial projections were six times as much.
Further, a clearer picture on political dynamics will emerge after the general elections likely in April. “Tata Motors realises that a lot of time and money has gone into the Bengal plant and even if relocation of machinery is feasible, it is going to be a tough task getting it ready all over again,” sources said.
And even while the governments of Karnataka and Gujarat have offered land for the project, the company is still keen a solution be found in Singur as it makes a great difference on the time front. It was designed to be the mother plant which would manufacture over 150,000 cars and supply completely knocked down kits to four- six satellite units across the country. From the Tatas’ point of view, sources say it makes sense to continue with this plan. But should Singur not work out, they would be more inclined to set up the new Nano home in Gujarat instead of Dharwad in Karnataka.
g_murali@dnaindia.net
