Tata
Motors sees Senegal as its hub for Western
Africa
Financial Express — October
13, 2003
Pune:
Tata
Motors is on an African safari. After entering
the European car market in a tie-up with Rover,
the company may now be considered for the African
small car project. This project has been the dream
of Senegal president Abdoulaye Wade and is aimed
at developing a popular small car for Africa.
“I have been speaking to car manufacturers for
the past few years to look at the possibility
of a small car, which has very little fuel consumption,
low maintenance and the capacity to be used on
bad roads,” President Wade told a group of newspersons,
while on a visit to the Tata Motors plant at Pune
on Sunday.
He added that he was impressed with the Tata Motors
plant and will hold discussions with the company
on the issue. Senegal has no car manufacturing
facility and has imports of various makes like
Renault and Peugeot, which run in the country.
The public transport system is also not well developed,
which makes the potential for an affordable small
car immense. President Wade was accompanied by
a seventy-member delegation on his visit.
Tata Motors has recently bagged a $19 million
contract to supply 500 buses to Senegal.
The company won the contract in the face of competition
from leading manufacturers in the USA and France.
The company has also provided technical assistance
to the Senegalese government to set up a bus-body
manufacturing plant at Thies, called Senbus. Elaborating
on the company’s African strategy, Tata Motors
director (commercial vehicle business unit) Ravi
Kant said that Senegal will become the focal point
for the company for western Africa. “We have also
been approached by a couple of countries in the
western Francophone Africa to set up assembly
facilities in their countries,” he added.
The company was also finalising the focal points
for east and north Africa. Tata Motors has also
emerged as one of the selected bidders for a major
taxi project in South Africa, whereby 100,000
taxis will be replaced in the country over the
next four years. The bid is for 18 and 35-seater
buses.
“Our plan is to launch the entire range of commercial
vehicles in South Africa. It will eventually include
cars also. We recently had a visit of 40
dealers from South Africa and clinics were also
held for them,” said Mr Kant. However, he added
that being on the short list will not necessarily
translate into orders and the company will have
to undertake its own marketing initiatives for
the same.
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