Business IdeasMahindra to record decline in passenger car biz this fiscal
Home grown auto major Mahindra & Mahindra today said its passenger car business will decline in the current fiscal, but the slump would not affect its plans to launch three new products under different categories by March 2011.
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"Our passenger car business is doing lower than the industry and right now we are seeting a degrowth in the segment during the fiscal," M&M President (Automotive sector) Pawan Goenka told reporters on the sidelines of Federation of Automobile Dealers Associations (FADA) annual convention here.
The company"s Light Commercial Vehicle (LCV) segment is doing in accordance with the industry performance while the utility vehicle segment has grown during the first four months of this fiscal.
On new product launches Goenka said, "Construction of our upcoming Chakan plant is on track and production will start by November. The first product to be launched is a small four wheeler loader under one tonne category by January 2010."
The company would also roll out a truck and a new Sports Utility Vehicle (SUV) by the end of financial year 2010-11.
Meanwhile, the company has reduced its capacity expansion outlay to Rs 4,500 crore, from Rs 5,000 crore announced for a period between FY"09 and FY"12.
"We have managed to reduce the capex by 10 per cent without compromising on the output," he said.