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Mahindra Renault aims big

Calcutta, July 10: Mahindra Renault plans to make cars for different segments at its proposed Chennai plant, which will go onstream in 2009. The facility will have a capacity of four lakh vehicles. The current plant in Nashik, which produces the Logan, will reach full capacity of 50,000 vehicles from the next fiscal.

“If our Chennai plant has a capacity of four lakh vehicles, it makes sense for us to be present across segments. However, we will now focus on the Logan. We have launched its variants according to customer preferences,” said Nalin Mehta, vice-president — sales and marketing, Mahindra Renault.

Around 2,500 Logans are produced every month in a single shift. The Nashik plant will start double shifts by September.

“Technically, doubling a shift does not always result in a two-fold rise in capacity. We will have to train around 500 people more and require other resources,” Mehta added.

He said the joint venture between Mahindra & Mahindra and Renault would leverage the companies’ strengths in production, marketing and technology. Earlier, Mahindra used to source Scorpio engines from Renault.

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