Pinning high hopes: Fiat India’s commercial director Ravi Bharadwaj at the launch of Petra in Bangalore on Wednesday. (AFP)

Bangalore, Aug. 4 (PTI): Italian automaker Fiat is preparing a blueprint to restructure its business in India, officials said today. The company has already written off losses of Rs 1,300 crore in its Indian subsidiary.

Fiat India commercial director Ravi Bharadwaj told reporters here that the Italian parent, which have faced financial problems in recent years, was preparing a blueprint for a new strategy in India. “The Indian operations is being restructured and accumulated losses of Rs 1,300 crore had been written off last fiscal (calendar year 2003).”

“The blueprint is being prepared for Fiat India, but no timeframe has been set for its implementation,” he said at the launch of the company’s diesel car, Petra. With this launch, Fiat marked its entry into the diesel C segment. The diesel segment is estimated to grow at 15-17 per cent this year, which is double the estimated growth of 7-8 per cent in the car industry.

Fiat, which entered India in 1997, has invested Rs 2,000 crore in its plant in Kurla and Ranjandgaon in Maharashtra. “Our internal accruals are fine,” Bharadwaj said, adding Fiat India has cut costs and improved efficiencies.

He said the firm had improved its after-sales service, besides ensuring affordable spares and components. Fiat India exported components valued at €7 million last year and aims to export the same value this year.

Fiat India had posted a revenue of Rs 450 crore last year and is targeting a similar amount this year.

He said the company plans to sell 500 units of Petra per month with a sales target of over 15,000 this year. Fiat, which has a plant capacity of 65,000 units, sold 15,000 units last year and 5,500 cars from January to June this year.