With production at its Indian plant at Maraimalai Nagar expected to be at current capacity soon, Ford India is mulling further investment to expand, a top official said.
“We will make an announcement on further investment soon. We have room at our existing location for expansion,” Ford India managing director and president Michael Boneham said after launching the Fiesta Classic, a new version of the Fiesta, a previous generation version sold only in India.
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Ford India currently has a plant that could make 200,000 units a year and an engine plant working on three shifts to make 250,000.
Working in double shifts, the company hopes to assemble around 150,000 cars by the end of this calendar year, Boneham said.
In calendar year 2010, Ford India sold 83,887 units and expects growth of around 20% in 2011. During the first three months of 2011, the company sold 29,804 units.
It is eyeing 50 overseas markets for its compact Figo, an updated version of the previous generation European Fiesta (the Indian Fiesta is a previous generation of that car).
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By GlobalDataFord India has previously said it will launch eight new models by 2015, necessitating an increase in output.
Queried on reports about Ford India looking at Gujarat for setting up a second production plant, Boneham would not comment on local reports the company is eyeing Gujarat for a second assembly plant but reiterated the company would soon announce further investments in India.
In 2009, it completed an additional spend of US$500m to boost output of both vehicles and engines. It has so far spent $950m in India.
Boneham said a new premium Fiesta sedan model would be launched in the middle of this year.
The Fiesta Classic sedan launched this week is offered with 1.4 litre petrol and 1.6 litre diesel engines and two trim/equipment levels.
