Jaguar Land Rover has confirmed that it is to begin selling cars and sports utility vehicles in the Indian market later this year. The company said that it has reached agreement with its parent group Tata Motors Limited to be the importer.

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David Smith, CEO of Jaguar Land Rover, said: “We are delighted to be formally entering the Indian market, an economy which is still growing appreciably, and able to offer our premium products to a whole new group of customers.  It is an important strategic move for Jaguar Land Rover and will enable us to realise our competitive potential in this significant market.”


The newly-formed Premier Car Division, within Tata Motors Passenger Car Business unit, will assume responsibility for the distribution of all Jaguars and Land Rovers in India and is also due to open the first showroom at Ceejay House in Worli, Mumbai, in June this year. The facility will offer a range of both Jaguar and Land Rover vehicles.


Rohit Suri has been appointed to head the new organisation and is leading plans to develop a dealer network through 2009 and 2010.


Ravi Kant, managing director of Tata Motors, said: “This is a natural move for both businesses and will allow Jaguar and Land Rover to establish a strong and deserved presence in India. We are very pleased to develop our relationship with Jaguar Land Rover in this way and to provide the opportunity for Indian customers to access their premium products for the first time.”

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Earlier this week UK media reports said that a GBP800m finance package for Jaguar Land Rover is in doubt because of arguments between the UK Treasury and the Department for Business, Enterprise and Regulatory Reform, or BERR.


The reports said that JLR executives were warned following a meeting with BERR executives last week that the conditions demanded by the Treasury in return for supporting the refinancing package may be so exacting that Tata will not agree them.


JLR is reportedly concerned that the Treasury may demand that the government is given an equity stake in the firm or that Tata pump another GBP300m into its UK subsidiary.