Maruti Udyog will develop its own diesel engine by the end of 2006, a top company official told Reuters.

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It will develop the diesel engines using a license from Fiat SpA, the report noted.


Reuters said Maruti, which currently imports diesel engines, has a negligible market share in diesel cars that make up about 20% of the market, but it commands a market share of more than 50% in petrol models.


A Maruti official told the news agency he could not say when cars based on the diesel engine would hit the market, but added that only “heavier” models can have diesel versions.

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