Renault to sign an MoU with M&M for product distribution

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New Delhi, Nov 6: Renault India is set to sign an MoU with Mahindra and Mahindra (M&M) for distribution of all its products in the country, said Sylvain Bilaine, managing director, Renault India. The purview of the agreement will include all cars that Renault will import into the country as well as the ones that the company will roll out from its Chennai plant in the first half of 2010.

The MoU comes despite M&M having walked out of the tripartite agreement with Renault and Nissan.

“We will sign the MoU with M&M very soon,” said Bilaine.

Under the MoU, M&M will be the sole distributor of all Renault products in India in the long-term, over and above the Logan, which is being manufactured and sold in India jointly by the two companies.

Bilaine was speaking on the sidelines of announcing the launch of the ING-Renault F1 Team Roadshow to be held in Delhi.

He, however, refused to divulge details about the badging of these products. He said that all products will henceforth be available in Mahindra-Renault dealerships, because of Mahindra’s high brand recognition as compared to Renault in

India. Renault has shelved plans to enter the Indian multi-utility vehicle segment, said Bilanie; the company had earlier planned to launch the seven-seater multi purpose vehicle displayed at the previous auto expo.

“We conducted a marketing study for a seven-seater vehicle. Unfortunately, the response was not good; so we have shelved the project,” noted Bilanie.

However, he said that Renault might bring the Megane range of vehicles to the country. The company had showcased the Megane range at the Paris Motor Show. “The numbers, however, will be small,” he added.

Megane, which is present in the 1400cc to 2000cc range, is available as a two-door coupe, a hatchback, a sedan and a five as well as seven-seater SUV.