"There is no need for the company to launch new vehicles just because new cars are coming. Our stable is full with contemporary vehicles that can take on the new launches," managing director RSSLN Bhaskarudu said.

When asked about reports that the company would launch new models in about 12 months to 14 months, he said, "We have not set any time frame for the launch and it may take longer."

Maruti was not panicking at the flurry of new small cars from multinationals and it was confident of maintaining its leadership status in the market without any new launches, he said.

Another reason not to go in for new vehicles was that Maruti would not be able to maintain the current low prices for new cars because of the initial lower volumes. Besides, the company would have to make investments fordies and fixtures.

"Our products are contemporary. They are tried and tested on local roads. We have a wide range of well-priced vehicles that offer value for money to the customer. In fact, we are going to enhance our production capacity of our vehicles to meet the growing demand," he said.

Bhaskarudu said that the customer's faith in Maruti vehicles was reinforced by the fact that despite the entry of new international players in the midsize segment, Maruti `Esteem' still reigned supreme with a 46 per cent share in the segment.

Maruti has decided to offer one-year unlimited mileage warranty for its vehicles as part of its strategy to continue as the market leader. Moreover, dealers have been asked to improve their front-office services, he added. "Maruti has a network of 133 dealers, 185 sales outlets and 225 service stations across the country. Besides, spare parts are cheaper and available everywhere. We are going to capitalise on these strengths," he said.A joint venture between the government andSuzuki Motor Corporation of Japan, Maruti is investing Rs 1,500 crore to enhance its annual production capacity from 3.5 lakh units to 4.5 lakh units by March next year.The added capacity would be mainly utilised to make Maruti 800 and Zen.Bhaskarudu said total sales in the current financial year were expected to be around 3.60 lakh units, a marginal increase of 2 per cent from last year's 3.54 lakh vehicles.

Maruti 800 and Omni models together would account for over 2.40 lakh units this year. While Zen was expected to sell about 88,000 units, Esteem would cross 20,000 units and Gypsy 8000, he said.

The company has already sold over 1.75 lakh vehicles in the first half the of the current fiscal against 1.73 lakh vehicles in the same period last year.

Asked about the dieselisation plans, Bhaskarudu said tests were on for diesel Esteem and Gypsy, but there were no immediate plans for the launch."We are ascertaining the market response to the recently launched diesel version of Zen. So far, 350 vehicleshave been sold, and it would be another two-three months before we get a final picture of the customer response to the car," he said.

On this year's sales target for diesel Zen, Bhaskarudu said despite the hefty price difference with the petrol version, it would sell about 3,500 units.

Asked about the upgradation of Gypsy model, the only Maruti vehicle yet to receive a facelift, the managing director said there was no immediate plans for upgrading the multi-utility vehicle.