The unrest and the slow pace of work at Singur could possibly be forcing Tata Motors to look at alternative factory sites for its ambitious Rs 1-lakh-car project. With group chairman Ratan Tata abandoning his earlier stance that the car will roll out on time and accepting that there could be delays at Singur in West Bengal, Tata Motors is believed to have begun scouting for new plants sites in Uttarakhand and Punjab.
Sources said the company was looking at an extra Rs 2,000 crore of investment in Uttarakhand and had a series of meetings with state government representatives in this the matter. Tata Motors already has a plant at Pantnagar in Uttarakhand for its commercial vehicle Ace on a 1,100-acre area (to start operations soon). The company now wants to buy 300 acres more, understandably for its small-car project.
Tata Motors? urgency is evidenced in the fact that it is having simultaneous parleys with government officials in Punjab where it is seeking concessions for a car plant. Sources who did not want to be named said a 15-member Tata Motors team would visit the state on Aug 22. Tata group executives have also confirmed their visit to Punjab later this month. Talking to FE, Manpreet Badal, finance minister, Punjab, said, ?We have shortlisted a few sites, including one each in Bathinda, Patiala and Ropar.?
The move has been confirmed by some of the Tata Motors? vendors associated with the mega project. Speaking on conditions of anonymity, many of them confirmed that the company was aggressively looking at a possible ?plan 2? for the much-awaited small car it has promised to launch in 2008.
When contacted, a company spokesperson said, ?As a matter of policy, Tata Motors does not comment on such issues.?