Moreover, the joint team set up to identify areas of co-operation between Fiat SpA, Italy, and Tata Motors, will submit its report in the next 3-4 weeks, Mr Kant added.
"We would have new products with more contemporary looks, better refinement, better driving feel and comfort", he told FE in an interview. The most popular vehicle from Tata Motors, Indica, was launched in 1998. Indica was also Indias first indigenous car. Multi-utility vehicle Tata Sumo was launched even earlier in 1994. Though both the vehicles have gone through multiple refinements and upgradation since their launch.
Multinational vehicle makers in India have vehicles with superior quality and performance and they are trying to reduce costs as well. As an Indian company, Tata Motors needs to retain its cost advantage and close the gap in quality and performance, according to Mr Kant.
Mr Kant, however, ruled out the possibility of sharing or using Fiat Indias manufacturing facilities in Mumbai and Pune. "Fiat Indias manufacturing plant is entirely theirs. They will run and manage it. We have nothing to do with it. The talks on the alliance are at a higher level of the Tatas and Fiat SpA", Mr Kant asserted.
"An alliance with Fiat will help us source better products and aggregates. It will also reduce the risk involved in developing new products and help bring in products that have greater chance of success. To sum up, it would help derisk our business model. There is a strong desire on both sides to find areas of co-operation and mutual interest," Mr Kant observed.