Tata Nano production may be scuppered by protests
Author: Robin Brown
Published: 03 September 2008
The production of the cheapest car in the world - the Tata Nano - may been halted as protests continue to dog the factory scheduled to build the small city car.
The factory in Singur, near Kolkata, is nearing completion but has come under attack as protesters continue to demonstrate over land seizures, prompting Tata to halt work on the facility.
The Indian company - which recently bought Jaguar and Land Rover from Ford - will seek alternative facilities, but will miss miss its intended production start date of October for the Nano. Analysts believe a move to another facility could delay production of the Nano by a year.
Locals in Singur are demanding the return of 400 acres of land they say was illegally seized by local government.
Rising raw materials prices have already scuppered the mooted £1,250 asking price for the Nano, which was announced last year in a blaze of publicity. Tata owner Ratan Tata was famously inspired to make a car for the masses when watching a family of four travelling on a motorbike.
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