Toyota Kirloskar Motor (TKM), the Indian division of Japanese car maker Toyota, is all set to assemble its Camry luxury sedan at its Bangalore plant. It is expected that the company will commence operations in July 2012 and roll out the first locally assembled Camry in August 2012.
Sandeep Singh, Deputy Managing Director (Marketing), TKM, stated that the company sold imported models till now, but things will change from July. He commented, “Toyota’s plan is to start assembling at its Bangalore facility from July and to launch in August. We are on schedule.”
In spite of the rise in taxes, TKM is continuing with its plans even though it realises their effect on prices. Singh stated that the company imports close to 300 units of Camry on an annual basis.
According to Singh, “Our focus in India will be semi-urban and rural markets to support our growth.” He also said that Toyota India will expand its dealership network by 2012, from the existing 173 to 225 outlets.
While speaking about localisation, Singh commented that localisation level of Etios was 70 per cent presently, which would be raised to 90 per cent by 2014. The Etios entry level sedan is the largest localised vehicle that the company has in India. On the other hand, the manufacturer maintains 50 per cent localisation level of models like Innova and Fortuner.
Regarding the investment plans, Singh elaborated that TKM will increase capacity by 1,00,000 units by next year at a cost of Rs. 898 crores as part of the second stage of its expansion plans. This move will bring the total annual production capacity at its two facilities in Bangalore to approximately 3,10,000 units. Toyota India will also infuse a sum of Rs. 500 crore in an engine and transmission facility. Speaking about this, Singh said, “Engine plant would commence by the third quarter of this year and transmission by January-March 2013.”
Talking about its export plans regarding the Etios twins, Hiroshi Nakagawa, the Managing Director of the company, commented, “We are planning to export 20,000 units annually only to South Africa from this year. Our focus will be only South Africa, for now.” The manufacturer has shipped its first lot of 247 Etios and Etios Liva models, headed towards South Africa, from the Ennore port. Manufactured at the company's Bidadi plant, the two petrol-powered models underwent a few changes that made them more suitable for the SA auto market. Despite the modifications, they have been developed on the platform of the original Etios twins, which are produced and sold in India.
