BMW India to increase production at Chennai facility owing to high demand by 2011

BMW, the premium car maker from Germany, enjoying a major chunk in the Indian auto market, is further planning to take the advantage of the market in its favour. The luxury car maker enjoyed good sales this year and is now planning to enhance the facility as it is expecting high sales graph by next year. The second fastest growing Indian car market looks promising to the automobile manufacturing and to cater to the boom the company's are working towards new strategies.

As per the reports, BMW is looking forward to upgrade its sales by next year and will add more cars to the company's portfolio which will begin next week. The report further states that, BMW anticipates to close the year end sale with almost 6,000 units over last years 3,600 units. Looking at the sales report, in October, the company sold 4,741 units. It has facilitated the company to take the second shift in the company's Chennai production unit in the beginning of 2011.

Dr Andreas Sachaaf, the President of BMW India was heard saying that, the company has cemented the brand in a short span of time in India. For the Luxury company, India is an important auto market in terms of growth which has swiftly been achieved. These are the reasons that the company wish to expand on it Chennai manufacturing unit. The company also plans to manufacture new car models by 2011. Indian auto market has expanded hastily and it will compete with China soon. He also added that, the Indian auto industry is such that at present none of the auto company can avoid to grow and invest. As per him, BMW is at a stronger position and it has been taking right steps in production and marketing department and the efforts are paying off. In India, only 15,000 luxury cars are sold every year, but this sector holds major potential and will be growing with the coming time. The domestic auto market is expanding and with it the auto companies are also enjoying the growth and now for further expansion the auto companies need to review its strategy.

BMW is currently working with 18 dealers and further will expand it by 2011 mid. The company wishes to own manufacturing unit in major cities. The company plans to bring a new car which will be fuel efficient 520 diesel Series in India by next week and it will follow with the SUV X1 which is expected to be coming in the price range of Rs 20-25 lakh. The 5 Series saloon which will be priced at Rs 36.9 is speculated to give a mileage of 18.5km/litre with great power, driveability and torque.

Sachaaf said that, X1 will be pitting against the already exciting market players. The company expects to churn out profits with this SUV. The company will soon come up with new car models to maintain the growth.

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