Paint shop hurt the Fiat Palio production

The production of Fiat Palio was hurt badly due to a paint shop at the company’s sole manufacturing facility in Ranjangaon, Maharashtra. If the difference is compared, the production of the car was 667 units during January-April as compared to 1,452 a year ago.  Ravi Bhatia, vice-president, (commercial), FIAPL said that the manufacturing was affected on account of the paint shop. Now the company is having its own paint shop and the target will be achieved.
In the previous financial year, Fiat Palio, being the lowest-priced car in the Fiat stable, is the largest selling car with more than 43 per cent of total sales. In the domestic market last fiscal the Italian car company sold 8,087 units. Even though the company gave a face-lift in March 2008 to the Fiat Palio, and despite of having both petrol and diesel engine option, the Fiat Palio has failed to create much impact in the compact car segment. Strong competition from other car makers in the same segment like Maruti Suzuki, General Motors, Hyundai Motors and SkodaAuto has dented the target market, say experts. Last fiscal year, around 3500 Fiat Palios were sold. Same amount of Maruti’s Wagon R and Hyundai Santro units are sold in a month.

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