Tata Motors to source components from Bangladesh

Tata Motors, India's leading car maker is eying to source auto components from Bangladesh. The company spokesman said in a statement that company may source components from Bangladesh, though, establishing a manufacturing capacity for its cheapest car Tata Nano is still far away from consideration.

The Nitol Motors, business partner of Tata Motors in Bangladesh, said that a technical survey team from Tata will reach there within the next two months for assessing the possibility of manufacturing auto-components in the country.

Matlub Ahmed, chairman of Nitol Motors, said in an interview given to a new paper that his team has discussed the prospect with Prakash Telang (Managing Director of Tata Motors) during a brief stop-over in Bangladesh last week.

Mr Ahmed added that his discussion with Mr Telang was mainly focused on the sourcing auto-components from Bangladesh for manufacturing Tata vehicles in India as well as assembling them in Bangladesh. During a visit to Kolkata last week, Bangladesh Industry Minister Dilip Barua said that Dhaka was willing to reconsider Tata's $3 billion worth of projects in fertilisers, gas-based industries and engineering.