REVA Electric Car (RECC) is gearing up to make the big splash over the next 12 months riding on a wave of exports, new variants and the long awaited tax break for selling cars to government agencies, The Bangalore based carmaker is also targeting operating break-even in the second half of 2003, two years after rolling out its first car in the market.
RECC Chairman S. K. Maini said the company has recently secured the government nod for an approximate Rs.75,000 tax concession on each REVA car sold to public sector companies government
departments etc. This should bring down the price of the basic model from about Rs. 2,49,340 (ex-showroom Bangalore) to around Rs.1.8 lakh for this segment of customers.
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The company has started making some headway in the international market in the recent months. Expressions of interest and confirmed orders have started filtering in from some countries including Israel, Greece, the UK, Malta, the USA, Malaysia and Indonesia for this
eco-friendly car. Infact, the business interests in Malaysia have actually suggested the possibility of manufacturing REVA car there in order to gain cost benefits. REVA's partner in the UK, Going Green, an English retailing house, has in the meanwhile signed up for buying 2,50,000 car over 10 years.
According to RECC managing director Chetan Maini, sales of 2,500 to 3,000 cars is expected next year including nearly 50% exports, The RECC should be producing about 250 cars a month by the middle of next year, which will take the company to operating break-even point for the first time
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