Tata Nano ends 2019 with zero production; 1 unit sales

NEW DELHI: Tata Motors did not produce a single unit of its entry-level Nano car in 2019, although it sold only one unit in February, even when the company has not yet officially removed Ratan Tata's car.

According to a regulatory presentation by the company, Tata Motors had zero production and sales of the Nano in December 2019, while producing 82 units and selling 88 units in December 2018.

Similarly, in November 2019 there was zero production and sales of the entry level model, while in the period of the previous year it produced 66 units and sold 77 units.

In October 2019, too, according to the presentation, it did not produce or sell any Nano units, while in the month of the previous year it launched 71 units while selling 54 units.

In the first nine months of 2019, Tata Motors also did not produce a single Nano unit.

The company did not sell a single unit in any month of last year, except in February, when it sold only one, according to several company regulatory documents.

Tata Motors has maintained so far that a decision on the future of the Nano has not yet been made saying that the planning of the production of a car is a conscious management of the demand, the inventory of the system and the planned efficiencies.

However, he has admitted that, in its current form, the Nano will not comply with the new safety standards and the BS-VI emission standards.

Tata Motors had introduced Nano in January 2008 at the Auto Expo with high expectations of being the town car, as the then head of the Tata group, Ratan Tata, called it. However, it could not live up to the turnover with sales declining over the years.

On the issue of discontinuing the Nano, the company has insisted that decisions about the product's life cycle is a holistic view taken after considering market developments, regulations and the emerging competitive landscape. Any decision of this type is announced when it is made.

Company officials, however, hinted that Nano's production and sales would stop as of April 2020, since Tata Motors has no plans to invest more in the model to comply with strict emission standards under Bharat. Stage-VI, which will be effective as of April 1. year and other safety standards.

The Nano was launched in March 2009 with an initial price close to Rs 1 lakh for the basic model despite the cost scales, with Tata insisting that a promise is a promise.

However, from the beginning, Nano caused problems. Originally it was planned to be implemented from the plant proposed by Tata Motors in Singur, in West Bengal, where it faced intense political and agricultural protests against land acquisition. The company had to move its production to a new plant in Sanand in Gujarat.

The instances of the car catching fire initially after its launch did not help its cause either. Tata had admitted that the company made the mistake of promoting the Nano as the cheapest car.

It became a loss model for Tata Motors with former Tata Sons president Mistry, who was abruptly removed from office, even claiming that the Nano lost value constantly, reaching a maximum of Rs 1,000 million rupees.

Mistry also called the Nano one of the inherited hotspots and there was no line of sight for the Nano's profitability, (or) no response strategy.

He also claimed that Tata Motors did not stop producing the car due to emotional reasons.