Maruti Suzuki India is planning to restrict exports to 15% of its total production to focus on fulfilling local requirements and combat rising rivalry.
R C Bhargava, Maruti Suzuki India (MSI) Chairman said, “Maruti Suzuki as a company should perhaps deliberately not attempt to export a large part of its production, but keep its exports at about 15 per cent of output”.
In fact, in the April-July period this financial year, the company’s car exports were 50,558 units from a total of 3,35,394 units manufactured, which is around 15% of the total production.
For the entire fiscal 2009-10, MSI exported 1.48 lakh units in total.
He added, “We should concentrate more on the domestic market. To keep our market share, not only should we adequately increase manufacturing capacity, but also remain very aware of the changing customer tastes and demands and be flexible in making quick adjustments”.
Presently MSI has 2 factories, at Gurgaon and Manesar, with a combined ability of 10 lakh units per year.