Do More With Reuters
Partner Services

The world's cheapest car gets a pop star welcome

Thu Jan 10, 2008 3:49pm IST
 
Email | Print | | Single Page
[-] Text [+]

By Alistair Scrutton

NEW DELHI (Reuters) - For the world's cheapest car, it was one luxury arrival.

More than 1,000 people -- journalists, VIPS and industrialists -- packed an auditorium on Thursday as Tata Motors Ltd unveiled its long-awaited "People's Car" in a media circus more worthy of a pop concert or an Oscar ceremony.

For those wanting to feel India's economic self-confidence as it takes on the world, all they had to do was to experience the blaring music from "2001: A Space Odyssey" and the flashes of scores of cameras as the Tata Nano was driven out.

It condensed years of anticipation into one moment of mayhem.

"I haven't seen this many cameras in my six years in South Asia," said one veteran journalist. "You couldn't even buy advertising like this."

Ahead of the launch, major news channels devoted several minutes of airtime to live footage of a dark and empty stage where the car, a hatchback that is priced at about half the cost of the current cheapest car, would be unveiled.

"A promise is a promise," Chairman Ratan Tata said, as he announced a dealer price of 100,000 rupees ($2,500) as pledged five years ago, even though commodity prices have gone up and despite rivals' claims such a knock-down price was impossible.

For its supporters, it will revolutionise ownership in India, by allowing millions of the aspiring middle classes to own a car, and send a shock through the auto world with its cheaper engineering that will be copied across the globe.

For its detractors, it will provoke a nightmare on India's already clogged roads and worsen choking pollution levels.

"CUTE" FIRST IMPRESSION

As Tata reeled off the car's specifications and compared it to innovations such as the first man on the moon, people in the crowd, including many Indian journalists, clapped and cheered.

A hologram appeared of a husband, his wife and kid balanced unsafely on a scooter -- a common sight in India. It faded to make way for an image of the Nano hovering above the stage.

Then came the rush as hundreds of journalists pressed around the car. A ring of Tata guards surrounded the Nano, begging cameramen not to scratch its new paint.

Then came the public.

"It looks kind of cute," said Urvashi Sitani, a businesswoman who took pictures with her mobile phone. "I'd guess it proves popular with the younger crowd. But it's a girlish car. I can't imagine a man would be seen in a car like this."

Thousands of people pressed around the car.

"It seems like a real car. The windows actually wind down," said a smiling Gilles Levassor, who works for French carmaker Renault.

A few metres away, women protesting that farmers had been made landless because of Tata's car factory plans, stood by.

"It's subsidised by farmers' blood," said Anuradha Talwar.

Outside the auditorium, a contingent of Greenpeace activists stood with banners bearing slogans such as: "CUT CO2 emissions".

But they were largely ignored by the swelling crowds.

On this day, the side of India that sees itself an upcoming economic superpower was apparently looking the other way.

(Additional reporting Rina Chandran)

For additional stories, pictures and video from the Auto Expo go to here

India Investment Summit 2009
India Investment Summit 2009

Top executives and bankers discuss their own plans and the broader opportunities and challenges for India.  Full Coverage 

GLOBAL RECOVERY

A labourer works on a flyover bridge at a construction site in New Delhi October 14, 2009. REUTERS/Parth Sanyal/Files
Global economy in holding pattern - IMF

The global economy is in a holding pattern and vulnerable to more upheaval, the head of the IMF said, adding a lasting recovery will depend on policymakers taking the proper steps in the coming months.  Full Article 

Photo
A man walks past a bronze statue of a bull outside the Bombay Stock Exchange (BSE) building in Mumbai in this March 25, 2008 file photo. REUTERS/Punit Paranjpe/Files
Bubble trouble?

With India's benchmark stock index, the BSE Sensex, at around 17,000 points, are the Indian equity markets looking at a possible bubble?  Commentary 

Market Update

  • IndiaIndia
  • USUS
  • UKUK
  • Asia
  • Most Actives

SPECIAL REPORT

Himangshu Watts
India's food dilemma

Indian farms are failing to attract capital or talent, either from rich landlords or the students who graduate from agricultural universities.  Full Article | Related Story 

showcase

U.S. Recession
U.S. Recession

A trip through the epicenters of the American recession.  Full Coverage 

 
Central Banks Cautious
Central Banks Cautious

Reuters tracks the policies of the world's top central banks as the debate over global economic recovery rages on.   Full Coverage 

 
T P Raman
Column - RBI leads the world

Reserve Bank of India's approach ring-fenced the banking system.   Full Article 

 
Funding Blues
Funding Blues

A popular tactic used by Indian brokerages to raise money for rich clients is likely to be banned.  Full Article 

 
Not Enough Jobs
Not Enough Jobs

Venture capital creates jobs, but not enough.  Full Article 

 
Column - A Sweet Dream
Column - A Sweet Dream

There are good reasons for Ferrero to consider a combination with Cadbury.  Full Article