Indian automobile major Mahindra & Mahindra (M&M) may introduce new models under its joint venture (JV) with Renault by March 2011, even as its top official said the total loss incurred by the Mahindra-Renault JV had touched Rs 120 crore till date.

"We are in talks with Renault on whether it makes sense to bring in more vehicles under the joint venture in the next two years," Pawan Goenka, president of the company's automotive sector said on the sidelines of the annual Federation of Automobile Dealers Association (FADA) convention.

Source: My Digital FC

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New Delhi: Home-grown auto major Mahindra & Mahindra Thursday said it will launch three new products under different categories by March 2011.

The company, in a joint venture with French car giant Renault, is also considering to launch a new product in the Indian market. The JV's existing product Logan is expected to witness a decline in sales during the current fiscal year.

"Our passenger car business (Logan) is doing lower than the industry estimates and we will see a degrowth in the segment during the fiscal," M&M president (Automotive sector) Pawan Goenka told reporters on the sidelines of Federation of Automobile Dealers Associations (FADA) annual convention here.

"Construction of our upcoming Chakan plant is on track and production will start by November. The first product to be launched is a small four-wheeler loader under one tonne category by January 2010," Goenka said on new product launches.

The company would also roll out a truck and a new Sports Utility Vehicle (SUV) by the end of fiscal year 2010-11.

When asked about any new product launch under its joint venture with Renault, Goenka said, "we are in talks with Renault to bring in a new product in the JV, but nothing has been finalised."

The JV depends on what Renault would decide about its long term strategy regarding India, he added.

When asked about any new product launch under its joint venture with Renault, Goenka said, "We are in talks with Renault to bring in a new product in the JV, but nothing has been finalised."

The JV is dependant on what Renault would decide about its long term strategy regarding India, he added.

"We are currently producing about 700-800 units of Logan every month. We have redefined the volume and it can be ramped up in accordance with market demand," Goenka said.

On losses that Mahindra-Renault incurred, he said over Rs 300 crore loss in FY'09 was due to one time right-up on investment in the JV and the actual loss is about Rs150 crore.

About foraying into the US market, Goenka said, "We will start production from Nashik plant by December and will start the shipment thereafter. The vehicles will be sold in the US by February next year."

Source: Live Mint