GM steps up exports from India, adds Sri Lanka

INDIA: General Motors Corp. is stepping up exports from its plant in the western state of Gujarat as its increased capacity comes into use, a senior company official said on Monday.

GM, which expects to sell 50,000 units in India in 2006, will start exports to neighbouring Sri Lanka by year-end, said Ankush Arora, vice president of Sales and Marketing at the India office. The company, which is increasing capacity at its Halol plant to 85,000 units from 60,000, will start with exports of about 25 Optra sedans and the newly-launched Aveo hatchback to Sri Lanka. It is currently scouting for distributors in the island nation.

GM already exports 150 Optra and Aveo vehicles a year to Nepal and 75 units a year to Bangladesh, Arora said. "We're sure to see an increase in sales in these markets," Arora told Reuters by telephone. GM, which also makes the multi-utility Tavera and Corsa and Corsa Sail in its India plant, is aiming for a 10 percent share of the fast-growing India market.