The company's spokesman in Dubai, Debasis Ray, confirmed the investment yesterday, 6 July 2011.
"We're not giving out any details now, but it's been in the planning for some time to build an assembly plant in SA," he said.
The announcement comes at a time of increased interest in automotive investments into SA.
Toyota SA confirmed it was negotiating with the government to produce minibus taxis at its Durban plant. Calibra Motor Corporation wants to build a factory in Harrismith to produce taxis.
Ray said Tata would announce details shortly of its new South African plant.
"We're very excited that it's got to the point that it's come to fruition. We're on the doorstep of a major milestone," he said
A well-placed government source said yesterday the sod-turning ceremony for the Tata facility was planned for 22 July, and that the Rosslyn plant was likely to manufacture a commercial vehicle or bus for the local and African market.
The arrival of a low-cost, locally built competitor could shake up the local car market, and could also potentially create hundreds of jobs in the Rosslyn area.
Tata Motors specialises in manufacturing tough, low-cost commercial vehicles mainly aimed at developing countries. An investment in SA would suggest the company has its eyes on expanding its African market.
The company imports its lowcost Indica hatchback, but its main business in SA is a range of heavy, medium and extra-heavy trucks and commercial vehicles, and buses.
"It's finally happening," the government source said yesterday, adding that Tata had made a decision to investigate the possibility of such an operation in SA "at the height of the recession. It was a very difficult time to make such a decision. It's been in the pipeline for a very long time now."
Ray would not comment on the size of Tata's investment or what the plant would be manufacturing.
The MD of Tata Africa Holdings, Raman Dhawan, also chose not to comment yesterday.
Source: Business Day
For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.
We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.
Go to: http://www.inet.co.za
