According to a top company executive, MG Motor India is looking at export potential in the United Kingdom and South Africa, as well as developing plans to tap right-hand-drive countries in the global automotive industry, as it wants to increase foreign exports from India in the long run. The company, which has begun exporting to Nepal, hopes to develop India as an export hub for neighbouring countries.
"Despite the fact that there is now a chip scarcity, we must plan for the long term. We sought to broaden our customer base and establish India as an export centre for neighbouring markets," Rajeev Chaba, President and Managing Director of MG Motor India, made the statement.
The firm has already begun with Nepal, sending out the first batch of MG Hectors. He stated that it will continue with the Hector SUV for the time being before adding the recently introduced mid-sized SUV MG Astor and ZS EV next year.
"So, Nepal is the first, but we are actively investigating other nations in the region, including Sri Lanka, Bangladesh, and Bhutan. We've also had requests from the United Kingdom, which is a right-hand market. As a result, we are also investigating the possibility of exporting and MG Hector to the United Kingdom" Chaba said.
In terms of South Africa, another right-hand-drive market, he stated that MG activities must yet begin in the nation due to the COVID-19 delay.
"It's not out of the question that if MG's operations begin in South Africa, that country will be a prospective market as well," he went on to say that the global automotive market's right-hand-drive countries "may be prospective export markets for the company's MG Hector SUV".
"This export is for the long term, and we are seeding the markets right now with modest amounts to begin with, but when the scenario improves, say in a year, we will increase our volumes, this will give us a good diversification of our sales footprint," he said, explaining why the company started exports despite having an order backlog in the domestic market due to semiconductor shortage.
He went on to say that it takes time to build a brand and a market network.
Exports, he says, will benefit the firm in the long run since they will generate more dollars, and "this will help us gain greater volumes as well as broaden our base for sales footprint."
On the semiconductor scarcity, he stated, "It is essentially a short-term issue the limits of chips, which may persist for six to nine months."
Add Comment