Source - Business Standard

After the tsunami and earthquake in Japan, which saw production levels at Toyota Kirloskar Motor dipping by 70% for nearly a month the company is steadily getting back on its feet. While INR 300 crore is being infused to enhance capacity by 40% at the existing plants in Bidadi, Karnataka, the much awaited small car from the Toyota fold, Liva, will hit the streets by the end of the month. Managing Director Mr Hiroshi Nakagawa told Ms Sharmistha Mukherjee, with developed countries offering limited growth potential, emerging markets such as India is our hope for the future.

Q - With markets across the world showing slow signs of recovery, how are sales faring for Toyota globally?

A - Globally, Toyota is facing a difficult situation. In mature markets, such as Europe and Japan, there is little possibility of growth. Our focus is to encourage sales activity in Brazil, India, Russia and China. Developed markets worldwide are mostly stable, at times showing some signs of growth. Our hope for the future is India and other emerging markets.

Q - In India, the automobile industry grew by a mere seven per cent last month, the slowest in two years. What is the outlook for Toyota in the country?

A - The rate of growth has definitely slowed down, but strong demand still exists. Last year, the industry grew by 30%. In the first five months of this year, sales have grown by 17%. The rise in petrol prices and interest rates has impacted car sales. But over the mid term, we see a lot of opportunity in the market in India.

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