Mahindra Renault Logan for Nepal car market

Mahindra Renault has decided to enter the Nepal car market with its economy sedan, the Renault Logan.

Mahindra Renault has has unveiled its Logan passenger car in Nepal through Agni Incorporated, the current distributor of Mahindra vehicles in Nepal. Agni already distributes several Mahindra vehicles in Nepal including tractors.

Mahindra Renault Logan for Nepal

Nepal too, like India, is a price conscious market – and Mahindra Renault believes that there is a good market there waiting to be tapped. 

Two renault Logan models will be on sale in Nepal – the 1.4 GLE Petrol sedan and the 1.5 DLS Diesel initially. The company is mulling over bringing more Logan variants into the country in the future.

The Logan 1.4 GLE Petrol is sold in India at a price of Rs 4.4 lakh ex-showroom and offers average fuel efficiency figures of around 15 kmpl. The Logan 1.5 DLS Diesel is sold at a price of Rs 6.5 lakh ex-showroom in India, and offers 19 kmpl highway mileage.

The Renault Logan offers a strong value proposition for India, and it is true for Nepal too. It is well built and sturdy, spacious, frugal, and service costs and parts are not highly priced. Those values should make the Logan a hit in Nepal.

There are other reasons why Mahindras would look at the Nepal car customers. For one, there is the long term vision for more exports from India. Then, there is the inflation and interest rate hikes in India, which have hit all car manufacturers in India, including Mahindra Renault, badly. In 2008-2009 fiscal year so far, Renault Logan sales are at the 6000 mark, some 26 per cent less than the sales for the same period last year.

Meanwhile, the Mahindras are also foraying into more unfamiliar terrain. A couple of years after the Tatas went all the way to Botswana with its vehicles, and now Mahindra and Mahindra is also all set to enter the market in Botswana with its hugely successful Scorpio. It has been reported that the company will soon open its branch in Gaborne in Botswana and the Scorpios and also more models from the M&M stables will roll into that country. It is expected that the Scorpio will prove to be extremely popular because of its low prices. In fact the company believes that the relatively cheap station 4 x 4 wagon will compete well with its rivals.  

And for the Indian market, Mahindra and Mahindra is planning to launch its new model Mahindra Ingenio. The new MUV is expected to be rolled out during last quarter of the current year. Being positioned as a potential MUV, the Ingenio is expected to fight for space against against the Toyota Innova, Tata Sum Grande, and the Chevrolet Tavera. Likely to be rolled out of the company’s Nashik facility, the Ingenio will hit the commercial market by January next.