Ford Motor to maximise localisation for cost advantage

New Delhi, May 2: With metal prices rising globally, Ford Motor Company today said it will increase the localisation levels in India up to 85 per cent by 2010 as it offers better margins.

''We will increase the localisation levels up to 85 per cent in India by 2010 that would result in a cost advantage in the range of 10-15 per cent,'' Ford India President-designate Michael Boneham told reporters here. The US-based auto major, which aims to enter the Indian small car market by 2010, had earlier announced an investment of 500 million dollars for expanding its India operation.

The investment will be utilised for setting up a greenfield small car plant with a capacity of two lakh units and expanding the engine production capacity to 2.5 lakh from the current 60,000 units.

UNI