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Volkswagen's Polo to attain 80% localization within the next 2 - 3 years Print E-mail
Written by Vivek   
Tuesday, 15 December 2009
Pune:  Volkswagen India’s first locally manufactured Polo was formally rolled out from its plant in Chakan, Pune on Saturday in the presence of Chief Minister of Maharashtra Shri Ashok Chavan. Almost 50 percent localization has already been achieved for the car with a target of around 80 percent within the next two to three years.

The timeframe leading up to the official start of production of the Volkswagen Polo is unusual as it is only two years since the first construction work began at the Volkswagen Pune site.

“Since then, we have made great efforts to implement optimal processes and achieve a level of quality that is the standard in every Volkswagen plant throughout the world. This was a major challenge”, said Mr. Joerg Mueller, Volkswagen Group Chief Representative India and President & Managing Director Volkswagen India Private Limited.

The Polo will reflect Volkswagen India’s efforts to reach the highest possible degree of localization. According to the company, increasing localization will enable Volkswagen India to offer cars at competitive prices and with a high level of quality.

"Today’s start of production of our Polo is more than just the rollout of a car. It marks a milestone in our journey together into a successful future for the Volkswagen Group in India," said Prof. Dr. Jochem Heizmann, Member of the Board of Management of Volkswagen AG, with responsibility of ‘Group Production’.

Expressing his gratitude to the employees who shared the historical moment of the rollout together with there families, Prof. Dr. Jochem Heizmann stated: “Our employees worldwide ensure the high quality of our products with their skills and motivation. I am especially impressed with the abilities and the high level of commitment shown by the Indian staff we have recruited for our company. And we will continue to develop these skills of each and every employee by extensive ongoing training. Each individual will be put in the position to be able to build the best possible car.”

The factory, which is one of the most state-of-the-art in the Volkswagen Group worldwide, has an annual capacity of around 110,000 cars. With a total volume of around €580 million, it is the largest investment to date by a German company in India. It is also the only plant operated by a German automaker in India that covers the entire production process – from the press shop, through body and paint shops, to assembly.

The processes in the new plant have been flexibly designed. Based on the current plans, this means Volkswagen will produce three different models – the Škoda Fabia since May 2009, the Polo Hatchback from now on and a saloon that will be launched in the second half of 2010.

Since India is a strategic market for the Volkswagen Group and holds enormous potential for it, Prof. Heizmann added, “We aim to achieve a market share of eight to ten percent in the next four to six years with the three Volkswagen Group brands, Audi, Skoda, and Volkswagen by ambitious plans for India. We offer outstanding products, which will soon be joined in the market by another one – the Polo. These products – and in particular our Polo – will help us to increase our market share of this growing market significantly.”

Volkswagen India commemorated the rollout of the Polo with the first Family Day for the employees. According to Mr. Joerg Mueller, Volkswagen Group Chief Representative India and President & Managing Director Volkswagen India Private Limited, “This is the first time that Volkswagen has celebrated the rollout of a new model together with the families of its employees. The families of our employees are an integral part of Volkswagen’s extended family.”

Other dignitaries present included Shri. Rajendra J. Darda, Minister of Industries and Employment for state of Maharashtra, Shri. Sachin Ahir, State Minister of Industries and Housing Development as well as His Excellency Mr. Thomas Matussek, German Ambassador to India.

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