Mini Race

CEAT Kelani Holdings Managing Director Ravi Dadlani (right) and Lanka Ashok Leyland CEO Umesh Gautham exchange the OEM agreement

August 15 (LBO) – Sri Lanka’s fuel efficient small car market is racing ahead, helped by high oil prices and prohibitive taxes on larger cars. So, customers are willing to wait.”

Despite the lack of economies of scale available to China and India, the company is making inroads in to the small car market.

Leading the pack is the Maruti, a product of an Indian joint venture of Japan’s Suzuki Motors.

Pole position

The car, imported to Sri Lanka by Associated Motorways, has held pole position for several years.

Officials say AMW’s turnover rose by 114 percent last year, largely thanks 5278 Maruti units it sold in 2005.

Each month AMW sells about 400 Marutis.

The hottest selling is the Maruti 800, a tiny petrol driven car, with air conditioning, but it also has a larger models 1000 cc Zen model.

The standard car is priced around 850 thousand Sri Lanka rupees and is fuel efficient.
At a time when fuel prices are going up every two months, this is a boon to its owner.

My Maruti does 18 kilometres a liter in city traffic with air conditioning, says Sameera Wijesiri, who bou

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