Tata to Singur

Tata Motors on Tuesday said it was looking for alternate options to manufacture its small car Nano from the company's other plants and work at Singur has been suspended.

"In view of the current situation, the company is evaluating alternate options for manufacturing the Nano car at other company facilities," the company said it a statement.

A detailed plan to relocate the plant and machinery to an alternate site is under preparation, it added.

"Tata Motors has been constrained to suspend the construction and commissioning work at the Nano plant in Singur in view of continued confrontation and agitation at the site," it said.

The decision has been taken in order to ensure the safety of its employees and contract labour who have continued to violently obstructed from reporting to work, it added.

The project's auto ancillary partners were also constrained to suspend the work in line with Tata Motors' decision, it said.

"Tata Motors has been constrained to suspend the construction and commissioning work at the Nano plant in Singur in view of continued confrontation and agitation at the site," the company said.

A total investment of Rs 1,500 crore has been envisaged for the project that stipulated rolling out Rs one lakh car by
October. It, however, has been mired into controversy right from its inception with Mamata Banerjee demanding return of 400 acres out of a total 1000 acres land leased out to Tatas by the state government.

Ratan Tata had last month warned that the project would be shifted out of the state in case violence persisted at the Singur plant.

The decision to look for alternate options was taken at a management committee comprising company Managing Director Ravi
Kant, CFO C Ramakrishnan and Nano project head Girish Wagh, besides group Chairman Ratan Tata, sources added.

The company said the decision has been taken to ensure the safety of its employees and contract labour who have continued to violently obstructed from reporting to work.

The project's auto ancillary partners were also constrained to suspend the work in line with Tata Motors' decision, it added.