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Tata abandons cheapest car plant | Tata abandons cheapest car plant |
(10 minutes later) | |
Indian firm Tata Motors has abandoned plans to build the world's cheapest car in the eastern state of West Bengal. | |
Tata group chief Ratan Tata said: "We have little choice but to move out of Bengal. We cannot run a factory with police around all the time." | |
He was speaking in the city of Calcutta after weeks of protests in a row over land acquired from local farmers. | He was speaking in the city of Calcutta after weeks of protests in a row over land acquired from local farmers. |
The car, the Nano, is expected to cost about 100,000 rupees ($2,130). It was due to be launched in October. | The car, the Nano, is expected to cost about 100,000 rupees ($2,130). It was due to be launched in October. |
Work at Tata's plant at Singur in West Bengal has been suspended since the end of August following protests. | |
Exclusive look at the Tata Nano | |
Mr Tata said the company had not yet decided where to move production to. | |
"We have got offers from several Indian states but we have not yet finalised where to produce the Nano," he told journalists. | |
"We faced considerable aggression in setting up the factory. I had hoped the opposition will see reason and allow us enough land... But that has not happened." | |
He said his group would still consider West Bengal as an investment destination in future. | |
"I value the considerable intellectual resources this state has, but something will have to change here," he said. | |
Mr Tata was speaking after meeting the West Bengal chief minister Buddhadev Bhattacharya and his colleagues. | |
"This is a black day for Bengal. We will have so much more difficulty getting investments now," said the state's industry minister, Nirupam Sen. |