The joint venture between auto companies Mahindra & Mahindra and Renault to manufacture the Logan in India will continue, according to Renault-Nissan Chief Carlos Ghosn. Mr Ghosn said that that while Renault would continue to develop the Logan with M&M, it was yet to finalise a new marketing and selling strategy for the car. The Logan has done extremely well in Russia, North Africa, Europe and Brazil, but has not been very successful in India. For a long time now, its monthly sales in the country have remained below 500 units.

Earlier, M&M had suggested altering the design of the car to reduce its length to 4 metres, to have it confirm to small-car standards. This could bring down the excise duty on it from 20 per cent to 8 per cent. Mr Ghosn said that the excise duty was an issue in India, and that Renault would continue to work on the car to adapt it to Indian tastes. Reduction in excise duty can help reduce the price of the car by Rs 50,000. Another way to do this is to localise the car’s components.