Tata Motors is set to launch 0.5 tonne truck, another variant in the Ace family of small commercial vehicles, in the fourth quarter of the fiscal. The launch is most likely in January. Tata Motors aims to tap the rural demand for small vehicles and pick-ups with the upcoming model.

"The 0.5 tonner will boost the demand for Ace trucks in the rural market. This vehicle will be apt for the smaller village roads," Mr. Ravi Pisharody, President, Commercial Vehicles said. Mahindra & Mahindra launched the first half-tonne truck in the country 'Gio' in October 2009.

The current market for trucks with 0.5 tonne pay load is estimated to be around 2,000 vehicles a month. The price of 0.5 tonne truck from Tata's is expected to be in the range of Rs. 160,000-200,000 (US$ 3,440-4,300).

Small passenger carrier

Meanwhile, Tata Motors is preparing to launch the five-seater Magic Iris, smaller version of passenger carrier on the Ace platform, this festive season. Magic Iris is most likely to enter the market during October-November period.

The company aims to capture a portion of the three-wheeler passenger carrier market with the introduction of Iris.

Price gap

"There is a huge price gap between Magic and three-wheeler passenger carriers. In the small passenger carrier segment which includes three-wheelers too, Magic's share is just 15 per cent. We definitely see there is market for a smaller Magic," he said.

Mr. Pisharody said that the launch of Super Ace - the biggest in the mini truck family with one-tonne pay load - will boost the company's light commercial vehicle export.

"We are exporting 1,000 units of Ace every month. It has grown rapidly in the last one year. We are currently focusing on emerging markets, especially SAARC countries. Once we have Super Ace we will look at other markets," he said.