Piaggio, the Italian automaker is getting ready for introducing a mini car in India. The company is planning to come up with a small car that would be more affordable than Tata Nano and also more smaller than the People's Car. The prototype of the same was shown by the company in the Milan bike show. The complete model is speculated to hit in the Indian auto market in the coming three years. This small car from Piaggio is expected to have a 300-500cc engine. The model will be able to seat 3 passengers and it may cost about Rs 1.5 lakh. It has been planned that the product will be rolled out from the Baramati plant, Pune. Mr Ravi Chopra, Chairman and Managing Director of Piaggio India, said that till now the concept of this small car marks the first phase of innovation. The next step will involve working on cost-effective manufacturing technologies for making the product competitive. The third phase will have the planning of smart brand and retail strategies.

Mr Chopra also added that this mini car from Piaggio will be the future Ape for India. which has come to be coincident with 3 and 4-wheeler cargo range of Piaggio which has been in operation for more than a decade now. The company has also made it clear that it will be making the Vespa scooters at Piaggio’s Baramati facility by the year 2012. The mini-car of the Italian automaker is part of an aggressive business strategy for the Indian auto market.

Piaggio is also working out an engine plant which will cater to the requirements of the company’s vehicle range all over the world. As per the sources this Piaggio mini car will be exported to South America and Europe. A few weeks ago, the Indian arm of the company had introduced the Ape Mini pickup with the price tag of Rs 1.8 lakh. Now the company is also planning to come up with the passenger version also. Mr. Roberto Colaninno, Chairman of Piaggio commented that the project’s idea developed in India is to handle with traffic, especially in the big cities.