We can’t be sure whether it is the true potential of being a good market or the recent hype due to the FIFA World cup that has made South Africa glow in the maps which indicates potential markets to auto manufacturers. Recently, Tata Motors revealed its interest in South Africa by announcing its plans to set up a manufacturing unit there. Mahindra and Mahindra is now the second Indian auto manufacturer which has expressed its interest in the South African market. M&M also revealed its plans to set up a manufacturing unit in South Africa.
“There are many benefits in having an assembly plant in South Africa. South Africa would be M&M’s gateway to the rest of Africa,” said M&M group president Pawan Goenka to a South African daily ‘Business Day’. No further details regarding the location have been revealed by the firm. However, Mr Pawan stated that a feasibility study has been completed. “Mahindra is exploring possibilities for assembly of automotive products and will undertake the same as and when the right opportunity arises,” said Pravin Shah, chief executive officer, International Operations, and Automotive & Farm Equipment Sectors, Mahindra & Mahindra Limited.
The fact is now confirmed that M&M South Africa is a wholly-owned subsidiary of Mahindra & Mahindra India. The organization is already wide-spread in South Africa with Indian origin and 64 years of history. The company boasts of dealers in all nine provinces of South Africa which take care of sales, service and spares.