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Still can't resume work at India's Nano plant- Tata

Sat Aug 30, 2008 2:10am EDT
 
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MUMBAI, Aug 30 (Reuters) - Conditions are still not favorable to resume work at a plant in eastern India which will make the Nano, billed as the world's cheapest car, Tata Motors (TAMO.BO: Quote, Profile, Research, Stock Buzz) said in a statement on Saturday.

Tata Motors which is building the plant to launch the 100,000-rupees ($2300) car, has faced violent protests and political opposition over the acquisition of farmland in Singur, an hour's drive from the city of Kolkata, the capital city of West Bengal.

"There has been no improvement in the ground situation so far, hence the conditions are still not conducive for resuming work today," a Tata spokesman said in an e-mailed statement.

"We continue to assess the situation closely."

Last week, Tata Motors Chairman Ratan Tata said he was prepared to move the plant from Singur if violence continued, despite having invested $350 million in the project. (Reporting by Saikat Chatterjee; Editing by Tomasz Janowski)

 

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