Aiming to clear the backlog for its popular small car fast, Tata Motors on Wednesday said it has increased the production of Nano by 20 per cent from this month at its Pantnagar facility.

“We are gearing up for a higher number. We are ramping up our production capacity by 20 percent from this month.

Post-increase, the sales will be more than 3,000 vehicles per month,” Tata Motors’ Head for passenger car business Rajiv Dube told reporters here.

Mr. Dube said that the company was averaging around 2,500 Nano cars in the last three months.

After pulling out of the small car project from Singur in West Bengal, Tata Motors shifted its manufacturing base in Sanand in Gujarat, which is likely to start operation from the next fiscal. However, to make sure that the deadline was maintained, it started production at the Pantnagar facility.

Tata Motors had sold 2,524 Nanos in September and the total sales of the passenger vehicles stood at 20,743 during the month, a 23 per cent rise over the same month in 2008.

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