07 July 2005
Morocco - The French car manufacturer Renault said early this week that sales of its much awaited low-market model Logan are to kick off in Morocco on Thursday. The group aspires to tap into the region's potential through its Moroccan hub.
The company forecasts sales of 30,000 units per year to be produced in its Casablanca plant, half of which are targeted for exports, mainly to Tunisia and Egypt. Morocco signed the Agadir Agreement last year with Egypt, Jordan, and Tunisia, which calls for the parties to remove all tariffs between them by Jan. 1, 2006.
The car is to be assembled by Renault's Moroccan subsidiary, SOMACA, in which it has a 54% economic interest.
The company acquired 26% of its equity in September 2003 from the Moroccan government for MAD 65 million, and followed suit on April 27, 2005, by buying out Fiat Auto Spa. It paid out 4.5 million euros for its 20% stake.
The deal reached with the government on Sep. 18, 2003, calls for Renault to acquire an additional 12% stake still held by the government in November 2005 for MAD 30 million.
The company, which has invested in Morocco 30 million euros in the Logan project, has a 26-outlet distribution network. Logan price tag amounts to MAD 72,200, and can go up to MAD 84,200.
Renault sold 11,352 vehicles in Morocco in 2004, up 36% year-on-year.
Sales at end-June total 6,200 cars, up 19% year-on-year, while overall sales in Morocco increased by 17% since the start of the year. Renault's Kangoo represents more than 50% of its first semester sales.
Morocco will become the first market where all three makes of the group, Renault, Dacia, and Renault Samsung Motors are sold.
Renault of France has ambitious plans for its low market model for which it has global annual sales target by 2010 of one million units in more than 30 countries, eight of which are western European countries.
Sales forecasts top 100,000 vehicles in Russia by 2008, 60,000 of which will be built at the Avtoframos plant. The company will also start production of Logan in Colombia before the end of the year, while the car is expected to hit the assembly line in Iran in 2006, and in India in 2007.
Morocco - The French car manufacturer Renault said early this week that sales of its much awaited low-market model Logan are to kick off in Morocco on Thursday. The group aspires to tap into the region's potential through its Moroccan hub.
The company forecasts sales of 30,000 units per year to be produced in its Casablanca plant, half of which are targeted for exports, mainly to Tunisia and Egypt. Morocco signed the Agadir Agreement last year with Egypt, Jordan, and Tunisia, which calls for the parties to remove all tariffs between them by Jan. 1, 2006.
The car is to be assembled by Renault's Moroccan subsidiary, SOMACA, in which it has a 54% economic interest.
The company acquired 26% of its equity in September 2003 from the Moroccan government for MAD 65 million, and followed suit on April 27, 2005, by buying out Fiat Auto Spa. It paid out 4.5 million euros for its 20% stake.
The deal reached with the government on Sep. 18, 2003, calls for Renault to acquire an additional 12% stake still held by the government in November 2005 for MAD 30 million.
The company, which has invested in Morocco 30 million euros in the Logan project, has a 26-outlet distribution network. Logan price tag amounts to MAD 72,200, and can go up to MAD 84,200.
Renault sold 11,352 vehicles in Morocco in 2004, up 36% year-on-year.
Sales at end-June total 6,200 cars, up 19% year-on-year, while overall sales in Morocco increased by 17% since the start of the year. Renault's Kangoo represents more than 50% of its first semester sales.
Morocco will become the first market where all three makes of the group, Renault, Dacia, and Renault Samsung Motors are sold.
Renault of France has ambitious plans for its low market model for which it has global annual sales target by 2010 of one million units in more than 30 countries, eight of which are western European countries.
Sales forecasts top 100,000 vehicles in Russia by 2008, 60,000 of which will be built at the Avtoframos plant. The company will also start production of Logan in Colombia before the end of the year, while the car is expected to hit the assembly line in Iran in 2006, and in India in 2007.
© Morocco Times 2005
