According to an official statement made by Tata, Xenon and the Safari Storme will replace the Maruti Gypsy, which were being used by defence forces for years. The combined order is worth Rs 400 crore, which is equivalent to 40 percent of the current annual revenue of Tata Motors' defence business.
The first batch of the order comprises of 3,192 units of the Storme. The order is expected to grow by ten fold, according to a report on Autocar India.
Under the contract, which will be signed soon, the Army will replace its fleet of 35,000 vehicles, and also plans to invite tenders from automakers of 'in-service' vehicles. ('In-service' vehicle is any vehicle which is already approved and is in use by the Army.)
The Gypsy has been a top choice of defence forces in India for a long time now, however a need was felt for additional safety features, more power and diesel run cars, as the fuel is more readily available and would save the Army quite a lot on fuel bills.
A large batch of the Xenons supplied by Tata will be put to use by the BSF, which would ensure efficiency of troop movement along the border.
An order of 500 Xenons has already been placed with Tata Motors. Airbags, aircon and other such features helped Xenon bag the order. The forces will be supplied by twin-cab version of the Xenon. Mahindra's Bolero Camper was also in the race for the order.
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