JLR boss Ratan Tata hits out at Government's failure to help

Mar 25 2009 By Marc Reeves, Birmingham Post Editor, in Mumbai

Mr Tata stressed that JLR was not asking for a bailout, but access to finance on commercial terms, secured by a Government facility. Despite that, he said: “For some reason, our interaction with the government and members of the government seem to come back to ‘Tata is seeking a bailout’.

“JLR is facing a global turndown in demand and that’s not something we’re able to fix from here. This is the first time we have ever sought Government intervention or assistance in our lives, so it would be unfair to say that ‘Tata should fix it’.

“We have in fact done a great deal to try and fix it, but we just don’t know where to turn.”

West Midlands MEP Malcolm Harbour, a former car industry executive, said Mr Tata’s remarks confirmed criticisms levelled against the Government by opposition politicians and other company executives. “I just hope the Government takes note of what Mr Tata is saying because he is a major player in the world automotive business,” he added.

Someone familiar with Indian business protocols said it was “highly unusual” for an industrialist of Mr Tata’s rank to speak out against another country’s government. “It seems to be sheer frustration at the Government’s failure to fully understand manufacturing,” the source said.