Dubey in Calcutta on Tuesday. (Fotocorp)

Calcutta, Aug. 26: Tata Motors looks to tide over soaring inflation, interest rate hikes and rising input costs with new models, including the Nano.

“Rising input costs, inflation and high interest rates do not make it the best of times for us. We feel Tata Motors is well equipped to handle internal and external pressures on the back of new products being introduced in the market,” said Rajiv Dubey, president (passenger cars) Tata Motors.

The launch of the Nano will help maintain growth momentum as it marks the auto firm’s entry into a new segment, Dubey said.

In January, Tata Motors launched a compact sedan, the Indigo CS. Between April and July this year, the company’s compact sedan sales reported a growth rate of 79 per cent.

The launch of the Sumo Grande saw the company’s utility vehicle segment growing by 12.5-13 per cent.

“During such difficult times, it helps to have new products which will bring customers and make them buy them even at a slight premium,” said Dubey.

The new Indica Vista, according to Dubey, will help prop the falling sales of the model. During 2006-07, the company sold 12,000-13,000 units of the Indica per month.

Dubey said stiff competition made it impossible for companies to pass on the input cost burden to consumers.