Within 2008, Praktiko will have established a production facility in Dubai Investment Park, with output expected to potentially reach millions of low budget $3,000 'smart cars', named Tiger Kubs, for export primarily to the Indian Sub-continent and Africa .
Speaking at the Dubai Motor Show, Massoud Khodjasteh, managing director of PRAKTIKO GT, explained how his low budget cars will create hundreds of new jobs and open up a completely new sector in the UAE. "We have officially entered the highly competitive 'One Lakh Race' to supply cars to these countries, where demand is incredibly high for small, quick, economical and affordable cars.
"This is no mean feat as we are going up against automotive giants, such as Suzuki, TATA, Maruti and Bajaj, to efficiently produce a car aimed at budgets of around 100,000 Rupees, with 100 kilometres to the gallon and a speed of 100 kilometres per hour.
Massoud also confirmed the prototype Kub will be ready for display at Dubai's 2008 Motorshow.
He said: "The car is designed and viable and we are convinced the UAE is the best place for us to make this a success. The available labour, infrastructure, tax benefits and favourable geographical position make me confident this venture will be a great addition to the country's success."
Over the next six months Praktiko will be manufacturing and distributing the Biland SA250 engine, originally developed for the Swatch Car, which will be adjusted and re-branded as the Layland SA250. This will be the first complete automotive engine produced in the UAE, with engine sales initially targeting the kart racing industry.
Pitched at a price below the Mercedes Smart car, which has been incredibly successful with fuel-wary Europeans, the Tiger Kub is expected to offer a performance comparable to the Volkswagen Beetle in terms of weight-to-performance ratio, due to its lightweight frame.
With a look and size not unlike the Smart car, the two-seater Tiger Kub would benefit from a fraction of the success of its German-owned counterpart, which is soon to be launched in the US. Retailing at around $11,600 Smart cars have already received 30,000 US reservations from Americans hoping to escape increasingly gridlocked roads.
Massoud added: "These types of cars make a great deal of sense in countries where the emphasis is on economy and practicality. The Tiger Kub's impressive fuel economy will also be attractive to environmentally conscious buyers."
© 2007 Al Bawaba (www.albawaba.com)
