By Drew Johnson
Tuesday, Sep 23rd, 2008 @ 4:32 pm

Tata’s ultra-cheap Nano city car was slated to begin production in October, but violent protests have put that production start date in jeopardy. The protests erupted after Tata started to build a $350 million plant on the site of fertile farmland, and it looks as though the situation could get far worse before it gets any better.
Lalit Kishore Choudhary, head of Graziano Transmissioni, a car parts supplier in India, died on Monday after being bludgeoned to death by an angry mob outside of Delhi. Choudhary called a meeting to discuss a recent round of lay offs with employees, but was beaten to death after a mob of about 150 angry workers stormed the Grazian representatives, according to Times Online.

There has been a long-running dispute between workers and management at Graziano’s Indian plant, which is believed to be the cause of the malicious act.

Although no deaths have been directly linked to the violent protests plaguing Tata, the word of Choudhary’s death is a serious reminder of how quickly things can escalate.

Rumblings of protests started earlier this year when India’s Supreme Court requested a reply from Tata Motors and the West Bengal government as to why ‘fertile multi-crop agricultural land’ was being used for the Nano’s production plant.

Despite the request, construction of the plant continued and many farmers were displaced from their lands.

The increasing amount of violence — and Choudhary’s death — is concerning Tata, so much so that the Indian automaker is considering completely abandoning the site.

“What has concerned us is the violence, the disruptions, that has led us to be concerned about the safety of our employees, our equipment and investment, and of the viability of the process,” Chairman Ratan Tata told Automotive News. “If anybody is under the impression that because we have made this very large investment of 1,500 crore rupees ($350 million), that we would not move, then they are wrong, because we would move to protect our people.”

As of right now, Tata has no Plan B, which means other automakers could beat Tata to the $2,500 car punch if the protests don’t subside.

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