However, the company has not decided whether to make this re-entry in association with the Brijmohan Lall Munjal-run Hero group. BMW, he added, has already decided not to revive its long buried venture with the Hero group for producing top-end motorcycles. "The Hero chapter is closed for us and bikes are completely out of our India plans. But India still remains a long term goal for BMW. We are still willing to invest and set up an assembly unit in India. But all that would happen if the government relaxes its restrictions on minimum investment levels."

BMW had initially planned to introduce its 3 series and 5 series range of luxury cars in India, under a separate 50-50 joint venture with the Hero group. However, the proposal was rejected by the Indian government as the German major was not willing to invest the minimum amount of $50 million prescribed by the government in its automobile policy. Even as efforts would be renewed to seek approval for an assembly base in India, BMW would work towards establishing a service network in the country. "We already have two exclusive importers for our cars-Kashyap Motors in Delhi and Navneet Motors in Mumbai. We are looking at putting in place some more exclusive importers and service outlets well before setting up shop in India," Herrnberger said.

"If allowed, we are looking at importing and assembling completely knocked down kits to start with. There is great potential for our well known marque and we want to tap it." Regarding the venture to produce bi-wheelers in India, Herrnberger said BMW does not have at present any vehicles in its stables to offer to the Indian customers. "What we had introduced earlier was the lowest end model from our stables but such lifestyle bikes do not have a market in India."

Regarding the huge potential for small and compact cars in India, Herrnberger said, if the need arose, BMW can cater to these segments with its Rover range. India, Herrnberger said, can also prove to be a strong market for BMW range of multi-utility vehicles (MUV) and four wheel drives (4WD). "If conditions allow us, we can go ahead with assembling these vehicles in India."