Europe's second-biggest carmaker PSA Peugeot Citroen is exploring various entry routes into the Indian automobile market but has not yet taken a decision, a spokesman for the group said on Monday.
"We are currently assessing the opportunities offered by the India market and the way to enter this market, but we have not taken any decision yet," Laurent Cicolella told Reuters by telephone from France.
The company is also assessing whether it should enter India on its own or with a partner and whether it should launch a compact car in the country.
"The points...mentioned, are part of the assessment," Cicolella said in reply to e-mail queries.
The Financial Express newspaper had reported on Monday the French automaker was expected to tie-up with Caparo India, a wholly owned unit of UK's Caparo Group, founded by well-known non-resident Indian Swraj Paul.
Cicolella said that there were no "discussions ongoing" with the Caparo Group.
Global carmakers that operate in India reckon the price-sensitive compact car segment offers the best way to grab market share.
The compact car segment, with a share of 70 percent of the total passenger vehicle market and currently dominated by market leader Maruti Suzuki, is starting to expand as more cars enter the segment.
Ford, which has so far been selling mid-sized sedans in India, is set to launch a small car in India early next year.
Apart from Ford, Toyota, General Motors and Volkswagen have lined up their small car launches for next year while another French carmaker Renault plans to enter the segment in India in 2012.
Peugeot, which sells the popular small hatchback 207 in Europe, has said in the past it is looking at external growth opportunities and would consider acquisitions or partnerships to grow in markets where it hopes car sales will hold up.
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