The RiO seats 5 people comfortably and is powered by Premiers 1489cc turbo diesel engine based on Peugeot technology delivering close to 65BHP and a fuel efficiency of about 16 kms per litre. The vehicle, based on a Dalhatsu model, will be sourced from China through a component supply agreement with Zotye Group, the Chinese manufacturer that sells close to 100,000 units per annum of this modal from its modern plant near Shanghai, China.

Premier win assemble the RIO at its Pune plant and sell it through its dealer network in a phased roll out starting with West and South India. The Company currently has 30 dealers that it is expanding to 100 in the next 8 months thereby creating an all India network. Premier is beefing up its sales and service support and will be offering a 3 year warranty for the RIO.

The RiO will retail in 3 versions with the base model priced as around Rs. 5.25 lacs and the deluxe model at Rs 6 lacs, both prices are ex-showroom Pune, making it nearly Re 1.5 lacs cheaper than other SUV5 on the Indian roads. Initially, the RIO will be available in red, while, silver, black and blue colours. All models come equipped with power steering, front powerwindows, central locking and CD / MP3 player. There will be both A/C and non-A/c versions. Higher models will have additional features like anti-clock breaking system (ADS) and alloy wheels.

The RiO comes with foldable split rear seats thereby providing multiple seating configurations and its unique feature is a very high ground clearance enabling it to comfortably operate on all types of roads. Premier will commence deliveries in December 2009. The initial production has already commenced and the first cars are expected to hit selected dealer showrooms in the first week of November for customer reply.

The company made this announcement during the trading hours today, 28 October 2009.