Toyota small car dreams are well on track and the company plan to launch the vehicle by the end of December this year or January next year.

However, the company still hasn't confirmed whether it will be a sedan or the hatch version that will make its debut first but clearly, Toyota's entry into the A2 and entry level sedan segment is going to make a lot of noise in the Indian market.

In fact, the company has recently confirmed that it is also weighing options of bringing a diesel variant of the product. "Based on the consumer feedback that we have got over a period of time after showcasing the product, the company is thinking about bringing a diesel variant. But nothing is sure at the moment and we are still in the planning process," explains Sandeep Singh, Deputy Managing Director, Toyota Kirloskar Motors.

The company has set up a new plant that will exclusively produce Etios that will be sold in the Indian market first before being exported to other countries. The plant will have an initial capacity of 70,000 units.