Maruti Udyog, the country's largest car manufacturer, will launch its cars in South Africa by next year and re-enter the European market in 2008-09.

Managing director Jagdish Khattar said the company was planning to enter South Africa, but refused to disclose the features of the model that will be launched. "But it will form a part of direct exports from India," he added.

Meanwhile, the company has also envisaged plans to re-enter the European market with a model, which could be on a shared platform such as the Zen Estillo (the car shares its engine with the Wagon R and the platform with that of the Alto) or the company will build a completely new model for the launch date of 2008-09.

Khattar said, "We are planning to launch a model specifically developed for the European market. With this model our total export sales are expected be in excess of 100,000 units. The discontinuation of exports to the continent has affected us badly but with the launch of the new model we are our exports will hit an all time new high."

Alto contributed as much as 90 per cent of company's exports to Europe. Now with the launch of a new car, Maruti hopes to regain a key export market.

For the non-European market, the company is expecting to post a total of 40,000 units for the current financial year and it is further expected to grow to an overall figure of 100,000 units including the introduction of the new model in Europe.