VOLKSWAGEN PLANT IN SARAJEVO TO BROADEN MANUFACTURING PROGRAM

SARAJEVO, Sept 28 (Hina) - The Volkswagen car factory in Vogosca, outside Sarajevo, will broaden its manufacturing programme by assembling vans of the German car concern, said Faruk Smailbegovic, the director-general of UNIS Holding. In an interview Smailbegovic gave to the news agency, ONASA, on Tuesday he said he was expecting from the Bosnian Federation's Government to support these development plans by revoking customs duties and reducing certain taxes on vehicles assembled in the Vogosca plant. The UNIS director announced that the manufacturing of exhaust pipes which are to be installed in cars for the German market, is likely to be launched in Vogosca by the end of this year as well. On the grounds of latest talks, plants in two other Bosnian towns - Derventa and Tesanj - are expected to be included in the production chain of Volkswagen. By the end of 1999 the Vogosca factory should deliver 2,000 cars for the Bosnian market and about 400 for Turkey from the "Felicia" contingent. The cars will be imported in Turkey without customs duties. By 2,000, Bosnian consumers will be offered 500 "Octavia" cars, the assembly of which commenced in Vogosca six months ago. (hina) jn ms