Automotive component giant Bosch is banking on India’s booming auto market. The German company will invest Rs 2000 crore ($430 million) in India from now till 2012 and hopes to manufacture two million common-rail units a year by 2013.

How is this figure possible? A big chunk of that two million will be for the Tata Nano. Bosch has announced that it’s developing a common-rail diesel system for the Tata Nano. Called the Bosch CRS 1.1, it’s speculated to be part of a single cylinder unit sized about 550-650 cc, with 25 to 30 bhp and adequate torque, according to reports. So far Bosch has supplied Tata with the Nano’s front and rear drum brakes, starter, alternator and fuel injection system.

After Germany, India is the next biggest recepient of Bosch’s R&D funds, which totalled €3 billion in 2009. About 15 per cent of Indian made Bosch components are exported, mainly to Europe and South Korea.