We recently posted that Renault and Mahindra & Mahindra’s rocky relationship in India has avoided divorce, and that the unsuccessful Logan will be given a second chance. That basic car, although well received in other markets, was expensive in India due to higher excise duty for cars longer than 4 metres and a relatively large engine compared to other bargain cars. It also looked rather drab and low cost as opposed to say, a Maruti Swift.

Well, the future arrangement is like this. The upcoming modified sub 4-metre version of the Logan will be manufactured, sold and badged in India as a Mahindra, which means no more Renault logos. The French company will receive royalty for each car sold and is said to be keen on purchasing the Logan from Mahindra to sell it in South Africa. According to Indian Autos Blog, the “new Logan” will surface 18 months from now. The same source adds that M&M is also looking to craft out a sub 4-metre SUV in 2012 from the Logan’s platform, possibly with a 1.5-litre three-cylinder diesel engine.

For the meantime, the company has slashed Logan prices to boost sales figures. Indian carbuyers will get savings of Rs 24,000 to Rs 80,000 (RM 1,700 – RM 5,700) depending on variant. Let’s hope the promotions don’t include throwing in these very inappropriate Renault Megane R26 R style graphics!