NANO-The Poor man's Mercedes

Cars are no more an identity for rich people. It has become a basic need for every person even if he or she belongs to a middle class family.

India's Tata Group unveiled Thursday the world's cheapest car costing 2,500 dollars amid predictions the no-frills vehicle could revolutionize how millions in India and elsewhere travel.

The launch of the Tata Nano was a landmark in the history of transportation, claimed 70-year-old tycoon Ratan Tata, the head of the giant conglomerate, while rejecting fears the spartan car would add to congestion and pollution.

The four-door, five-seat sporty-looking car, which defied pre-launch predictions that it would be little more than a "motorized bullock cart on wheels", is due to hit the roads later this year at just 100,000 rupees (2,500 US dollars), excluding tax, after the Tata Group cut costs to the bone.