Does India need a $3000 car

For a long time we have been hearing about how a company in India ( Tata) is trying to come up with a car which will be accesible to a common man and the price will be around 1 lac indian rupees ( $2600) .

While definitely appreciative of the company for trying to get this so called luxury to the common man, I feel it is big disservice to the country as a whole. Where does India have the infrastructure for handling the no. of cars which come on the road. Currently the top metropolitian areas are so crowded that it takes around 2 hrs to reach a place which you can get in US in less than 15 minutes. With this level of efficiency what will happen with this cheap car.

Also this will increase the pollution levels and also make India more depend on Oil which will definitely be an issue soon.

Any comments on this would be appreciated