The Premier Rio, India’s first compact SUV, up till now comes with a dated Peugeot diesel engine and a petrol engine that meets BSIV norms.  For sometime now there has been talk of the vehicle maker Premier Ltd, trying to buy the Fiat 1.3 litre Multijet diesel engine and plonk it into the Rio.  For this to happen, Fiat needs permission from Tata Motors, its JV partner in FIAL or Fiat India Automobiles Ltd which is a 50:50 partnership between Fiat India and Tata Motors.  Considering the fact that the Rio does not represent any threat to anyone as things stand, it is quite possible that Tata would have had no objection to Fiat selling the engines to Premier.  Now there are unconfirmed reports (attributed to a tweet by Hormazd Sorabjee of Autocar India) that a deal has been finalized for the introduction of the ubiquitous 1.3 litre Multijet diesel engine from Fiat into the Rio.  If this news is indeed true, that could be good for Premier since petrol engined vehicles are not selling well and the Peugeot mill is too ancient to meet the new emission norms, thereby depriving Premier of the urban market where such a vehicle could have some relevance and attraction.