New Delhi, Mar 19: Maruti Suzuki is set to fire competition in the mid-size car segment as it launches the Swift 'DZire', the sedan version of Swift hatchback, on March 26 in petrol and diesel options. The car, that replaces company's Esteem model, will compete primarily with Mahindra-Renault's 'Logan' and Tata's 'Indigo'.

DZire, specially developed for Indian market, comes in as Suzuki works on a new refreshed line-up for the Indian market and replaces many of its previous decade-old models. The Esteem had been on the road since 1994 and with the new DZire, Maruti hopes to get sizeable numbers from the mid-size segment which has seen a growth of close to 12% in the 11 months of FY08.

While the company would announce the price on March 26, the new model is likely to be priced aggressively considering it's from the Maruti stable that enjoys some of the best prices from suppliers and dominates in competitive pricing.

Sources estimate that the base petrol version (having power steering, airconidtioning but no stereo) could sport an ex-showroom price of around Rs 4.5 lakh while the diesel model will be around Rs 5.2 lakh. Maruti is offering 1.3-liter engines on both petrol and diesel versions. Dzire will widen the choice for those wanting to upgrade to a bigger car, but with a budget between Rs 4.5 lakh and Rs 6 lakh.