CALCUTTA, India -- The Associated Press (AP) has reported that the protest that stopped production at Tata Motor's Nano plant in India has been called off.

Last week, Tata suspended work indefinitely at the plant in West Bengal, India, amid increasingly violent protests in the region. Local farmers in the region had been protesting for nearly two years, claiming insufficient compensation for their land on which the factory was built.

The protests were called off after the local government on Sunday promised to compensate the angry farmers, according to the AP. Details of the compensation package, which is said to include new land, are expected to be set up in about a week.

The Nano, aiming to be the world’s cheapest car retailing at about $2,500, is expected to launch by the end of this year.