AllThingsDigital reports that Apple’s iPad 3 is headed towards production stage. As we all know, Amazon Kindle Fire has been launched recently and is grasping all attention now. As Apple is not a brand that can digest sitting in shadow for a long time, I guess iPad 3 launch date will be set in March of next year.

Susquehanna Financial analyst Jeff Fidacaro, on being approached by ATD said that Apple is increasing iPad production from between 11 millions – 13 million to 12 millions – 14 millions for the fourth quarter. He believes that this increased production is due to inclusion of iPad 3 units also under production stage. Further, he exclaimed that according to the analysis of supply chain of last month, around 600000-1 million iPad 3s are going to be manufactured in the last quarter of this year. Their previous estimates did not include iPad 3. Apple will be shipping 13 million iPads in the fourth quarter of 2011 rather than 11.5 million (as was the case with third quarter).

According to Fidacaro’s analytical results, the iPad 3 launch date may lie in March, that is, one year after iPad 2’s release. Apple also cut short number of iPads ordered to manufacturers. This step was considered to be its strategy to make enough room for iPad 3 production.

However several other techies and analysts disagree. As we reported earlier , the quad-core processor (A6), that is to be used in iPad 3 will not be ready until second quarter of next year. Besides, iPad 2 itself is killing competition now. So, the iPad 3 release date can not fall before June, 2012.

iPad 3 will be manufactured at Foxconn Electronics Plant, Brazil.