if you are using tyres that have a larger diameter than the recommneded ones then the gap between your arches and tyres will definately be less..
to check the recommened tyre size plz correlate the recommended tyre size on the driver side door pillar near the seat area and then check again on the tyres what tyres size you are using..
if they are OK. then you have to open up the struts assembly ie shock aborbers and springs. I am using XLI springs in rear to counter for the cng cylinder weight along with baleno shock absorbers.. working fine till now apart from a TUK sound sometimes because longer springs sometimes absorb the impact without letting the shock absorbers to open properly..
here is how to check the shock absorbers properly. dont let the desi ustaad jee trick you by selling the whole strut assembly, you ve to make him open the stut assembly ie shocks seperated from springs..
//youtu.be/http://www.youtube.com/watch?v=ZsT6vLPgyAA
^^ your shock absorber is not like this, its part of an assembly with springs and shock absorbers, it is just to show that weak shock absorber wont come up easily or will stay at a lower level.., also whil doing it compare the 4 shock absorbers to find that which one is weak..
//youtu.be/http://www.youtube.com/watch?v=qycP-LZKX10