Honda India production capacity to reach 6.4 million by 2016

Honda Motorcycle & Scooter today announced that it will expand the annual production capacity of its third two-wheeler production plant, which is currently under operation. This will take their annual production capacity to 6.4 million by 2016.

The Narsapura plant in Karnataka began its operations in 2013, with an annual production capacity of 1.8 million units. The company will infuse Rs 585 crore in the same plant to expand its production capacity. It will build a new production line, which will be able to accommodate 6 lakh units yearly and will take the annual production capacity to 2.5 million by the end of 2016. 

“Honda is strengthening its ‘Make in India’ resolve through steady and strategic investments with a long term objective of creating 39% additional capacity within 3.5 years. We are planning to increase the number of associates in the plant by approximately 1,900. This investment will provide new opportunities for expansion of brand Honda in the largest two-wheeler market of the world," said Keita Muramatsu, president & CEO, HMSI.

It is really good to see HMSI increasing its production capacity to meet the consumer demand. However, over the last few months, the company has gradually increased the production capacity but the waiting period for certain models still hasn’t come down.