Honda Motorcycle and Scooter India (HMSI) is planning to increase the production capacity of its Karnataka plant by six lakh units to take the total to 18 lakh with an investment of Rs 600 crore in the next two years.
Keita Maramastu, President and CEO of HMSI said, "Our current market share is 27 per cent. We expect three per cent increase during the current year. Again, it depends on market conditions also, by the end of this financial year, our capacity, including the new plant, will be 5.8 million. In the next two years, we are planning to add one more line (with 6 lakh units per annum capacity) to our Karnataka facility. The investment would be Rs 6 billion (Rs 600 crore)."
Maramastu also explained how this year would be a good chance for sales growth. They have also recently inaugurated a facility in Gujarat. He also added that they could increase sales by 20 per cent more than last year. They sold 4.44 million units (including exports) and are expecting over five million this year.
Honda currently exports about two lakh vehicles to some 20 countries, including neighbouring Sri Lanka, Nepal and Bangladesh.
Source - ETAuto
