Bajaj is planning to increase the prices of its Platina and Discover commuter motorcycle range from next month onwards, to compensate for the increasing input costs. While the company hasn’t decided on the quantum of the price hike, Eric Vas, the president of Bajaj Auto Ltd’s domestic motorcycle business unit, revealed that they were going to make a decision depending upon the sales performance and the new excise duty structure.
In October, this year, India’s top two manufacturers Hero MotoCorp and Honda Motorcycle Scooter India hiked the prices of their entire line-up, by 0.5 to 1 per cent. Both the manufacturers cited the depreciating rupee and increase in transportation and operational costs as the reasons for hike. It had been a while since two-wheeler manufacturers increased the prices and in this instance, the hike was very reasonable.
Bajaj had also hinted at a price hike during the same period, though it was then postponed to the end of the festive season. With a revised excise duty structure expected by next month and its sales facing a decline of over six per cent in November, it seems that the Pune-based manufacturer will end up hiking the prices by January. As seen with Hero MotoCorp and Honda, the hike is expected to be very reasonable, as the sheer volumes generated by Bajaj would be enough to offset the additional costs.
Speaking to PTI, Mr Vas said, “We plan to hike prices of Discover and Platina models in January. We have not hiked the prices of these models so far. We haven’t decided on the quantum of the hike so far but it will definitely depend on two things. One, we will have to look at the sales performance and secondly also have to consider excise duty structure going ahead.”