Honda Motorcycle and Scooter India (HMSI), a pioneer in the scooter market of India, plans to set up the world’s largest scooter plant in Ahmadabad, in Gujarat. Investing Rs 1,100 crores to set up HMSI’s fourth manufacturing plant, Honda Motors seems to be cementing its position as the leading manufacturer in the two-wheeler segment in India.
Honda Motorcycle and Scooter India is currently operating through three functional manufacturing plants in Rajasthan, Haryana and Karnataka. These manufacturing plants jointly roll out 46 lakh units per year, which accounts for HMSI’s 53% share in the domestic scooter market. This new manufacturing plant will manufacture 12 lakh units per year which will increase HMSI’s total output to 58 lakhs by 2015 -2016. According to Y.S. Guleria, the Vice President for marketing and sales of Honda Motors in India, the new manufacturing plant will help to reduce the “waiting period” and clear the backlog of 60,000 Honda scooters– a number that will still increase during this festive season. This new venture will foster employment opportunities for 3000 employees and will also expand the range of Honda scooters with new choices.
Earlier, when one spoke about the two-wheeler segment, one always associated it with motor bikes, but times have changed. Now-a-days scooters sport, trendy and sleek designs, vibrant color schemes, better fuel efficiency, easy-to-ride features and economic pricing in the two-wheeler segment– all of which has propelled the growth of the scooter market in India.
Following suit, auto manufacturers such as Hero MotoCorp, Suzuki, TVS Motors, Mahindra and Mahindra and Yahama, have expanded and developed production of their scooters. This has led to an escalation in the share of scooters in the two-wheeler segment in India, which jumped to a whopping 29% in the current fiscal. The sales of scooters rocketed sky high, selling 3.6 million scooters in the fiscal ended in March.
With sales and the demand for scooters increasing exponentially, we hope Honda Motorcycle and Scooter India (HMSI) continues to pave the path, leading to the growth and development of the scooter market in India.