Suzuki Indian production capacity to double with Rs5 billion investment over two years
26 August 2010
Leading Japanese automobile major, Suzuki said it would double its production capacity in India with an investment outlay of Rs5 billion over next two years.
The company made the announcement yesterday, through its Indian subsidiary, Suzuki Motorcycles India Pvt Ltd (SMIPL), which said it had planned an investment Rs5 billion for more than doubling its production capacity in India from the existing 2.5 lakh units per annum to 5.4 lakh units per annum by 2012.
SMIPL chairman Katsumi Tataka said the company was aggressively expanding its production capacity to 5.4 lakh units from 2.5 lakh units by 2012 and of the total laid out plan of investment of Rs5 billion, the company had thus far invested around Rs4.5 billion this year with another Rs0.5 billion to be infused over the period of time.
The company also plans to launch a new 125cc motorcycle Suzuki SlingShot priced at Rs43,945 (ex-showroom Delhi). The new motorcycle is would be targeted at consumer segment between the entry level 1000 cc segment and premium segment of 1500 cc according to SMIPL.
The company currently sells both scooters and motorcycles including models like a Access 125, Suzuki GS150R and GSX-R1000, Bandit 1250S and Hayabusa.
The company now counts around 260 dealers across the country with sales of 1.8 lakh units recorded in the year 2009-2010.
"We are aggressively expanding our production capacity to 5.4 lakh units from 2.5 lakh units by 2012," SMIPL Chairman Katsumi Takata told reporters in New Delhi yesterday.
"It has been our constant endeavour to capitalise on emerging opportunities in the Indian motorcycle market and the Suzuki SlingShot is a direct result of us listening to what the customers want and delivering a world class product that meets the requirement," SMIPL vice president sales and marketing Atul Gupta said.
"In line with our production capacity expansion, we will concentrate on new product development and strengthening of distribution network," Takata said.