Bajaj plans motorcycle plant in Bangladesh at Rs 118 crores investment
Bajaj Auto Limited, the world’s third largest motorcycle manufacturer and second largest in India, plans a new motorcycle manufacturing plant in Bangladesh. A total of four Bajaj motorcycles will be produced at this plant with an annual capacity of 1.5 lakh units
Custom rules dictate that the assembler can only be called as a manufacturer following 30% value additions. It is for this reason that 20-25 components such as chassis, chain, swing arm, suspension, battery, tyres and all plastic parts will be produced from the Bangladesh plant while other parts will be brought in from India. The unit will also have a powder coating plant and facilities such as molding, dye casting, salt spray testing, pipe bending and hydraulic press on site.
Bajaj Auto plant in Bangladesh will have initial capacity of 1.5 lakh units per annum with four models slated for initial manufacture. These include Platina 100, Discover 100, Discover 125 and Pulsar 150. The new plant will have around 450 employees with two to three employees from overseas.
As of now, Bajaj bikes sold in Bangladesh are imported as CBUs from India. This keeps the price of Bajaj bikes in Bangladesh high. Once this new plant is operational, price of locally produced Bajaj bikes too are expected to lower.
via The Daily Star
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