Honda Motorcycle and Scooter India 36% sales growth for 2013 Dec

Honda Motorcycle and Scooter India (HMSI) overall sales registered 36% overall growth (YoY) with total sale at 296,144 units in Dec 2013. Scooter growth is 54% and motorcycle growth is 18%. In the domestic market, HMSI market share is 24% while Domestic+exports is 22%.

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HMSIHMSI also made strides in becoming an export hub with 2Wheeler exports to Honda’s new JV company in Bangladesh.This JV beyween Honda and Bangladesh Steel & Engineering Corporation (BSEC) known as Bangladesh Honda Private Limited operates from Sreepur, Gazipur.

HMSI has also tied up with India’s largest Gramin Bank, Baroda Rajasthan Kshetriya Gramin Bank for 2Wheeler retail finance to benefit over 50 lakh Customers in the desert state. Benefits include minimum processing fee, no documentation charges, and loan amount of upto 75% of On-Road price of Honda’s 2Wheeler. There’s a special 6 months installment scheme for farmers, and cost savings of up to Rs. 1940 on taking finance from BRKGB.

Dr. M. S. Phogat, Chairman, Baroda Rajasthan Kshetriya Gramin Bank said “We are happy to enter into this strategic tie-up with Honda Motorcycle & Scooter India Pvt. Ltd. I believe that customers can now enjoy more with our extensive reach across Rajasthan & Honda’s extensive product portfolio. With this, the potential of owning a 2Wheeler by people in Rajasthan will get a boost. It is our continuous effort to make convenient, the availability of finance to people and with Honda’s partnership we believe we will be able to help people in buying their choice of 2Wheeler.”

Y.S. Guleria, Vice President, Sales & Marketing HMSI said, “Till date, Honda has been offering retail finance options to its valued customers via tie-ups with private banks, NBFCs and nationalized banks. As the next step, we are now partnering with Co-operative Banks and Gramin Banks to make 2Wheeler buying through retail finance more accessible to customers even in rural & semi-urban areas. We are sure that with Baroda Rajasthan Kshetriya Gramin Bank’s wide network and easy finance solutions, we will be able to reach out to more and more customers in Rajasthan and provide them an opportunity to experience high quality yet affordable Honda products.”

Honda’s CSR sees the company invest and contribute to overall economic and social development in Rajasthan. In July 2011, HMSI set up its second two-wheeler manufacturing plant in India in Tapukara, Dist. Alwar which today produces at peak annual capacity of 12 lakh units. Honda registered 30% sales growth as compared to average 2Wheeler industry growth of 5% in FY13-14 (YoY basis).