Honda two wheelers 4th plant in India at Rs 1,100 crore investment
Honda’s fourth 2Wheeler (only scooter) plant at Vithalapur is situated at about 80 km from Ahmedabad city, and spans 250 acres. To be operational by 2015 end, annual production capacity is pegged at 1.2 million units, making the largest only scooter manufacturing facility globally. The new commissioned plant takes HMSI’s total annual production capacity to 5.8 million units
Chief Minister of Gujarat – Anandiben Patel, Finance Minister, Govt. of Gujarat- Saurabh Patel and other senior Gujarat government dignitaries, Honda officials Noriaki Abe (Chief Operating Officer, Honda Motor Company Ltd.-Asia & Oceania Region), Yoshiyuki Matsumoto (Managing Officer – Honda Motor Co. Ltd., President & CEO, Honda Motor India, Keita Muramatsu President & CEO – Honda Motorcycle & Scooter India, Harbhajan Singh (Vice President – General & Corporate Affairs, HMSI), Yadvinder S. Guleria (Vice President – Sales & Marketing, HMSI) and local residents were in attendance.
Noriaki Abe, Chief Operating Officer, Honda Motor Company Ltd- Asia & Oceania Region as the biggest two-wheeler market globally, India is a priority market for Honda. Through fiscal 2014-15, Honda aims to sell 18.2 million two-wheelers globally, and India is to contribute about 25% of global Honda sales.
Yoshiyuki Matsumoto, Managing Officer – Honda Motor Co thanked Gujarat Government for their support in setting up the plant. With its 4th plant, Honda aims to reach closer to its large west Indian market, which contributes over 25% to Honda business. Employment will be provided to about 3000 people within first 2 years of commercial production, and entails an investment of Rs 1,100 crore.
Keita Muramatsu-President & CEO, Honda Motorcycle & Scooter India says Indian automatic scooter market is growing at 2.5 times the rate of overall 2wheeler industry growth. Improved infrastructure in rural India forecasts that segment sales will increase up to 35% of overall two-wheeler sales in a 5-10 year period, while fostering the ‘made in India’ ethos.
Harbhajan Singh – Vice President, General & Corporate Affairs, HMSI says its 4th plant lets Honda accelerate development in Ahmedabad district and empower locals to benefit from this growth story. Honda has begun engaging with the local community with several CSR initiatives and install solar powered hub light at Vithalapur Village to light up community areas like chopal and local recreation centre, among others.
Across 40 countries globally, Honda’s worldwide 2wheeler sales volume was 17 million units in FY’2013-14 of which India’s contribution surpassed the 20% mark, making India its 2nd largest sales market in the last fiscal.