Munjals tie Up with MIT for ISB Institute
The Munjals of the Hero group have tied up with the MIT Sloan School of Management to develop their Munjal Global Manufacturing Institute (MGMI),one of the four institutes coming up at the Mohali campus of the Indian School of Business (ISB).The business school of the Massachusetts Institute of Technology will support MGMI by providing faculty support and curriculum design in the area of manufacturing,offer joint executive education programmes and facilitate joint action learning projects for management students.In addition,ISB also gets support from its founding associate schools the Wharton School,the Kellogg School of Management and the London Business School.Describing the MGMI as a one-of-its-kind management institutes dedicated to manufacturing excellence in the country,Sunil Kant Munjal,Chairman of Hero Corporate Serve of Hero Group,said there is no such institute in India dedicated to manufacturing management.He said MGMI aims to develop thought leadership,sharing knowledge with SMEs,advocate policy changes and grooming future leaders in the manufacturing sector.He said India lags in manufacturing and the objective of achieving at least 25% of GDP from it could be realized only if we focus on globally competitive manufacturing.We were fortunate to get a partnership with MIT,which is considered the finest institute in the world known for technology and converting technology into manufactured goods, said Munjal.The Munjal family has pumped in Rs 50 crore to help ISB set up the manufacturing institute,which will consider roping in IIT Ropar and other Punjab-based institutes and industrial houses for creating virtual space for young entrepreneurs.We hope MGMI will offer holistic management expertise for students to build,promote and nurture manufacturing enterprises,apart from creating leaders in policy advocacy, said Munjal.
Auto sales change gear, up 7%
Domestic passenger car sales witnessed a turnaround in November after four consecutive months of contraction, rising by 7% on the back of a marginal revival in demand, coupled with a low base. According to figures released by the Society of Indian Automobile Manufacturers (Siam) on Thursday, domestic passenger car sales stood at 171,131 units in November, as against 159,939 units in the same month last year.
“Domestic car sales have bounced back as the base in November last year was low. Also, we have seen some revival of demand in last month,” Siam senior director Sugato Sen said.
However, sales in December are likely to be lower than in November, he said. “The entry-level car segment, which is the biggest contributor to sales, has been hit most because of fuel hikes and rising interest rates. However, demand in the upper-end segment is comparatively doing well,” he said.
Car sales in India have been declining on a year-on-year basis since July, mainly due to the severe impact of labour issues on the country’s largest car-manufacturer Maruti Suzuki India’s (MSI) production.
Sales registered their steepest monthly decline in nearly 11 years in October this year, tanking by 23.77% on account of a huge drop in MSI’s output due to labour trouble, coupled with high interest rates and fuel prices. MSI’s domestic sales declined in November as well, dipping by 16.59% to 73,078 units from 87,618 units in the same month last year, Siam said.
However, the strong performance of other manufacturers made up for the slippage in MSI sales in November. Rival Hyundai Motor India posted a 10.72% growth in sales to 34,878 units in November, 2011, from 31,501 units in the same period last year. Tata Motors also reported a jump in sales to 23,540 units from 12,234 units in the same period last year, translating into a 92.41% increase.
As per the figures released by Siam, motorcycle sales in India grew by 22.67% in November to 869,070 units from 708,476 units in the corresponding month last year. Market leader Hero MotoCorp’s domestic sales increased by 27.02% to 485,381 units last month from 382,138 units in the same period last year.
In addition, Bajaj Auto saw a 18.24% rise in sales to 228,407 units from 193,174 units in the same period last year. However, TVS Motor Company posted a 10.45% fall in sales to 44,359 units last month from 49,534 units in the same month of 2010. Honda Motorcycle & Scooter India’s (HMSI) sales went up by 40.94% to 72,120 units during the month under review from 51,171 units in November, 2010.
Siam said total scooter sales stood at 229,309 units in November, 2011, as against 165,610 units in the same month last year, a 38.46% increase.
Market leader HMSI posted sales of 1,17,850 units, up 72.60% from 68,278 units in the year-ago period, while TVS Motor Co saw a growth of 16.08% in scooter sales to 41,132 units from 35,433 units in November, 2010.
In addition, Hero MotoCorp registered sales of 35,576 scooters, an increase of 30.95% from 27,168 units in the corresponding month last fiscal.
Total two-wheeler sales grew by 25.27% to 11,63,294 units last month from 9,28,660 units in November, 2010, as per the data.
Sales of commercial vehicles grew by 34.99% to 66,264 units during the month under review from 49,087 units in the year-ago period, Siam said. Light commercial vehicle sales rose by 48.01% during the month to 40,178 units from 27,145 units in November last year, it added.
Sales of medium and heavy commercial vehicles stood at 26,086 units in November, compared to 21,942 units in the same month last year, an 18.87% increase. Domestic three-wheeler sales grew by 5.85% to 42,875 units during the month under review from 40,504 units in November, 2010. Total sales of vehicles across categories registered an increase of 22.22% to 1,489,714 units in November from 1,218,885 units in the same month last year, Siam added.
Siam may lower FY12 car sales forecast
Despite better sales, the automobile industry is likely to see a downward revision of the passenger car sales growth forecast for 2011-12 for the third time this fiscal in January due to sluggish demand over the last few months. According to Siam, the passenger car segment may not even see single-digit growth in the current financial year. “During the Auto Expo next month, we are going to revise our sales projections for the fiscal... I feel the passenger car segment will again be downgraded,” Sen said. In October, Siam had significantly lowered its passenger car sales growth forecast for 2011-12 to 2-4%, the second revision after pegging it at 10-12% in July, as against its projection of 16-18% announced at the beginning of the current financial year. In the April-November period this financial year, domestic car sales declined by 3.53% to 12,19,509 units from 12,64,142 units in the year-ago period. “We may not see a decline in car sales for the entire financial year. The numbers may be just at the same level of last financial year,” Sen said. Talking about the passenger vehicle segment, Sen said, “It may see a growth of around 2%.” On total vehicles sales, Siam had revised its projection marginally upward to 11-14% for FY12 from 11-13% announced in July. It had revised its growth projection for the two-wheeler segment upward in October to 13-15% from 12-14%, while the estimate for commercial vehicle sales was increased to 13-15% from the earlier estimate of 12-14% in July.
“Domestic car sales have bounced back as the base in November last year was low. Also, we have seen some revival of demand in last month,” Siam senior director Sugato Sen said.
However, sales in December are likely to be lower than in November, he said. “The entry-level car segment, which is the biggest contributor to sales, has been hit most because of fuel hikes and rising interest rates. However, demand in the upper-end segment is comparatively doing well,” he said.
Car sales in India have been declining on a year-on-year basis since July, mainly due to the severe impact of labour issues on the country’s largest car-manufacturer Maruti Suzuki India’s (MSI) production.
Sales registered their steepest monthly decline in nearly 11 years in October this year, tanking by 23.77% on account of a huge drop in MSI’s output due to labour trouble, coupled with high interest rates and fuel prices. MSI’s domestic sales declined in November as well, dipping by 16.59% to 73,078 units from 87,618 units in the same month last year, Siam said.
However, the strong performance of other manufacturers made up for the slippage in MSI sales in November. Rival Hyundai Motor India posted a 10.72% growth in sales to 34,878 units in November, 2011, from 31,501 units in the same period last year. Tata Motors also reported a jump in sales to 23,540 units from 12,234 units in the same period last year, translating into a 92.41% increase.
As per the figures released by Siam, motorcycle sales in India grew by 22.67% in November to 869,070 units from 708,476 units in the corresponding month last year. Market leader Hero MotoCorp’s domestic sales increased by 27.02% to 485,381 units last month from 382,138 units in the same period last year.
In addition, Bajaj Auto saw a 18.24% rise in sales to 228,407 units from 193,174 units in the same period last year. However, TVS Motor Company posted a 10.45% fall in sales to 44,359 units last month from 49,534 units in the same month of 2010. Honda Motorcycle & Scooter India’s (HMSI) sales went up by 40.94% to 72,120 units during the month under review from 51,171 units in November, 2010.
Siam said total scooter sales stood at 229,309 units in November, 2011, as against 165,610 units in the same month last year, a 38.46% increase.
Market leader HMSI posted sales of 1,17,850 units, up 72.60% from 68,278 units in the year-ago period, while TVS Motor Co saw a growth of 16.08% in scooter sales to 41,132 units from 35,433 units in November, 2010.
In addition, Hero MotoCorp registered sales of 35,576 scooters, an increase of 30.95% from 27,168 units in the corresponding month last fiscal.
Total two-wheeler sales grew by 25.27% to 11,63,294 units last month from 9,28,660 units in November, 2010, as per the data.
Sales of commercial vehicles grew by 34.99% to 66,264 units during the month under review from 49,087 units in the year-ago period, Siam said. Light commercial vehicle sales rose by 48.01% during the month to 40,178 units from 27,145 units in November last year, it added.
Sales of medium and heavy commercial vehicles stood at 26,086 units in November, compared to 21,942 units in the same month last year, an 18.87% increase. Domestic three-wheeler sales grew by 5.85% to 42,875 units during the month under review from 40,504 units in November, 2010. Total sales of vehicles across categories registered an increase of 22.22% to 1,489,714 units in November from 1,218,885 units in the same month last year, Siam added.
Siam may lower FY12 car sales forecast
Despite better sales, the automobile industry is likely to see a downward revision of the passenger car sales growth forecast for 2011-12 for the third time this fiscal in January due to sluggish demand over the last few months. According to Siam, the passenger car segment may not even see single-digit growth in the current financial year. “During the Auto Expo next month, we are going to revise our sales projections for the fiscal... I feel the passenger car segment will again be downgraded,” Sen said. In October, Siam had significantly lowered its passenger car sales growth forecast for 2011-12 to 2-4%, the second revision after pegging it at 10-12% in July, as against its projection of 16-18% announced at the beginning of the current financial year. In the April-November period this financial year, domestic car sales declined by 3.53% to 12,19,509 units from 12,64,142 units in the year-ago period. “We may not see a decline in car sales for the entire financial year. The numbers may be just at the same level of last financial year,” Sen said. Talking about the passenger vehicle segment, Sen said, “It may see a growth of around 2%.” On total vehicles sales, Siam had revised its projection marginally upward to 11-14% for FY12 from 11-13% announced in July. It had revised its growth projection for the two-wheeler segment upward in October to 13-15% from 12-14%, while the estimate for commercial vehicle sales was increased to 13-15% from the earlier estimate of 12-14% in July.
Royal Enfield and the art of leisure biking
“Royal Enfield has come a long way and we are now moving into a space of being much more of a leisure brand,” says Mr Siddhartha Lal, Managing Director and Chief Executive Officer of Eicher Motors, which owns the Chennai-based motorcycle company.
He hastens to add that leisure has nothing to do with luxury since Royal Enfield bikes are largely used on a daily basis to work and back. “It has become a practical leisure bike and that is our position as a result,” he told Business Line in a recent interview.
The foundation for leisure biking was laid at Royal Enfield a little over a decade ago when Mr Lal and his team were trying to figure out what the company was all about. They looked at commuters, different sizes/categories of bikes and finally realised that there was no point competing with the (then) Indo-Japanese bikes but, instead, creating an individual space for Enfield.
“Even though a number of aspects of the brand such as ride quality and fit and finish were not in the leisure realm, the basic DNA of commuting long distances was there all along. We took that DNA and expanded the scope, which meant everything else had to fit in right,” Mr Lal says.
He believes the leisure concept, which is equally true for watches, books or furniture, will take up at least five per cent of the market. “For a large chunk of riders, they should aspire to own a Royal Enfield someday, which means it is up to us to make it an aspiration,” Mr Lal adds.
There have also been some interesting trends in the sales pattern. Earlier, the company was dependent upon semi-urban markets such as Punjab or Kerala, which dominated sales. Today, in the last six-eight years, while volumes continue to be strong in these two States, 60-80 per cent of sales come from the cities, including tier-2 metros.
In addition, the Royal Enfield customer base is a lot more youthful today than what it has been in the recent past when middle-aged men were in the driver's seat.
“Today, we are a brand that anyone should aspire for and be able to get his hands on, which is why I stressed that leisure is not luxury. Anyone who enjoys biking, regardless of his socioeconomic background, and gives it top priority, is the person who should come to us,” Mr Lal says.
According to him, some of the recent riding initiatives such as the Himalayan rally have been huge brand-building efforts. “It gets people to really enjoy the type of motorcycling which is part of our culture. This is the starting point of our branding efforts, which is all about rides,” he says.
Regional rides are next on the radar, which involves a day/weekend trip organised by Royal Enfield dealers and is displayed on the Web site. The idea is to integrate with the community and these end up becoming regular friends' circles.
“We do not have sports personalities or actors to endorse our bikes. I would rather flush my head down a loo than have someone who does not know how to ride a bike pose for my motorcycle. We do not want to build our brand this way,” Mr Lal reiterates.
He hastens to add that leisure has nothing to do with luxury since Royal Enfield bikes are largely used on a daily basis to work and back. “It has become a practical leisure bike and that is our position as a result,” he told Business Line in a recent interview.
The foundation for leisure biking was laid at Royal Enfield a little over a decade ago when Mr Lal and his team were trying to figure out what the company was all about. They looked at commuters, different sizes/categories of bikes and finally realised that there was no point competing with the (then) Indo-Japanese bikes but, instead, creating an individual space for Enfield.
“Even though a number of aspects of the brand such as ride quality and fit and finish were not in the leisure realm, the basic DNA of commuting long distances was there all along. We took that DNA and expanded the scope, which meant everything else had to fit in right,” Mr Lal says.
He believes the leisure concept, which is equally true for watches, books or furniture, will take up at least five per cent of the market. “For a large chunk of riders, they should aspire to own a Royal Enfield someday, which means it is up to us to make it an aspiration,” Mr Lal adds.
There have also been some interesting trends in the sales pattern. Earlier, the company was dependent upon semi-urban markets such as Punjab or Kerala, which dominated sales. Today, in the last six-eight years, while volumes continue to be strong in these two States, 60-80 per cent of sales come from the cities, including tier-2 metros.
In addition, the Royal Enfield customer base is a lot more youthful today than what it has been in the recent past when middle-aged men were in the driver's seat.
“Today, we are a brand that anyone should aspire for and be able to get his hands on, which is why I stressed that leisure is not luxury. Anyone who enjoys biking, regardless of his socioeconomic background, and gives it top priority, is the person who should come to us,” Mr Lal says.
According to him, some of the recent riding initiatives such as the Himalayan rally have been huge brand-building efforts. “It gets people to really enjoy the type of motorcycling which is part of our culture. This is the starting point of our branding efforts, which is all about rides,” he says.
Regional rides are next on the radar, which involves a day/weekend trip organised by Royal Enfield dealers and is displayed on the Web site. The idea is to integrate with the community and these end up becoming regular friends' circles.
“We do not have sports personalities or actors to endorse our bikes. I would rather flush my head down a loo than have someone who does not know how to ride a bike pose for my motorcycle. We do not want to build our brand this way,” Mr Lal reiterates.
Auto sector to lose tax sops in FY13
With state governments offering tax sops on investments, automobile firms have enjoyed relatively low tax rates over the last few years. On an average, tax rates for auto companies, which have set up facilities in tax-free zones, have declined from 28 per cent to 20 per cent.
In 2007, the government offered 100 per cent income tax exemption for five years and 200 per cent weighted average deduction on research and development (R&D) for investments in Uttarakhand. Other sops included a 10-year excise duty exemption and an income tax exemption of 30 per cent after the first five years.
However, this tax-free jamboree will soon end. According to Credit Suisse, with the benefits in Uttarakhand expiring, while the tax rates for Bajaj Auto and Tata Motors could rise from FY13, those for Hero MotoCorp and Ashok Leyland will be affected from FY14. The biggest beneficiary of the state’s liberal tax structure has been Hero MotoCorp, as 33 per cent of its total production comes from these tax-free zones. For Tata Motors and Bajaj, the tax-free zones account for 20 per cent of their total production. No wonder, Hero’s tax rate has nearly halved to 17 per cent from 31 per cent in the last five years. While Bajaj Auto’s income tax exemption expires in FY12, that for Hero and Ashok Leyland ends in FY13. Hence, from 26 per cent in FY12, Bajaj Auto’s tax rates will rise to 29 per cent in FY13.
Technically, Hero, too, should have been hit with the tax holiday ending, but, given that its research and development costs are expected to increase substantially, the company will benefit from the 200 per cent deduction on the same. According to Ambit Capital, Hero’s FY12 net earnings growth would be ahead of the Ebitda (earnings before interest, taxes, depreciation, and amortisation) growth, thanks to a step up in R&D expenses and lower tax rates, as production has increased at its Haridwar plant, which enjoys tax benefits. However, revenue and earnings growth is expected to moderate in FY13. Analysts say Tata Motors would also see tax rates rise from 17 per cent to 22 per cent, as the company manufactures its popular Ace model in Uttarakhand.
In 2007, the government offered 100 per cent income tax exemption for five years and 200 per cent weighted average deduction on research and development (R&D) for investments in Uttarakhand. Other sops included a 10-year excise duty exemption and an income tax exemption of 30 per cent after the first five years.
However, this tax-free jamboree will soon end. According to Credit Suisse, with the benefits in Uttarakhand expiring, while the tax rates for Bajaj Auto and Tata Motors could rise from FY13, those for Hero MotoCorp and Ashok Leyland will be affected from FY14. The biggest beneficiary of the state’s liberal tax structure has been Hero MotoCorp, as 33 per cent of its total production comes from these tax-free zones. For Tata Motors and Bajaj, the tax-free zones account for 20 per cent of their total production. No wonder, Hero’s tax rate has nearly halved to 17 per cent from 31 per cent in the last five years. While Bajaj Auto’s income tax exemption expires in FY12, that for Hero and Ashok Leyland ends in FY13. Hence, from 26 per cent in FY12, Bajaj Auto’s tax rates will rise to 29 per cent in FY13.
Technically, Hero, too, should have been hit with the tax holiday ending, but, given that its research and development costs are expected to increase substantially, the company will benefit from the 200 per cent deduction on the same. According to Ambit Capital, Hero’s FY12 net earnings growth would be ahead of the Ebitda (earnings before interest, taxes, depreciation, and amortisation) growth, thanks to a step up in R&D expenses and lower tax rates, as production has increased at its Haridwar plant, which enjoys tax benefits. However, revenue and earnings growth is expected to moderate in FY13. Analysts say Tata Motors would also see tax rates rise from 17 per cent to 22 per cent, as the company manufactures its popular Ace model in Uttarakhand.
Setting up platform for electric vehicles may cost Govt dear
Study says at least Rs 22,500 cr may be needed to develop infrastructure, create demand
New Delhi, Dec. 5:
Developing the infrastructure and market for hybrid and electric vehicles (xEVs) will not be cheap. The price for the Government's ambitious plan is estimated to be as high as around Rs 22,500 crore.
These are the findings of a study by consultant Booz & Co on the potential of the xEV market, which was commissioned by the Society of Indian Automobile Manufacturers and the Ministry of Heavy Industry.
It says that India has the potential to reach sales of over 6-7 million such vehicles by 2020, of which 4.8 million would be two wheelers.
EV mission
This report has provided the basis for the Government's electric vehicle mission, under which it plans a Rs 740-crore Research & Development (R&D) fund in the 12th Five Year Plan and an inter-ministerial panel to monitor the implementation of the project.
“It is impossible to reach this potential without a clear roadmap. To induce acceptance of xEVs among consumers and producers as well as localise production, investments in infrastructure and incentives are required,” states the report.
In India, only Mahindra Reva currently makes electric cars. However, electric scooters are more popular, with around five players in the market led by Hero Electric.
The other carmakers which have xEV technology like Maruti, Hyundai and Tata Motors, have been waiting for a clear policy before taking the plunge.
“An estimated Rs 12,500 – 13,500 crore on the demand and supply side, and Rs 8,000-9,000 crore on R&D and infrastructure across all vehicle segments, clubbed with mandates for xEVs in various Central and State Government fleets could help India reach the estimated potential,” the report states.
This is apart from the up to Rs 45,000 crore in investment needed from the automakers over the next nine years on setting up manufacturing capacities.
“Most of the expenses will be borne by industry. The Government will help by creating the supporting infrastructure like power generation, charging centres, in developing technologies and other tax incentives. Manufacturing investments will have to be done by the specific companies,” said a senior Central Government official.
Returns
The report also claims that the returns on such large investments will also be lucrative.
Earnings across the whole segment are expected to be up to Rs 43,000 crore, with electric two wheelers contributing Rs 28,000 crore and four wheelers up to Rs 7,100 crore.
Such vehicles may also help in reducing the overall dependence on traditional fuels and lowering ambient pollution.
Fuel savings could amount to Rs 14,000 crore in 2020, while carbon dioxide emissions could go down by 1.5 per cent overall.
New Delhi, Dec. 5:
Developing the infrastructure and market for hybrid and electric vehicles (xEVs) will not be cheap. The price for the Government's ambitious plan is estimated to be as high as around Rs 22,500 crore.
These are the findings of a study by consultant Booz & Co on the potential of the xEV market, which was commissioned by the Society of Indian Automobile Manufacturers and the Ministry of Heavy Industry.
It says that India has the potential to reach sales of over 6-7 million such vehicles by 2020, of which 4.8 million would be two wheelers.
EV mission
This report has provided the basis for the Government's electric vehicle mission, under which it plans a Rs 740-crore Research & Development (R&D) fund in the 12th Five Year Plan and an inter-ministerial panel to monitor the implementation of the project.
“It is impossible to reach this potential without a clear roadmap. To induce acceptance of xEVs among consumers and producers as well as localise production, investments in infrastructure and incentives are required,” states the report.
In India, only Mahindra Reva currently makes electric cars. However, electric scooters are more popular, with around five players in the market led by Hero Electric.
The other carmakers which have xEV technology like Maruti, Hyundai and Tata Motors, have been waiting for a clear policy before taking the plunge.
“An estimated Rs 12,500 – 13,500 crore on the demand and supply side, and Rs 8,000-9,000 crore on R&D and infrastructure across all vehicle segments, clubbed with mandates for xEVs in various Central and State Government fleets could help India reach the estimated potential,” the report states.
This is apart from the up to Rs 45,000 crore in investment needed from the automakers over the next nine years on setting up manufacturing capacities.
“Most of the expenses will be borne by industry. The Government will help by creating the supporting infrastructure like power generation, charging centres, in developing technologies and other tax incentives. Manufacturing investments will have to be done by the specific companies,” said a senior Central Government official.
Returns
The report also claims that the returns on such large investments will also be lucrative.
Earnings across the whole segment are expected to be up to Rs 43,000 crore, with electric two wheelers contributing Rs 28,000 crore and four wheelers up to Rs 7,100 crore.
Such vehicles may also help in reducing the overall dependence on traditional fuels and lowering ambient pollution.
Fuel savings could amount to Rs 14,000 crore in 2020, while carbon dioxide emissions could go down by 1.5 per cent overall.
Garware Motors plans more models, electric bikes
Garware Motors Ltd., on Monday outlined plans to launch more bikes from the versatile Hyosung stable in India, which could include the roll out of the latter’s electric bike range.
The company, which has introduced three super bikes during the year in partnership with Korean company S&T Motors, manufacturer of Hyosung brand of bikes known globally for its superbike range, is at advanced stage of homologating its twin-engine-powered 250 cc bike to be launched next year, said Mr. S.P.Raykar, Director, Garware Motors Limited.
Describing their collection of super bikes as ‘luxury on wheels’ Mr. Raykar said the company would be first to introduce a twin-engine 250 cc engine powered bike to be priced at Rs.2.25 lakh. The homologation work is now underway. This twin engine bike is expected to generate excitement among young discerning bikers.
Referring to long history that Garware has, in terms of import of cars during 1930’s and 1940’s, he said that the Rs. 5,000-crore turnover group has a passion for cars and bikes. This venture is an outcome of that passion.
“We are planning to take this association forward and are evaluating the option of launch of electric bikes from Hyosung stable,” he added.
The GT650N has an introductory price of Rs. 3,87,000, GT650 Rs.4,83,000 , GT 650R Rs. 4,83,000 and ST7 at Rs. 5,80,000 (all ex-showroom prices) in Hyderabad.
The company, which has introduced three super bikes during the year in partnership with Korean company S&T Motors, manufacturer of Hyosung brand of bikes known globally for its superbike range, is at advanced stage of homologating its twin-engine-powered 250 cc bike to be launched next year, said Mr. S.P.Raykar, Director, Garware Motors Limited.
Describing their collection of super bikes as ‘luxury on wheels’ Mr. Raykar said the company would be first to introduce a twin-engine 250 cc engine powered bike to be priced at Rs.2.25 lakh. The homologation work is now underway. This twin engine bike is expected to generate excitement among young discerning bikers.
Referring to long history that Garware has, in terms of import of cars during 1930’s and 1940’s, he said that the Rs. 5,000-crore turnover group has a passion for cars and bikes. This venture is an outcome of that passion.
“We are planning to take this association forward and are evaluating the option of launch of electric bikes from Hyosung stable,” he added.
The GT650N has an introductory price of Rs. 3,87,000, GT650 Rs.4,83,000 , GT 650R Rs. 4,83,000 and ST7 at Rs. 5,80,000 (all ex-showroom prices) in Hyderabad.
Two-wheeler majors aim for decent FY12 sales
Undeterred by the slump in the automobile market, two-wheeler manufacturers India Yamaha and Bajaj Auto aim to post decent sales this financial year, buoyed by their strong performance in November.
While Japanese two-wheeler manufacturer India Yamaha aims to sell 480,000 units this year, rival Bajaj Auto plans to post sales of four million units this fiscal.
India Yamaha Motor Director-Sales and Marketing Jun Nakata said the company plans to sell over 480,000 lakh units this year and aims to garner a 10% market share in the next few years.
"We are looking to sell 480,000 lakh motorcycles this fiscal and are looking to achieve an overall 10% market share over the next few years," India Yamaha Motor Director (Sales and Marketing) Jun Nakata told PTI.
In November, India Yamaha reported a 29.20% increase in total sales to 39,162 units. The company had sold 30,310 units in the same month last year.
Sales in the domestic market grew by 24.08% during the month, with the company selling 28,178 units, as against 22,710 units in the corresponding period last year.
There was good news on the export front too for India Yamaha, with a whopping 44.53% jump in sales to 10,984 units during the month from 7,600 units a year ago.
Asked about the sluggish automobile market conditions, Nakata said the company has not been greatly affected. "We have none or very less impact so far. We expect growth be around 15% in the industry," he said.
Auto analysts said increasing fuel prices and high interest rates prompt many buyers to go for two-wheelers instead cars. However, there could be an impact on sales of high-performance bikes in the above 150-cc category, they said.
Nakata, however, struck a positive note, asserting that sales for India Yamaha, including premium segment products, would remain at the same level.
Bajaj Auto General Manager, Marketing and Sales, Chandrashekar told PTI that the company expects to sell over four million units this fiscal.
"The impact in the passenger car business is because of various reasons, including interest rates and fuel prices.If a car owner feels the pinch, then two-wheelers always come as an option," he said.
He reiterated that the two-wheeler industry was growing at 13-15% year-on-year.
In November, Bajaj Auto registered a 25% jump in motorcycle sales to 3,31,967 units. The company had sold 2,65,036 units in the corresponding month last year.
Total sales in November stood at 3,74,477 units, up by 25% from 2,99,231 units in the same period a year ago.
While Japanese two-wheeler manufacturer India Yamaha aims to sell 480,000 units this year, rival Bajaj Auto plans to post sales of four million units this fiscal.
India Yamaha Motor Director-Sales and Marketing Jun Nakata said the company plans to sell over 480,000 lakh units this year and aims to garner a 10% market share in the next few years.
"We are looking to sell 480,000 lakh motorcycles this fiscal and are looking to achieve an overall 10% market share over the next few years," India Yamaha Motor Director (Sales and Marketing) Jun Nakata told PTI.
In November, India Yamaha reported a 29.20% increase in total sales to 39,162 units. The company had sold 30,310 units in the same month last year.
Sales in the domestic market grew by 24.08% during the month, with the company selling 28,178 units, as against 22,710 units in the corresponding period last year.
There was good news on the export front too for India Yamaha, with a whopping 44.53% jump in sales to 10,984 units during the month from 7,600 units a year ago.
Asked about the sluggish automobile market conditions, Nakata said the company has not been greatly affected. "We have none or very less impact so far. We expect growth be around 15% in the industry," he said.
Auto analysts said increasing fuel prices and high interest rates prompt many buyers to go for two-wheelers instead cars. However, there could be an impact on sales of high-performance bikes in the above 150-cc category, they said.
Nakata, however, struck a positive note, asserting that sales for India Yamaha, including premium segment products, would remain at the same level.
Bajaj Auto General Manager, Marketing and Sales, Chandrashekar told PTI that the company expects to sell over four million units this fiscal.
"The impact in the passenger car business is because of various reasons, including interest rates and fuel prices.If a car owner feels the pinch, then two-wheelers always come as an option," he said.
He reiterated that the two-wheeler industry was growing at 13-15% year-on-year.
In November, Bajaj Auto registered a 25% jump in motorcycle sales to 3,31,967 units. The company had sold 2,65,036 units in the corresponding month last year.
Total sales in November stood at 3,74,477 units, up by 25% from 2,99,231 units in the same period a year ago.