Honda Opens its Third Production Plant in Karnataka

India's second largest two-wheeler manufacturer, Honda Motorcycle & Scooter India Pvt. Ltd. (HMSI), opened its third production house at Narsapura Area, District Kolar, Karnataka. This is the most advanced manufacturing plant of the company in India. The ceremony was inaugurated by Hon,ble Union Minister of State for Medium & Small Scale Industry, Govt of India - Mr. Muniyappa. And the presence of Mr. Yoshiyuki Matsumoto, Managing Officer, Honda Motor Co. and Representative of Development, Purchasing & Manufacturing, Asia Oceania Region, Mr. Keita Muramatsu, President & CEO at HMSI, and Mr. Yadvinder Singh Guleria, Vice President, Sales & Marketing at HMSI.



HMSI has invested Rs. 1350 crores to work out on the new 96 acre plant. The all new plant employs nearly 4500 workers. The operations of the third plant is proposed to begin by June. It has a production capacity of 12 lakh units per year at the initial stage. It will be increased to 18 lakh units by the end of 2013-14 fiscal year. With all three plants, Honda will produce 64% units more than the previous in this fiscal year.



Honda had earlier challenged the leading two-wheeler manufacturer, Hero Motocorp, that the company will replace Hero by 2015-16 to become the no. 1 two-wheeler company in the world. Well, it seems like Honda is doing things one by one.

"In the current fiscal year 2014, Honda,s global 2 wheeler sales growth is expected to increase more than the previous years and headed to new heights by its operations in India. There is no doubt that India is one of the most important markets for Honda,s overall business. Today we establish a new milestone with the inauguration of our 3rd manufacturing facility in India in the state of Karnataka. Out of the total 4500 new positions at this facility, nearly 90% are being offered to the local youth," said Mr. Yoshiyuki Matsumoto, Managing Officer, Honda Motor Co. and Representative of Development, Purchasing & Manufacturing, Asia Oceania Region.

"We are thankful to the Government of Karnataka for providing Honda an opportunity to invest and expand the Brand in the State. With the inauguration of our 3rd plant which is 2,200 km from the two existing plants in North region, Honda aims to deliver high quality and advanced 2Wheeler products of low CO2 emissions to the customers faster in the South region. The expanded production capacity will be further supported by aggressive growth in network to 2500 outlets and rapid new product introduction as we aim for market leadership," commented Mr. Keita Muramatsu, President & CEO, HMSI.

"We shall start the mass production of Dream Yuga in this plant from June, which is targeted to cater 100-110 cc motorcycle segment contributing almost half of the total 1.4 crore 2wheelers sold in India. Moreover, our million selling Activa scooter will be produced on the 2nd line. We are also proud to share that Honda occupies No. 1 position in Bengaluru which has the highest market demand for 2Wheelers among all cities in India," added Mr. Yadvinder Singh Guleria, Vice president, Sales & Marketing, HMSI.