American premium cruiser motorcycle manufacturer, Harley Davidson plans to open a manufacturing plant in India. Recognizing the stable growth of Indian two wheeler market, Harley officials proposed the report. The company already has a Complete Knocked Down (CKD) factory at Bawal in Haryana, 100 km away from Delhi. The CKD plant commenced functioning in the first half of 2011 and helped customers a lot by reducing the duty levy imposed on an imported motorcycle. India is only the second company after Brazil where HD motorcycles assembling kits are supplied from US as CKD parts.
"We currently do not have plans to set up another plant in India. As part of its global growth strategy, Harley-Davidson is highly focused on the ramp-up of CKD operations in India as it allows us to improve our market responsiveness and production flexibility while reducing the tariff burden," said Mr. Sanjay Tripathi, Marketing Director of Harley Davidson. Mr. Tripathi denied revealing further details on upcoming HD plant in India.
The company could achieve a sale figure of 716 units in the last fiscal year and targets to sell 100 bikes per month this year. The company also features more dealerships in the country in its task. For that the HD group had already reported about three new dealerships coming soon in Kolkata, Kochi and Jaipur. However, HD will have to face a strong competition for its entry level cruisers, as big brands ramp up comparatively cheaper bikes such as Kawasaki Ninja 250, Hyosung GT250R and GV250, and Honda CBR250 R. The Harley motorcycles' price ranges start from Rs.5.6 lakh(ex-showroom) and Rs.35.45 lakh(ex-showroom) for the superlow model and the Ultra Classic Electra Glide marquee brand.
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