Continuing its strong-run with three-wheelers, Rajkot based Atul Auto Ltd has posted a 32 per cent growth in sales during October this year to 3,332 units over 2,520 units in October 2011.
The firm's sales during the April to October period stood at 17,751 units, up 19 per cent over 14,897 units in the same period last fiscal.
The Rajkot based three-wheeler major has also drawn up plans to set up an assembly unit in Sri Lanka with an investment of around Rs 100 crore. The company has already informed the Bombay Stock Exchange (BSE) earlier this week that it plans to incorporate a company in the neighbouring country for the purpose. Atul will make three-wheelers, powered by diesel engines, for intra-city passengers and cargo applications in Sri Lanka.
"The company will also, at an appropriate time, introduce three wheelers powered by spark ignition engines running on gasoline, CNG and LPG", it had said in a release to the stock exchange.
Atul has made an application to the Board of Investment of Sri Lanka seeking approval for the investment to be made in the neighbouring country. The assembly plant in Sri Lanka is planned to combat the recent import duty hike imposed by the Sri Lankan government. Sri Lanka has recently hiked the import duty on three-wheelers from 51-61 per cent to 100 per cent, thus impacting the exports of major players like Bajaj Auto.
Besides Sri Lanka, Atul is also focussing on Bangladesh and Kenya for exports this year. Atul Auto had earlier tied up with Bangladesh Machine Tools Factory for assembling a six-seater passenger vehicle Atul Gem in May last year.
Meanwhile, the company is eying a 20 per cent growth in the domestic industry, and expects to up its market share to six per cent from a current five per cent. It is planning to increase the number of dealerships to 150 from a current 120 by March 2013.