 "Enfield's new unit to start production in FY18")
Royal Enfield has said first phase of its new plant in Chennai will go on stream in the second quarter of FY18. It will add 25,000-30,000 units a month to the existing capacity. With this, the company's total production capacity, across all its three plants, will touch 900,000 units.
By the end of the current year, the total capacity would be around 675,000 units, compared with 200,000 units last year.
A large portion of the Rs 600-crore (capex for 2016-17) will be for the new plant, said Siddhartha Lal, managing director and CEO of Eicher Motors, while the rest would be for product development and setting up tech centres. The new plant is coming up at Vallam Vadagal, around seven km from the company's Oragadam facility here.
Lal added that the UK tech centre would be ready by the end of the current financial year and the Chennai centre by the end of 2017-18. He said the company’s focus would be 250-750cc bikes.
Besides India, the company will focus on the markets in southeast Asia and Latin America.
Royal Enfield is testing a few markets now. In future, it expects larger growth to come from emerging markets.
By the end of the current year, the total capacity would be around 675,000 units, compared with 200,000 units last year.
A large portion of the Rs 600-crore (capex for 2016-17) will be for the new plant, said Siddhartha Lal, managing director and CEO of Eicher Motors, while the rest would be for product development and setting up tech centres. The new plant is coming up at Vallam Vadagal, around seven km from the company's Oragadam facility here.
Lal added that the UK tech centre would be ready by the end of the current financial year and the Chennai centre by the end of 2017-18. He said the company’s focus would be 250-750cc bikes.
Besides India, the company will focus on the markets in southeast Asia and Latin America.
Royal Enfield is testing a few markets now. In future, it expects larger growth to come from emerging markets.