Harley Davidson eyes India

Harley-Davidson Motor Company, the US-based maker of iconic sportster and cruise motorcycles, has set its eyes on the Indian market. Harley-Davidson will look at tapping the Indian market by using the import route.

In the first week of this month, the company's executives were here, making the rounds of the commerce ministry.

Their agenda was to find out the government's intent regarding the emission norms on high-end motorcycles and to seek a reduction in Customs duty on the bikes, says government officials.

The company's vice-president (government affairs), Timothy K Hoelter, along with the company's Washington DC-based legal advisor, Susan G Esserman, held discussions with commerce ministry officials.

Harley-Davidson's concerns over emission norms are understandable. Although its motorcycles meet the norms in the US and Europe, the current regulation in India does not prescribe any standards for high-end motorcycles.

Harley-Davidson, known for delivering "quality nostalgia", is adored for its "time warped" designs.

Founded in 1903, the company reported global revenue of $5.34 billion in 2005 with a net income of $960 million.

Motorcycles contribute around 80 per cent to its revenue, and parts and accessories 15 per cent, while the sales of apparel and collectibles account for the rest.

High-end motorcycles have failed to go much distance with the Indian consumer.