The Hindu Business Line : Yamaha mulls new plant in South India

Two-wheeler maker Yamaha Motor India on Wednesday said it would focus on niche products for future growth, even as it mulls setting up a new plant in South India by 2010.

"Since February this year, we have been going on a path which involves a complete change in business and marketing strategies from what we have been doing earlier," Yamaha Motors India CEO and Managing Director Mr T. Ishikawa said on the sidelines of a press conference announcing the launch of the company's new 125 cc bike, Gladiator.

He added that henceforth the company, which had a turnover of Rs 750 crore last year, would follow a focussed approach towards brand building and enhancing equity, and new products would follow a youth-centric approach.

Mr Ishikawa said the company, which has a 5 per cent market share in India, wants to increase it to 15 per cent by 2010. "Our target is to sell about one million bikes by 2010 for which we would need a new production unit," he said adding that the company would prefer to have its plant somewhere in South India.

Meanwhile, in line with its new strategy Yamaha on Wednesday launched the 125 cc `Gladiator' in two versions, priced Rs 41,990 and Rs 44,990 (ex-showroom Delhi) respectively.

Mr Ishikawa said the company expected to sell about 4 lakh units this year.

"For the domestic market we are targeting 3 lakh units and from exports we see a shipment of about one lakh units," he added.

Last year the company sold about 2.5 lakh units, of which 2 lakh were in the domestic market and the rest were exported, he said.

Earlier this year, the company announced it would invest Rs 300 crore in the next two years on product development and expansion. It also said it would increase the number of dealerships to 450 this year across the country. Asked if the company would enter the scooter market in India, Mr Ishikawa no decision had been taken yet.

More Stories on : Outlook | New Products & Services | Two/Three Wheelers

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
MRPL to export petro products to Mauritius

Quibbling over QIBs

Reliance Natural okays FCCB issue

Award for SEC Industries

Mirc Electronics promoters may part ways

BPCL board okays Kochi Refineries expansion

ONGC to award CBM project to MEC consortium

Gangotri Textiles to raise Rs 55 cr through public issue

Tata Steel Orissa unit ready to kick off

DS Group to set up 3 plants in North East

OVL bids for oil block in Angola

Alps Industries Q4 net up 51 pc

Proposal drawn to revive IDPL

Yamaha mulls new plant in South India

Tata Power to bid for 300 MW project in S. Africa

MMTC Transnational eyes 50 pc growth

Advanced Medical Optics set to expand network