Hero MotoCorp, the largest two wheeler maker in the Indian market, is planning to invest heavily in its operations in the Indian market. The company will be injecting Rs 2,575crore to set-up a new manufacturing plant in the state of Rajasthan and Gujarat. A part of this investment will also be utilized in the establishment of a new R&Dcentreby 2013-14. The plan is to increase the total manufacturing capacity to over six-million units by year 2013-14.
The first manufacturing unit will be set-up in Neemrana with an investment of Rs 400 crore with an initial capacity of 7.5 lakh units per annum. On the other hand, the Gujarat plant will be set-up with an investment of 1,100 crore and an initial capacity of 1.2 million units.
Speaking to the reporters on Monday, Mr. Pawan Munjal, MD and CEO of the company, said, "Once the fourth and fifth plants gets on stream, our total manufacturing capacity in India will reach beyond nine-million units from the current seven million coming from three plants in India. We are gradually moving towards South and would aim to spread our manufacturing operations across the country."
