Yamaha to ramp up production capacity by four lakh units

NEW DELHI: Two-wheeler maker India Yamaha Motor today said it will expand its production capacity by 4 lakh units next year with an investment of about Rs 50 crore. "We are targeting to increase our production and sales as we are witnessing very good demand for our products. We target to increase the capacity to 10 lakh units per annum from 6 lakh units at present," India Yamaha Motor National Business Head Roy Kurian told PTI. The company will enhance the capacity of its Surajpur plant in Uttar Pradesh, he added. Asked about the investment for this, Kurian said: "It will take about USD 10 million. We will only set up a separate line at the plant." India Yamaha Motor has another plant in Faridabad, where it manufacturers engines. "We are targeting to sell 10 lakh vehicles in the domestic market by 2014. This year we are expecting to sell 3.3 lakh units in the domestic market," Kurian said. He said the company is aiming to sell 4.5 lakh units in 2012 and 7 lakh units in 2013. "On the export front, we are hoping to sell 1.7 lakh units in this year. It will grow in the next few years," Kurian said, adding the company is expecting to sell a total of 10 lakh two-wheelers in 2013. Last year the company had sold a total of 3.8 lakh units, which included exports. When asked about dealer network, he said the company currently has a total sales point of about 1,200 outlets. "We are increasing our reach gradually. Next year, we will be adding 400-500 sales points," he said. The company is aiming to have 2,000-2,500 sales points across the country by 2014, he added. India Yamaha Motor had reported 26.82 per cent increase in its total sales in October 2011 at 47,240 units. During the month, the company's domestic sales stood at 38,229 units, up 20.25 per cent. Exports rose by 65.04 per cent to 9,011 units in last month.