Hero plans to set up its 6th plant in India
Snapshot: This new plant will help Hero cater to the South Indian market and take its overall annual capacity to 12 million units
India's biggest two-wheeler maker is scouting for a place somewhere in South India for its 6th manufacturing facility in India. According to the sources, the plant will have a capacity of producing around 1.5-2 million units annually which will take Hero's total annual capacity to 12 million units. The company had initially expressed a desire to achieve a target of 10 million units by 2017.
"We are looking to set up a plant in South India. It will be utilised to service the market there. We are scouting for land at the moment," Hero MotoCorp Managing Director and CEO, Pawan Munjal told PTI.
Currently, Hero has three manufacturing facilities in Gurgaon, Dharuhera and Haridwar with a total capacity of 6.9 million units annually. The fourth facility which is going to be at Neemrana will be made with an investment of Rs 400 crore and will take the capacity to over 7.65 million units. Hero is also in the process of building its fifth facility at Halol, Gujarat with an investment of Rs 1,100 crore. The Gujarat plant should start serving Hero by 2015-16 and will have an annual capacity of 1.8 million units.
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