TVS Motor to invest Rs 200 cr in Indonesia plant
New Delhi, Apr 18: TVS Motor Company today said it will invest Rs 200 crore in its Indonesia facility and expects a sales growth of 12-15 per cent in the financial year 2006-07.
''The Indonesia plant would begin production by the end of this year,'' TVS Motor Chairman Venu Srinivasan told reporters on the sidelines of a CII conference.
He said that the plant, which will manufacture 'step-through' motorcycles, would have a capacity of 2,50,000 units per year.
Mr Srinivasan said the company expects a growth of 12-15 per cent in total sales in the financial year 2006-07.
''We expect to grow by 12 to 15 per cent in two-wheelers in FY07,'' he said.
He said that the company expected to sell close to a million motorcycles during the current financial year.
Talking about exports, Mr Srinivasan said, ''We are seeing a 30 per cent growth in exports for this fiscal.'' TVS Motors, India's third-biggest motorcycle maker, also expects to double its sourcing of auto components from China in the current fiscal year from Rs 100 crore last year, he said.
Mr Srinivasan said the company is ramping up the capacity of the newly launched 150cc Apache from 250 units a day to 400 units.
''Apache production will rise to 8,500 units a month in May and to 15,000 units a month in September,'' he said.