The country’s largest bicycle manufacturer Hero Cycles is set to complete its expansion project at Ludhiana facility by November while also taking up aluminium frame unit near Delhi.

Pravin V. Patil, President, Strategic Initiatives, Urban Trail, Hero Cycles, said, “The company produces 18,500 bicycles a day and sold about 5.6 million cycles last financial year. With the new facility we will be able to add about 20 per cent more to our capacity. This is important as we are faced with capacity constraint.”

Speaking to Business Line, Patil, himself a keen cyclist, said that the company is also setting up an aluminium frame manufacturing facility at Hero plant near Delhi.

Every bicycle that gets produced for the day is sold out in the market.

The company is constrained by ability to supply more bicycles.

Of the country’s 15.5 million plus bicycles sold, Hero accounts for nearly 5.8 million bicycles an year.

“While we will retain this share, we are looking at making it big in luxury bicycles segment with the Titanium and lighter Carbon frame bikes priced at Rs 1 lakh and above for Titanium and Rs 3.7 lakh for carbon frame Urban Trail range,” he said.

The luxury bicycle market is estimated to be about Rs 150 crore now and projected to reach Rs 500 crore by 2014.

“Therefore, we are setting up exclusive outlets for these bikes,” he said.

rishikumar.vundi@

thehindu.co.in


Of the country’s 15.5 million plus bicycles sold, Hero accounts for nearly 5.8 million bicycles an year.


(This article was published in the Business Line print edition dated July 30, 2012)
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