Verlicchi-Hema Automotive Co to set up manufacturing facility in Hosur
Two-wheeler components manufacturer, Verlicchi, has finalised plans to enter the Indian market. The Italian company is coming to India in a 50:50 joint venture with the Gurgaon-based Hema Group and Verlicchi-Hema Automotive Company will set up its manufacturing facility at Hosur, near Bangalore, at an estimated investment of around Rs 17 crore.
According to Alessandro Verlicchi, MD – Verlicchi Group, India produces only seven million two-wheelers per year (as compared to China, which makes 25 million per year!), so it still has a lot of scope for expansion and growth.
The Verlicchi Group specialises in manufacturing two-wheeler chassis and the new JV company will start production in November this year, with a capacity of 300,000 chassis per annum. Apart from chassis, the company will also make exhaust systems, suspension components, fuel tanks and various other parts for two-wheelers.
Apart from selling its products in India, Verlicchi-Hema Automotive will also exports motorcycle chassis to American and European markets, by 2011. Verlicchi’s global customers include companies like BMW, Harley Davidson, Ducati and Honda.
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