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We are currently focusing mostly on tier I & II cities

We are currently focusing mostly on tier I & II cities

Mr Hiroyuki Suzuki, CEO MD, India Yamaha Motor

Aug 26, 2014 12:47 PM

Yamaha is one of the oldest and popular automobile brands present in the country. Japanese technology, modern styling and high brand appeal makes it a popular choice of India's youth. Mr Hiroyuki Suzuki, CEO and Managing Director, India Yamaha Motor shares his views on the India operations in an exclusive interaction with IBEF. Edited excerpts:

What is the capacity addition plan for Yamaha India for 2014 and the industry outlook?

We have announced increase in the production capacity. The total capacity is expected to soon touch 2.8 million units including our existing production lines. The industry grew at a slow pace of 4-5 per cent in the last year and this year the number is expected to touch 15 per cent. The industry is expected to touch a total base of 25 million units by 2020. Yamaha India plans to capture a 20 per cent share from this growth by 2020.

Can you throw some light on the growth for Yamaha India and network expansion?

We registered a growth of around 32 per cent in the previous year and we should be able to continue with that. We are currently focusing mostly on tier I & II cities. Almost 70 per cent sales are coming from the Tier I & Tier II cities and the balance is coming from our network in rural India. We have a current touchpoints of 1,300 including our network in rural India. BY the end of this year, we should be able to reach a total of 1,600 touchpoints.

How do you see the various segments contributing to the overall business?

Our first priority is the premium and deluxe category and the second category is scooters. We have to enter the commuter segment going forward. Contribution of the overall scooter industry is expected to increase by 25-20 per cent over the next two years and if that happens, our numbers will also improve in a similar fashion and it is expected that more volumes will come from the scooters segment for Yamaha India is the times to come.



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