Royal Enfield to set up its 2nd plant in Chennai

Royal Enfield, which has undertaken to expand its current production capacity owing to the growing demand for its motorcycles worldwide, has announced that will be establishing a greenfield facility at the SIPCOT Industrial Growth Centre, Oragadam. The proposed Royal Enfield plant, spread over 50 acres, is slated for completion by the first quarter of 2013. Once completed, the new plant will increase Royal Enfield’s current capacity of 70,000 units per annum to 150,000 units per annum. The new plant will be equipped to produce the entire product range of Royal Enfield motorcycles. According to the official statement by Royal Enfield, “For us, expanding in Chennai comes with several advantages. Proximity to our existing plant in Tiruvotriyur will bring synergies for the supply chain as well as our existing human capital. Further, Chennai’s growing importance in the global automotive industry combined with the effective auto- eco system at Oragadam will augment our growth curve.” Royal Enfield is one of the oldest motorcycle companies in the world and is a division of Eicher Motors Limited. It has been a pioneer of powerful four stroke motorcycles in India since 1955. It has marketing offices across India with over 180 dealerships. Currently, Royal Enfield exports its bikes to 29 countries in both developed as well as developing economies around the world. The company offers a variety of models catering to the needs of the traditional segments, the enthusiasts, the leisure bikers and the urban youth.