The plant, spread over 250 acres at Kukas in Jaipur, would be the largest two-wheeler R&D centre in the country, Hero MotoCorp said in a statement.
The third model from the HeroMotoCorp stable is priced at Rs 56,996 (ex-showroom Chennai) for the base model and Rs 59,031 (ex-showroom Chennai) for the top variant, he said.
Srinivasulu said the company sells about 40,000 units in Tamil Nadu and hoped the new motorcycle would boost sales in the 125 cc category.
At present, Hero MotoCorp offers Super Splendour and Glamour models in the 125 cc segment.
Equipped with ATFT engine, offering peak power output of 11PS at 8000rpm, the new bike has features like digital-analog combo meter console, front cowl and adjustable rear shock absorbers.
Ignitor would be available in pearl white, sports red, vibrant blue and panther black metallic colour options.
HeroMotoCorp sold 5,34,091 units in June against 5,56,644 units in May. The company sold 16,42,292 units in April-June period as against 15,29,577 units in the year-ago period.