Piaggio Vehicles Pvt Ltd is increasing the production capacity of its three-wheeler plant at Baramati in Maharashtra to 75,000 units by the end of next year, and plans to roll out a 1-tonne pick-up vehicle on the 3-wheeler platform around the same time.
Earlier, the company had plans to increase the capacity to 50,000 units a year, which has been revised upward, keeping in mind the growing demand for small commercial vehicles and the export potential of three-wheelers in neighbouring countries. Ravi Chopra, managing director, said plans for the two-wheeler manufacturing plant in Surajpur, Noida, will be finalised in two-three months. Informed sources said the company has decided to launch both motorcycles and scooters. But Chopra declined to comment on the product planning.
He said that Piaggio was investing another Rs 75 crore to expand capacity at its existing unit in Baramati for three-wheelers from 35,000 units a year to over 75,000 units a year (in two shifts).
The first phase of expansion will be completed by the middle of next year. The entire expansion will be completed by the beginning of next year, he added.
Chopra further said the company will focus on exports next year itself. A major chunk of the produce will be put in line for exports. But since there was enough capacity, the company had also planned a four-wheeler pick-up. This vehicle will be designed on the existing three-wheeler platform and cater to a niche market.