Indian Motorcycle slashes prices by up to Rs 300,000 post customs duty cut

American niche bike maker Indian Motorcycle on Wednesday said it has slashed prices of its models in India by up to Rs 300,000 following reduction in customs duty.

The government last month slashed customs duty on imported high-end bikes to 50 per cent.

Earlier, import of motorcycles with engine capacity of 800cc or less used to attract 60 per cent duty, while those with capacity of 800cc or more attracted 75 per cent duty.

"We are glad that the government has rationalised the import duty structure to 50 per cent across the range for imported bikes. The new attractive price of our products available in India will definitely lead to more sales," Polaris India Pvt Ltd MD and Country Head Pankaj Dubey said.

Indian Motorcycle is a wholly-owned division of Polaris Industries Inc, America's first motorcycle company.

While the price of the Chieftain model has been cut by Rs 299,000 to Rs 3.2 million, Vintage model's price has been reduced by Rs 2,67,000 to Rs 2.5 million.

Similarly, price of Roadmaster has been slashed by Rs 201,000 to Rs 3.99 million. Price of Scout Sixty model has been cut by Rs 1,89,000 to Rs 1.09 million. Classic model will now be available at Rs 2.12 million, after reduction of Rs 1.70 million.

The company, which imports all of its products in India from the US, currently has nine models in its line-up.