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Suzuki Motorcycle India is gearing up to ramp its production to 10 lakh units per annum, which is deferred by up to one-and-a-half years. This has been done because of the coronavirus pandemic. The company had planned to enhance production capacity up to one million this year. Also, due to the pandemic, the company had temporarily halted production at its plant for three weeks from April 28 and resumed production from May 17, 2021.
Satoshi Uchida, the recently appointed Company Head said, "Because of the COVID-19, starting from last year our project is slightly delayed. Originally we were expecting more progress in these two years but because of COVID-19, the market hasn't grown as expected... Earlier we had planned to enhance production capacity up to one million this year but physically it is impossible in terms of the number of sales."
"We will be delayed by one year to one-and-a-half years. Three years ago we reached 7 lakh annual capacity. So as per the original plan, we were supposed to reach one million (this year). So we have to invest in the current factory to reach one million production level but this year we cannot reach one million," he further stated.
In 2020-21, Suzuki Motorcycle India's production dropped by over 24 per cent at 6,00,056 units as compared to 7,98,711 units in 2019-20. The company sold 521,474 units of two-wheelers in 2020-21 witnessing a fall of 23.90 per cent in comparison to 6,85,219 units of two-wheelers sold in 2019-20.
Devashish Handa, SMIPL Vice-President, Sales, Marketing and After Sales said, "This financial year we are looking forward to doing better than what we did last year, provided the pandemic situation is also not as severe as what we are going through right now."
"Demand side is not much of an issue but it has more to do with the disruptions in the supply chain because of the lockdowns. Also with the oxygen issue, the company has had to make whatever it can. We always had a situation with the order book higher than what we could supply. It was more to do with supply limitation. We could not make as much as the demand," he further added.
Thoughts About Suzuki Motorcycle India's Project To Ramp Up Production Deferred Due To Covid-19
The covid-19 pandemic has affected the entire world and the second wave of the pandemic has affected our country badly. Due to which manufacturers had to stop the production in the plants to maintain the social distancing norms. However, Suzuki Motorcycle India is all pumped up to ramp up its production.