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HARLEY DAVIDSON INDIA
 


 

Harley Davidson coming to India

Motorcycles will be sourced from the American plant.

BY A CORRESPONDENT
May 19, 2006

Harley Davidson, the iconic American bike-maker is planning an India entry. For the second time in less than a year, Harley Davidson officials from its US headquarters visited India to check out the possibilities of an Indian foray.

Harley Davidson does not have any presence in the Indian market so far. The company is planning to enter India through the CBU (completely built up) route. Since such imported bikes attract a 60% import duty, the price of Harley Davidson bikes in India would be in the range of Rs 4 lakh to Rs 14 lakh. Harley Davidson has no plans to start production in India. The company wants to keep its production in the US, since Harley Davidson is essentially an American nostalgia bike brand.

According to Harley Davidson vice-president Timothy Hoelter who visited India in September 2005, "India is among the few motorcycle markets in the world that's growing at a fast pace and we are surely looking at a presence here. Whenever we enter the Indian market, it will be through the sourcing route. Harley Davidson buyers identify our bikes to be an all-American brand and they want to buy the bikes that are produced in US."

Hoelter had a second visit to India early this month, when he met officials from the commerce ministry to find ways of entering the market.

Acording to reports, there is lack of clarity on emission norms for high-end bikes like Harley Davidson. Though Harley Davidson conforms to emission norms in the US and Europe, there are no clear guidelines for such bikes in India.

Harley Davidson is yet to work out a list of products it would like to introduce in India. The company is betting on the increasing attraction for high-end bikes, as seen in the interest in Suzuki Hayabusa and Kawazaki Ninja. Harley Davidson hopes that increasing disposable incomes in India powered by a booming economy will help it make the cult bike do well in India.


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