Bajaj Auto launches 3-wheeled cargo carrier

Bajaj Auto last fortnight introduced its first three-wheeled cargo carrier based on the RE (rear engine) platform on which over 36 lakhs of its passenger autorickshaws have been built to date. The plan is to sell 1,000 in September, going up to 2,500 a month over the next few months.

According to R C Maheshwari, CEO for commercial vehicles, the company’s three-wheeler business grew by 26 percent over the last year to sales of over 25,000 a month. With the RE600, the company wants to carve out a new payload category in the 3-wheeler LCV space, where it sees an opportunity to introduce a new segment, the “load-carrying autorickshaw”, which will replace its venerable FE forward-engined cargo three-wheeler.

Research by the company revealed that a good 50 percent of the users of such vehicles carry no more than 600kg, and the other 50 percent only need the additional payload 15 percent of the time, MD Rajiv Bajaj told a press conference at the launch. The company’s lack of success with its heavier-duty GC1000 and Max vehicles, which account for only five percent of its sales in this area, may also explain why it has chosen to fall back on its time-tested RE passenger rickshaw platform, albeit using a Kubota-derived diesel engine and the heavier-duty seven-plate clutch and the rugged front suspension from its larger 3-wheelers.

“Unlike the one-tonne vehicles in the market, the RE600 is built the right size for its intended application and is therefore very fuel-efficient,” Bajaj said, following a presentation that mentioned a mileage of 36 km/l compared to 31 km/l for the competition.

“Going forward, we will develop products out of the RE platform to improve our chances of success,” he said, indicating that these might include vehicles to replace the GC1000 and Max. Bajaj also said he believes his company has what it takes to deliver a 1.5 tonne four-wheeled vehicle at up to half the cost of what Tata’s Ace now costs. This vehicle would again be built up on the basis of the RE, rather than be a scaled-down truck like the Ace. “This is where Bajaj has the relevant strengths,” he said.