Bajaj to produce new motorcycle at Waluj

Bajaj Auto’s much awaited motorcycle, which is tipped to pave the way for elimination of its 100cc range, will be manufactured at the Waluj plant in Aurangabad towards the second quarter of next fiscal.

The company is also gearing up to move the 100cc Platina from Waluj to its new facility at Uttarakhand which will become operational next month. This will also mark a significant change in pricing dynamics in the 100cc segment.

“The fiscal sops at Uttarakhand could see a price cut of up to ten percent on the Platina from April,” top sources said. Should this work in its favour in terms of higher sales, it will be interesting to see how competition reacts as a result.

The only difference here is that Bajaj is keen on bidding adieu to the 100cc segment and is clear that it will focus on higher-end (and more profitable) motorcycles. Of course, the fact remains that as prices get lower, margins suffer too but the most difficult job for a manufacturer at that point is to choose between market share and profitability.

MURALI GOPALAN