New Cars and Bikes in India

Bajaj Auto Focuses On Exports As India Battles Pandemic

Bajaj Auto, which also sells rickshaws and small commercial vehicles, is already the largest exporter of motorcycles from India. However, domestic sales have been slow to pick up due to lockdowns.

expand View Photos
In Q1 FY 2021, Bajaj Auto saw a 53 per cent drop in net profit, which stood at Rs. 528 crore

Highlights

  • Bajaj Auto is betting big on exports amidst coronavirus pandemic
  • Bajaj says it will help it offset pandemic-related disruption in India
  • Exports make up 40%-45% of group motorcycle sales

Bajaj Auto is betting that an early recovery from the ravages of COVID-19 in motorcycle sales in its export markets will help it offset pandemic-related disruption at home, its chief financial officer said. The Indian company, which also sells rickshaws and small commercial vehicles, is already the largest exporter of motorcycles from its domestic market, where sales have been slow to pick up due to local lockdowns.

"All our export markets were also affected but recovery has been better (there) than in India," Soumen Ray told Reuters in an interview late on Wednesday. "We will continue to remain aggressive on exports."

Also Read: Bajaj Auto Q1 FY21 Results: Net Profit Falls 53 Per Cent Due To COVID-19 Pandemic

5ejkterg

Exports make up for 40%-45% of Bajaj Auto group's total motorcycle sales

Bajaj plans to open an assembly plant in Brazil within 18 months, as well as a design office in Thailand to handle sales for the ASEAN region, and another design office in Europe, Ray said.

Exports make up 40%-45% of group motorcycle sales, Ray said.

Also Read: Bajaj Auto Unions Seek Plant Closure After 250 Test COVID-19 Positive

This year, however, they have predominated. Between January and June, it exported 664,000 motorcycles while selling 589,000 in India, company data showed.

Ray declined to comment on the company's sales targets.

549icv5g

Bajaj's domestic sales for June 2020 stood at 1,51,189 units, a decline of 34 per cent

Also Read: Bajaj Auto Aurangabad Plant Workers To Get 50% Pay Cut

Bajaj, which currently sells to countries in Africa, Asia and Latin America, is facing supply chain issues at its plants in India due to lockdowns imposed by local governments.

Its workforce is also 10%-15% short as many staff are either worried about coming to work or have returned to their villages, Ray said.

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

0 Comments

For the latest auto news and reviews, follow carandbike.com on Twitter, Facebook, and subscribe to our YouTube channel.

Be the first one to comment
Thanks for the comments.