| Motwani: Flying high
New Delhi, Jan. 22: Kinetic Engineering will introduce the country’s ‘costliest bike’—a limited edition 250 cc motorbike priced at over Rs 1 lakh later this year. Sulajja Firodia Motwani, joint managing director of Kinetic Engineering, said the firm will also introduce a 115 cc bike named Velocity which will be priced around Rs 40,000.
“We will import around 100 Aquila bikes from the Korean firm Hyosung Motors,” Motwani said, adding each unit will cost more than Rs 1 lakh.
“When compared with the imported bikes market, this is the best deal that will be available,” Motwani remarked.
The 250-cc, V-Twin DOHC 8 valve engine, Aquila is a 4-stroke engine with twin silencers, disc brakes and telescopic suspensions. “The bike mufflers are chrome plated and boasts of an advanced exhaust system. It will weigh around 160 kg and have a fuel capacity of 15 litres,” Motwani said.
When asked if the pricing is due to the firm’s product-pricing strategy, Motwani said: “This is on account of the very high import duties and taxes we will have to pay. The cost is breakeven for us.”
Asked if the firm plans to produce the bikes locally, Motwani replied in the negative. “Let us see the response. It’s too early to say,” she said.
Motwani said the firm plans to sell around 50,000 units of Velocity. “We will like to grab around 50 per cent of the market share in another five years’ time,” Motwani said.
She said the firm will also launch a 165cc motorcycle in February. “The 165cc motorcycle would be an upgraded version of the existing GF125 model which is produced in technical alliance with Hyosung Motors,” Motwani explained.
“We will also launch a special edition of the existing 110 cc bike in view of the World Cup of cricket scheduled in February,” she said.
“The vehicle will have speed indicators that will let one know whether he or she is riding slower or faster than the optimum speed,” Motwani said, adding the firm hopes to sell around 4,000 units per month.
The Pune-based Kinetic Group has two subsidiaries—Kinetic Engineering (KEL) which produces motorcycles and mopeds, and Kinetic Motor Company (KMCL), the maker of automatic scooters and scooters.
Asked when KEL will break even, she said: “By the first quarter of 2003-04 we should break even...however, we will report a group turnover of Rs 800 crore for the year 2002-03 up from Rs 700 crore last fiscal and a net profit of around 5-7 per cent.”
“We hope to sell around 2,50,000-3,00,000 units. Of these 1,50,000 will be scooters and the rest motorcycles,” Motwani said. “Last year we had sold around 1,12,000 scooters and 45,000 motorcyles.”