Harley Davidson India MD Anoop Prakash, who brought the iconic US bake-maker into the country in 2009, has made sure India becomes an important zone for the company.

Harley, which started assembling bikes at its completely-knocked-down unit at Bawal, Haryana, in 2011, is now planning to make new models – the Street 750 and the Street 500 — from early next year.

The company will also export to Asian and European countries from here. In an interview with Business Line , Prakash shares future plans of the company. Edited excerpts: -

Tell us more about choosing India for manufacturing the Street 750 and the 500…

The decision to launch the Street series is led by our customers’ response globally – 3,000 customers were interviewed in 10 different countries. The feedback we got from young customers from all over the world, including India, led us to create this product and that’s why you see such a distinct set of features and functions in these bikes. For example, in the 750, there is a higher ground clearance, liquid cooled power-train, narrow chassis, new suspension and dark custom kind of looks.

With this manufacturing facility, we will be able to respond to customers all over the world. Earlier, all our supply chain originated in the US. But now, we can respond to the customers faster.

When are you launching the Street 750 and the 500? How will you price them?

We will unveil the Street 750 at the India Bike Week in Goa, to be held in January, and formally launch it in India at the Auto Expo in February. After the Auto Expo, we will start bookings and deliveries. We have not decided when exactly we will launch the Street 500. We want to first focus on the 750 as it’s been customers driven. You can expect the Street 500 by 2015.

The 750 will be priced at under Rs 5 lakh on road. Right now, both have been launched in the US – at $ 6,700 (Rs 4.15 lakh, for the Street 500) and $ 7,500 (Rs 4.65 lakh, for the Street 750).

With manufacturing in India, the prices of your products will also come down. Do you see any competition from other players?

I think we led the leisure motorcycling culture to develop in India. So, when it comes to leisure motorcycling, we think our brand is strong and we are at the leadership position. The Street 750 and the 500 will meet the requirements of young bikers. Making Harley Davidson accessible at a better price point is allowing them to get the bike that they want, rather than them waiting till they can afford it. We have financing schemes with HDFC Bank and ICICI Bank, which have helped customers get our bikes. About 50 per cent of our motorcycles are sold through these banks with good EMI schemes (11-12 per cent interest).

What will be the mix of components supply for them in India?

Our components strategy is global. Some will be imported and some will be local. We will be increasing the use of Indian components because of the plant here.

When will you start manufacturing other bikes?

This is just for the Street series right now. There is no other plan for now, as it all rests on how we do with the Street. Right now, the focus is on delivering the Street – producing it and getting it out in volume and grow it in different markets.

What is your sales target this year?

We can give cumulative numbers. From 2010 to the end of this year, we hope to sell 4,000 bikes. From mid-2010 to the end of last year, we sold nearly 2,000 units.

Any dealer expansion plan?

Right now, we have 10 dealers in India and will add three more by the end of this year— in Pune, Goa and Jaipur. Next year, we would hopefully launch two or three more. We are targeting some more satellite cities like Surat, Coimbatore, Calicut and Guwahati.

ronendrasingh.s@thehindu.co.in

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