Honda Motorcycle and Scooters India (HMSI) has been working out plans for establishing yet another Greenfield two-wheeler manufacturing facility in India in response to the rising demand across the segment.

YS Guleria, Division Head (Sales and Marketing Operations) of HMSI, said that the growing demand has been running out the capacity of its existing plant.

He informed, “If the demand grows further we may have to set up another Greenfield facility.”

The firm is also in the process to increase its manufacturing capacity from 1.2 million units to 1.5 million units this year to meet ever increasing orders.

However, the existing plant is capable to manufacture up to 1.5 million units as there is no enough space for further expansion.

The Japan's auto major hopes of propping up its bike sales in the forthcoming quarters. The firm is going to launch a 100 cc bike in the January-March quarter of 2010 in the Auto Expo in January.

Mr. Guleria added, “The share of scooters in the two-wheeler market was witnessing a sharp fall when we entered the Indian market in 2001. In the following years we could improve the share scooters from as low as 15% to over 20% of the total two-wheeler market.”