The battery supplier to companies like Hero Honda Motors and Honda Motorcycle and Scooters India, Exide Industries has recently said that it has resolved two-week labor issues at its factory in northern India that halved its battery output.

Moreover, the company also said that the labour issue was resolved by Monday and it is expecting to resume normal operations at Bawal plant (in Haryana state) by May 3, 2010. It may be noted here that the company produces close to 3.5 lakh units of batteries every month out of its Bawal which are then supplied to Hero Honda and HMSI.

However, after the workers are at the battery manufacturer decided to be on a go-slow approach, it left a piled up inventory at the door of both two-wheeler manufacturers.

Experts are of a view that after the labour issue has reached a solution, Hero Honda will reach the state of normalcy by May in the domestic market. On the other end, HMSI has recently said that it sourced supplies from another component maker when the labour stir knocked on the door of Exide Industries.