Eicher Motors announced that, Chief Minister Jayalalitaa have officially allotted them 50-acreland for construction plant for its two-wheeler division, Royal Enfield, at the Oragadam SIPCOT Industrial Park, near Chennai and they are expecting that within 5 years this plant will earn them a profit of Rs 350 crores.

Eicher Motors, Managing Director and CEO Siddhartha Lal adds, " By the first quarter of 2013 , the plant will get ready and the new facility will have an initial installed capacity of 1.5 lakh units per annum, which could be expanded, depending upon demand”.

He further commented that the new capacities will definitely reduce the 6-8 months waiting periods of bikes.

An official release claimed that before coming to Tamil Nadu, Eicher is also thinking over to start new operations in a neighboring state, ensuring 900 direct and indirect employment opportunities. At present, another facility in the state per year produces 70,000 bikes.

On the other hand, Jayalalithaa, in a CII national Council meet, declared that Chennai is all set to appear as one of the top five international clusters and she will be aiming to make the city world's chief auto group.