Bajaj Auto plans to increase its overall production capacity to 50 lakh units a year by the end of this fiscal. The company has three manufacturing plants at Waluj and Chakan in Maharashtra and Pantnagar in Uttarakhand which produces a total of 46 lakh units of 2 and 3-wheelers every year. Earlier this month, the company commissioned Plant II at their Pantnagar facility taking the capacity to 15 lakh units of motorcycles per year from 12 lakhs. By 31st March next year, total capacity at the plant will reach 18 lakh units per annum. Motorcycle capacity at Waluj will remain the same and there will not be any capacity hike at the Chakan plant, which has can produce 12 lakh units a year.
This year Bajaj had earmarked between Rs 150 crore and Rs 200 crore for capex, including capacity expansion, research and development, modernisation, replacement and support systems. In the beginning of the year Bajaj had stated that they will be selling a total of four million two and three wheelers. Bajaj Auto has been breaking sales record. The previous best was achieved in the preceding quarter of this fiscal. Of total bike sold by Bajaj, 86% is from high end Pulsar and Discover motorcycles.