Honda India Power Products (HIPP), a power products company, has finalized plans to offer a line of maritime power products in India to expand its reach.
While the maritime power items would be imported for sale in India, the company plans to invest Rs 50 million (about Rs 5 crore) in the local market over the next few years.
HIPP, which reached a production milestone of 5 million units last month, has committed Rs 2500 crore to extending its presence in the country. At its facilities in Greater Noida, the company has a total installed capacity of 350000 units per year (Uttar Pradesh). Around 40-50 percent of the produce is exported.
The company announced its debut into the marine outboard market on Wednesday, stating that its 4-stroke marine outboard motor range will be available in India beginning next month. With its current product line, HIPP is targeting boat operators involved in maritime border security, boat taxi operations in tourism and leisure applications, and workboat operators in commercial fishing. The technology’s strategic use aids in smooth and optimized performance and operations in both marine and inland river systems, according to the business.
Over the next few years, the maritime sector is predicted to grow to a value of Rs 1400 crore. In the first three years after launch, HIPP hopes to gain a 10% market share in the 4-stroke market.
The maritime power products are intended at enhancing voyages across the country’s wide coastline, which stretches over 8000 kilometres, creating economic potential in locations like Kashmir, the Andaman Islands, Goa, and Kerala.
Every year, Honda sells over six million power items around the world. India presently provides roughly 3% of the company’s worldwide volumes, with local scales of 250000 units. Ueda expects HIPP’s contribution to worldwide revenues to expand significantly as a result of the new maritime product line.
In 1988, HIPP introduced its first product, the Portable Generator Model EM650, which was made in its Rudrapur factory. The company quickly launched several well-differentiated generator types to accommodate the changing demands of a broad and diverse market, fuelled by customer demand. In 1991, the company entered the agricultural market and began producing engines, followed by water pumps in 1992.
HIPP opened its second manufacturing unit in Puducherry in 1995. To obtain economies of scale, HIPP undertook a significant reconsolidation exercise in 2000, combining its production sites into its current “State-of-the-art” manufacturing complex in Great Noida.
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