Honda Motorcycle and Scooter India Limited (HMSI), a wholly owned arm of the world's biggest two-wheeler maker, is all set to establish its second high-tech facility in India at Arwal in Rajasthan by 2011 in order to meet up the rising demand for its products.

HMSI President and Chief Executive Officer (CEO) Shinji Aoyama made this announcement while talking to UNI on the sidelines of the formal launch of the company's latest 150 cc bike CB Unicorn Dazzler at a colourful function.

Stating that following about 18% increase in demand plus sales of the Honda products in the country during 2010-11, like the past two years, they had decided to increase the production capacity from the present
1,60,000 units per annum to at least 2,20,000 units by next year.

Mr Aoyama said, "Accordingly, we have decided to set up our second plant in India at Alwar district in Rajasthan after the first one at Manesar near Gurgaon in Haryana with the annual production capacity of 1,50,000 units reached a point of saturation,."

He said the new plant covering around 52 acre area at Alwar was scheduled to commence commercial production of 1,00,000 bikes and scooters per annum from July 2011.

"In addtion our total investment in India this year would be about Rs 1,200 crores,'' the HMSI President said.

Claiming that HMSI was currently enjoying a market share of around 14% in the Indian motorcycle segment, while that of Honda branded scooter was to the tune of nearly 50 per cent,

Elaborting the salient features of the new CB Unicorn Dazzler like its speed, safety features and low fuel consumption, the HMSI CEO said it would be available in the city market at a cost of around Rs 64,500 per unit.

Moreover, Mr Aoyama said, HMSI have a plan to introduce a new 125 cc CBU VFR bike in India later this year. (With Inputs from Agencies)