Honda (HMSI) to invest Rs. 800 Cr. for its proposed facility near Bangalore

imageHonda Motorcycle and Scooter India (HMSI), will be setting up its fourth plant in Karnataka. It is learnt from sources that Honda has received the necessary approvals to set up its manufacturing facility at Narsapur in Kolar District, near Bangalore.

HMSI, has its plants in Manesar (Gurgaon, Haryana) & Tapukara (Alwar, Rajsthan). Its third plant was set up in Narsapur. The present capacity across  the three plants is 4.6 million units. With the commencement of the fourth plant, the total capacity is expected to go up to 6 million units.

The company is expected to invest about Rs. 800 Cr. on the new project. Its earlier project in Narsapur, saw an investment of about Rs. 1300 Crs. with the facility spread across 96 acres.

There would be additional investments in the ancillary units that would support the main plant. The Honda plant is expected to  generate jobs for more than 6000 people – directly & indirectly.

The Karnataka State Government recently offered tax concessions to Honda for the plant.

Check out the Economic Times coverage of the Tax sops to HMSI existing set up in Karnataka / 17 Feb 2012: Karnataka extends tax sops to HMSI’s plant

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