NEW DELHI, India - Two-wheeler maker Kinetic Engineering plans to launch a motorcycle targeted at the rural populace called `Shakti'. It will be an entry-level bike with a 100-cc engine and will be priced just a shade over Rs 30,000 / €513.41
"We see rural markets having a great potential for the motorcycle business while we'll focus on automatic scooters in the cities," said managing director Sulajja Firodia Motwani. The bike is expected to hit the market in the next quarter.
Despite India being the second largest two-wheeler market in the world, two-wheeler penetration in India is only 28 per 1000 people. While there are no studies documenting the urban to rural ratio of two-wheeler population, industry experts say that rural India lags far behind.
"There is great potential for marketing motorcycles in rural India because of the rise in disposable income. Also, the influence of adjoining towns and rise in media penetration through cable TV is leading to increased rural demand," says Anang Dev Jena, research director at Synovate Motoresearch.
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