Hero Stepping Up Production and Exports

LUDHIANA, India (June 11)- Major global bicycle producer Hero Cycles Ltd. manufactured 5.49 million bicycles in the fiscal year 2000-01. For the ongoing fiscal year Hero Cycles is planning to hit production levels of 6 million bicycles. Hero is also planning on setting up a modern production plant for the manufacture and assembly of 3,000 bicycles per day which will be ear marked for export. Hero Cycles registered a growth of 4.67% in production during the fiscal year 2000-01. The World's largest manufacturer of bicycles amassed annual turnovers of US$196.58 million dollars (EUR232mn) last year compared to US$178.63 million dollars (EUR210mn) the year before. This represents is a growth of 10.05%. Hero's bicycle exports were up by 12.25%, for a total of 396,722 units compared to 353,438 in the April 2000 –March 2001 period. Its export turnover increased 30.06% to US$21.88 million dollars (EUR26mn). In the current financial year Hero Cycles has built an alloy rim manufacturing facility that will produce 2,500 pairs of rims daily. The plans for a special facility for export bikes has been finalized and is expected to be commissioned by April, 2002. (SH)