Atlas Honda Invest $35 Million to Enhance Exports
Karachi, June 11, 2012 (PPI-OT): The Government will support the manufacturers through prudent policies and encourage them to enhance the capacity and transfers of technology which will not only benefit local consumers but also increase exports of “Made in Pakistan” motorcycles; this was stated by Chairman Federal Board of Revenue (FBR) Mumtaz Haider Rizvi.
While inaugurating the Atlas Honda motorcycle’s production capacity enhancement to 0.75 million bikes a year alongwith Mr. Kenji Kawaguchi, President Honda R and D Southeast Asia, he said that he is looking forward to Atlas Honda’s next landmark of achieving production and sales targets of 1 million motorcycles a year, as it will be a direct support to achieve FBR’s revenue collection targets.
He asked the visiting officials of Honda Japan to take another leap forward and plan for producing 2 million motorcycles not only for local market but to tap the regional markets as well.
He said that Pakistan is the country of 180 million people which could be considered amongst the biggest markets of motorcycles while it has immaculate and talented workforce besides a thriving economy which is a most suitable recipe for planning further investments.
The Chairman FBR after inaugurating Atlas Honda’s plant enhancement capacity that has been increased from 600,000 units to 750,000 units a year with the investment of $35m visited different production facilities of Atlas Honda plant and took keen interest in locally produced motorcycle engines and other parts.
‘This unit is not only to save valuable foreign exchange by deleting 94% of the motorcycle parts but also to earn foreign exchange through exports,’ said the FBR Chairman.
He said that FBR regards Atlas Honda as one of the role models among the Pakistani tax paying organizations.
Mr. Kenji Kawaguchi, President Honda R and D Southeast Asia Co., Ltd., who had flown all the way from Thailand to be present at this historic occasion for Atlas Honda, assured that consistent policies from the Govt and continuous support from FBR will encourage Honda Japan to increase its role in Pakistani motorcycle market’s development.
He said: ‘I am expecting from Honda to introduce several new and improved models in the coming years in order to serve better the Pakistani customers.’
Speaking on the occasion, Chief Executive Atlas Honda Saquib Shirazi announced that the company will now be undertaking a feasibility study for an expansion project to increase annual production of motorcycles to 1 million units, which is estimated to cost around an additional $50m.
‘The enabling environment provided by the Government was instrumental in the phenomenal growth of this sector even during the periods of economic recession. Atlas Honda was the market leader in the year 2000 and is still enjoying the same position with eight times increase in the production of units,’ he added.
The chief executive further said that AHL believes in fair competition, and this is the reason the prices of motorcycles are stable. ‘Besides having 94% localization of our brands, our exports have doubled this year to around 20000 units, while we are hopeful to achieve our export target of 100000 units in next three to five years, he added.
For more information, Contact:
Atlas Honda Limited (AHL)
1 Mcleod Road,
Phones: (042) 111-111-245, 37225015-17, 37233515-17
Fax: 37233518, 37351114