Greetings! Here is a piece of news that will certainly make all the Indian bikers proud because BMW superbikes will now sport gearboxes made in India by Hero motors. The auto industry is developing day in and day out and Hero motors have bagged a contract to become the sole international supplier of gearboxes for BMW bikes to be sold in both international and domestic markets. This was one of the important contracts for Hero because this will certainly increase their brand value and customer loyalty. Gearboxes are one of the most critical parts of a motorcycle and Hero makes one of the finest quality gearboxes.
Hero motors is a part of $4-5 billion Hero Group. Pankaj Munjal, Managing Director of Hero Motors said that the company develops quality gearboxes themselves. He further said that usually the company makes engine and transmission themselves because high end engineering is involved. He further said that the company has attained expertise in producing these gearboxes and BMW Motorrad will source gearboxes from the company for the products it sells globally. The agreement would be for five-eight years depending on the transmissions sourced for different products by BMW Motorrad.
Hero is certainly happy bagging this deal. Mr.Munjal said that the perception that Europe is the best place for sourcing motorcycle components is not correct because the landscape is changing day in and out. Speaking on Hero’s growth he said that the company’s transmission business is growing rapidly for last couple of years.
BMW’s motorcycle business is not new to India. In fact the superbike maker has had a long time relation with Hero. BMW first forayed into Indian market in mid 1990’s with Hero as a partner for a mid sized cylinder motorcycle but unfortunately the small size of Indian Superbike market that time has lead to the venture windup.
Hero motors is already executing deals worth over $200 million for supplying components to various companies around the globe. The company has got great facilities where it produces transmissions, gear boxes and sheet metals. The overall picture looks great and all we can hope for is the success of both the companies
