Wednesday, February 20, 2008

SOON YOURS FOR 2 LAKHS… KAWASAKI NINJA 250R

Yes you have read it correct. If words from Bajaj officials are anything to go by, you will soon be riding one of these machines for 2 Lakhs or thereabouts. Some of you might say 2 lakhs… isnt it too much? No sir, you would be horribly wrong if you think so. With the present duty structure, this bike if imported, would cost anywhere between 3.5 - 4 lakh rupees. So how, you would ask Bajaj would manage to sell it at 2 lakhs? The answer is CKD (Completely Knocked Down kit).

For more on CKD you can go through here http://en.wikipedia.org/wiki/Complete_knock_down

In a nutshell, it means that some parts would be made locally while major components like engine and gearbox would be imported.

Bringing a product via the CKD route attracts the least duty, close 30-40 percent, but it also means that an assembly line is needed and some parts would also have to be sourced locally.

Conversly, the Yamaha R1 is being brought into India as a CBU and hence more than 100% duty and therefore a product which costs around 5 lakhs in US, costs 10.5 lakhs by the time its here.

In a first again for the 2 wheeler market in India, Bajaj will import the Ninja 250R as CKD to avoid high import duties and hence would be able to price the bike at a very competitive 2 lakh rupees. This move yet again shows the commitment Bajaj has towards the Indian 2 wheeler market and how it wants to give the customer the best possible product at most competitive prices. We just hope that other companies also follow suit.


Infact we had such an announcement from Suzuki. We will post once we have further updates on this.















Kawasaki Ninja 250R at the Delhi Auto Expo:
Tell us what do you think of this move by Bajaj.

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