BMW Planning Used cars Business in India

Keeping in mind the cost conscious customers of India, BMW, the German car manufacturer is planning to launch its dedicated line of used BMW cars. This is the first time that the company is intending to enter the pre-owned car business. The big decision is certainly based on Indian masses need. The plans will take its shape by year end when you will have the option to buy previously used BMW cars from its dedicated stores.

The German Auto major is planning big this time with intentions to double its current production capacity in Chennai. The company has made this decision looking at the increasing demand in Indian automobile industry. They have purchased additional land in Chennai to increase its production capacity.

Andreas Schaaf, BMW India president said on this related issue said that the first showroom for second hand BMW cars will be opened up in Gurgaon and then after in Mumbai and Chennai. The statements were made at the annual general meeting of the Indo-German Chamber of Commerce.

At present the Chennai plant of BMW holds a capacity of 5,400 units per year. Till October the factory managed to produce 4,741 cars which is a good number as compared to last year's 3,600 cars. Regarding this data, Schaaf also said that the company has plans to increase its production by 60 % and in figures, the production output will reach 5,000-6,000 units.

Talking about the present condition, BMW is enjoying a 39% share in luxury car market of India. They also have plans to launch its all new BMW-X1 in early period of next year. The company officials also said that this beautiful model will be priced at Rs 25 lakh with its production process in Chennai plant. Till now the company has invested Rs 1,800 crore in India.

Among other major steps from BMW, it also intend to increase its dealership web round the country. In figures, the dealership points will be increased to 22 from earlier 18.

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