Jan. 10 (Bloomberg) -- Royal Enfield, the Indian maker of vintage-style motorcycles featured in the latest “Harry Potter” movie, expects to boost sales 27 percent this year as rising wages spur demand and waiting lists as long as 10 months.
The company, whose designs have changed little since the 1950s, plans to sell 70,000 bikes in 2011, compared with 55,000 last year, Siddhartha Lal, managing director of parent Eicher Motors Ltd., said in a Jan. 7 phone interview from New Delhi.
India’s oldest motorcycle-maker intends to boost annual production to 100,000 units by the end of next year and it’s seeking a site for a second factory because of demand for the 150,525 rupee ($3,300) Classic 500 and other models. The company also plans to increase sales in Africa, the Middle East and Latin America over the next three years, Lal said.
“If you want to have significant export volumes, the developing markets are where you will find customers,” he said. He didn’t comment on specific targets. Exports to the U.S., the U.K., Japan and Australia already account for about 5 percent of sales, he said.
New Delhi-based Eicher, which also makes commercial vehicles with Volvo AB, fell 7 percent, the most in 20 months, to 1,106.3 rupees at the 3:30 p.m. close of trading in Mumbai. The benchmark Sensitive Index of the Bombay Stock Exchange declined 2.4 percent.
Customers for Enfield’s Classic 500 have to wait as long as 10 months, according to Nilesh Kalekar, manager of a showroom in Bandra, a suburb of Mumbai, and P.V. Kalyankumar, who runs a dealership in Bangalore. Lal said customers had to wait months, without elaboration.
Hagrid rode an Enfield Bullet Classic fitted with a sidecar in ‘Harry Potter and the Deathly Hallows: Part 1.’
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