Exide Industries has forayed into manufacturing of e-rickshaws. The new vertical, which the company launched on 16 October 2019, is likely to add nearly Rs 120 crore to its topline in FY-21.
E-rickshaws will be sold under the brand ‘Exide Neo’ and across markets such as West Bengal, Uttar Pradesh, North East and the National Capital Region (NCR).
An assembly line with an annual capacity of 15,000 units has come up at Dankuni (Hooghly) in Kolkata, West Bengal.
While most of the components, apart from battery are sourced from China, plans are afoot to increase indigenisation.
The company is targeting 10,000 unit sales in the first year of operations. The company will also explore the possibility of having e-rickshaws with lithium-ion batteries.
The company’s lithium-ion battery manufacturing facility in Gujarat is expected to start production from December 2019.
The company has formed 75:25 joint venture with Swiss firm Leclanche and has already invested around Rs 100 crore. Another Rs 100 crore is expected by the end of March 2020.