Chennai-based TI Cycles of India, best known for its BSA and Hercules branded bikes,

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is setting up a manufacturing facility in Chennai to locally manufacture and sell high-end alloy steel and carbon frame bicycles of leading foreign brands such as Cannondale, Bianchi and Schwinn. TI Cycles, which represents these foreign brands in India may look at import substitution.

Local manufacturing will help the Murugappa group company avoid payment of expensive import duties and leverage a lower cost production base thereby cutting the prices at which these bikes are sold in India.

“We’re investing in a design and manufacturing unit to tap export markets such as the US. By the middle of the next fiscal year, we should have a five lakh cycles per annum plant near Chennai operational as we have done all the pilots to scale up our steel alloy and carbon frame bikes,” said D Raghuram, president of TI Cycles. This facility will help the company tap high value exports and also boost its capability to manufacture international standard carbon frame bikes under its own Montra brand in India. “We will also supply bikes manufactured from this facility to the international brands we sell in India,” he said.

At present, the imported bikes are sold anywhere between Rs 71,000 to Rs 1,86,000 each. TI Cycles imports and sells mountain, road and hybrid bikes of international brands such as Cannondale, Bianchi and Schwinn — known for their designs, comfort and ease of riding, in addition to BMX and MTB cycles from GT and Mongoose for adventure lovers. “So far, we did not have the requisite technology for high strength, low weight alloy and carbon frames. But we have been assimilating this technology and assembling a team over the past 2.5 years to design these world class bikes,” said Raghuram.The company has also set up a network of 200 exclusive stores near residential areas to improve availability of bicycles. The new stores boast a smart look and an enhanced product range to entice customers and improve the purchase experience. BSA Hercules Exclusive Stores stock the Hercules, BSA & Montra brands.