NEW DELHI, Nov 16: The Rs 800-crore motorcycle major Escorts Yamaha Motor Ltd has put its much-publicised plan to foray into the scooter segment on the backburner.

"Though the research activities on to scooters is still on in Japan, we have decided to go slow on the whole idea. ``Scooters market is currently down and we intend to concentrate more on motorcycles, a segment which has high demand,'' company business development director Nikhil Nanda told UNI here on Saturday night.

He said the company would launch the scooters not before the next century."An investment of around Rs 150 crore had been envisaged for the project, a plant for which may be set up in Haryana,'' Nanda said.

The company, to begin with, will get just one scooter at the entry level segment and then go on to introduce newer models.

Escorts Yamaha, which is a 50-50 joint venture between Escorts Ltd and Yamaha Motor Company (YMC) of Japan also intends to launch a four-stroke high-powered motorcycle by June next year.

''The 125cc bike has been designed by Yamaha purely for the country. It will be priced at around Rs 48,000 and would deliver a power of 11 bhp,'' he added. The highlight of the motorcycle will be its fuel efficiency.Meanwhile, company sources said, following the launch of the four-stroke bike, the company will also be introducing a light-utility four-stroke motorcycle called YD125. To be launched in the last quarter of 1999, the bike is expected to be slightly cheaper than the model to be launched in June next.

According to latest figures provided by the Association of Indian Automobile Manufacturers (AIAM), the total two-wheeler segment has recorded a negative growth.

While total production declined 6 per cent to touch 14.32 lakh units, sales dipped 2 per cent at 14.38 lakh units, compared with the previous year's figures of 15.21 lakh units and 14.75 lakh units respectively.

Scooter production went down 12 per cent and sales slid by 8 per cent. Only motorcycles registered growth in the two-wheeeler segment during the period, with production looking up by 9 per cent and sales by 11 per cent.

Moped production during the half year dropped 13 per cent, while sales dipped 10 per cent.

Although production of two-wheelers during the month were 2 per cent lower, sales were higher by 2 per cent.

Production during the month stood at 2.51 lakh units, while sales touched 2.64 lakh units. Scooter production also recorded a decline of 3 per cent and sales slid 1 per cent. Mopeds were the greatest losers during the month with the production dipping 10 per cent and sales sliding by five per cent.

Motorcycles were again the face-savers for the segment with its sales shooting up 12 per cent during the month to touch 90,945 units from the previous year's 81.483. Production figures stood at 87,207 units, up 6 per cent from 82,556 in September 1996.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.