Piaggio to invest 30 mn euro in India to make scooters

"We will invest 30 million euro to set up a new facility Baramati. The scooter plant will reach a capacity to produce 1.5 lakh units per annum in the next three year," Piaggio Vehicles Chairman and Managing Director Ravi Chopra told reporters on the sidelines of the Society of Indian Automobile Manufacturers (SIAM) summit here.

The company plans to re-introduce the erstwhile 'Vespa' scooter with a gearless 125 cc engine and manufacture it at the proposed new plant. "We will launch the scooter by the end of 2011 or early 2012," Chopra said.

Vespa was earlier sold as LML Vespa in partnership with Kanpur-based Lohia Machinery Limited (LML).

Talking about the commercial business, Chopra said the company will launch a 0.5 tonne small truck in the next two- three weeks' time.

The company currently sells light commercial vehicles in the country , including the Ape.