Hero MotoCorp’s Andhra Pradesh Facility Construction Halts after Judicial Interference

The country’s largest two-wheeler manufacturer suffered a serious loss after the high court in Hyderabad ordered it to stop the construction of its new production facility in Andhra Pradesh. The reason behind this is a petition filed by a Tamil Nadu-based firm named Ishwariya Orchards that was in opposition with the construction. According to the company, Hero MotoCorp was setting up a plant on such a piece of land that was acquired by them only. Ishwariya Orchards came to know this through a newspaper, which reported that Hero will be building up a new factory on their land with the cooperation of Andhra Pradesh Government. 

The reports further stated that the local government signed an agreement with the Gurgaon-based manufacturer on September 16, 2014. Soon after this announcement, the original owner rushed to the High Court seeking justice and their efforts succeeded well. Taking an immediate action on this, the Hyderabad High Court issued a stay order and asked Hero MotoCorp to stop the construction process as soon as possible.

Besides this, Hero MotoCorp has been setting up another production facility in Halol, Gujarat. Their Neemrana factory in Rajasthan is also seeing an expansion these days. With this, the manufacturer hopes of taking its overall production capacity to 12 million units that will further strengthen its image as the largest two-wheeler manufacturer.