Steelbird Hi-Tech Invests ₹105 Crore To Expand Production Capacity

Steelbird Hi-Tech announced a ₹105 crore investment to boost production capacity at its existing plant. This is done anticipating a significant rise in demand for branded helmets.

The ₹105 crore investment will significantly increase the daily production capacity of its Baddi plant in Himachal Pradesh. Additionally, Steelbird is planning to establish a new state-of-the-art manufacturing facility in South India to meet the anticipated surge in demand. This growth strategy aligns with Steelbird's target of selling 10 million helmets in the current financial year (FY24-25). With a successful FY23-24 under its belt, which saw sales exceeding 8 million helmets, Steelbird is poised for even greater achievements, aiming for a revenue of over ₹1000 crore in FY24-25.

This move comes amidst a confluence of factors driving helmet sales in India. Firstly, there's growing safety awareness among riders. Steelbird anticipates stricter helmet regulations due to the rising safety consciousness fuelled by public awareness campaigns. This also comes due to potentially harsher penalties for non-compliance from traffic authorities.

Secondly, Steelbird anticipates a positive impact due to a potential crackdown on fake helmet manufacturers. Currently, a significant portion of the Indian helmet market is occupied by low-quality, counterfeit helmets that offer little to no protection in the event of an accident. These fake helmets often use substandard materials and lack crucial safety features like impact-absorbing liners and strong retention systems. Stringent regulations and enforcement measures can help eliminate these counterfeit products from the market, creating a levelling field in terms of price for genuine helmet manufacturers like Steelbird who prioritise safety which should be the mandate on a product like helmet.

To cater to this expanding market, Steelbird is planning a two-pronged attack. First, it will launch 36 new premium helmet models targeted at riders seeking the latest technology and high-performance materials. These helmets will likely incorporate features like advanced ventilation systems, lightweight construction using carbon fibre or other composite materials, and integrated communication systems.

Second, Steelbird will address the needs of budget-conscious riders by introducing 20 new, affordable helmet models. This wider range of options ensures that every rider can find a helmet that meets their safety requirements and budget. These helmets will be manufactured using high-quality materials and will comply with all mandatory safety standards, providing riders with essential protection without compromising on affordability.