Hero MotoCorp

Sept 15 (Reuters) -

• SIAM - INDIA'S AUG 3-WHEELER SALES 93,764 UNITS

• SIAM - INDIA FESTIVE DEMAND SEASON EXPECTED TO PROVIDE ADDITIONAL BOOST, RESULTING IN HEALTHY Q2 NUMBERS

• INDIA AUTO INDUSTRY BODY SIAM - INDIA'S AUG TOTAL DOMESTIC PASSENGER VEHICLE SALES 4,39,309 UNITS

• INDIA'S AUG 2-WHEELER SALES 2.03 MLN UNITS

(([email protected];))

Sept 8 (Reuters) - Hero MotoCorp Ltd HROM.NS:

• RECEIVES EMPLOYEES’ STATE INSURANCE CORPORATION ORDER MARKING LIEN OF 48 MILLION RUPEES IN BANK ACCOUNTS

Further company coverage: HROM.NS

(([email protected];))

** Two-wheeler maker Hero MotoCorp's shares HROM.NS fall as much as 6.98%, their steepest intraday drop in 17 months, to 5,167 rupees

** HROM leads the losses in the auto index .NIFTYAUTO, which is down 2.7%

** Domestic sales rose 4.5% year-on-year to 568,398 units, while exports fell 24.6% to 26,093 units in August

** UBS says BAJA and HROM continue to lose market share; terms HROM's sales increase in August "modest"

** HROM underperformed in August, with exports weakening due to the ongoing Middle East crisis, says Motilal Oswal

** HROM down 9.6% in 2026 so far, underperforming 1.7% drop in auto index .NIFTYAUTO, exchange data shows

(Reporting by Bharath Rajeswaran in Bengaluru)

(([email protected]; +91 9769003463;))

Sept 1 (Reuters) - Hero MotoCorp Ltd HROM.NS:

• DELIVERIES OF 568,398 UNITS IN AUGUST 2026

Source text: ID:nBSEbSTw5H

Further company coverage: HROM.NS

(([email protected];;))

** Electric two-wheeler maker Ather Energy's ATHR.NS shares rise 4.8% to 1,567 rupees

** Hero MotoCorp HROM.NS to increase stake in Ather to 32.8% with $184 million share purchase

** About 11.9 million Ather Energy shares change hands in block deal

** Shares to be purchased from an existing Ather stakeholder

** Hero is Ather's biggest shareholder and controlled a 29.88% stake as of August 25 - data compiled by LSEG

** All of the 11 brokerages covering the stock rate it "buy" or higher; their median PT is 1,480 rupees - data compiled by LSEG

** YTD, stock up 98.1%

(Reporting by Abhinav Parmar in Bengaluru)

(([email protected];))

Hero MotoCorp approved a cash purchase of up to ₹1,758 crore of additional shares in Ather Energy, raising its fully diluted stake in the electric two-wheeler maker from 29.88% to up to 32.8%. The purchase was expected to be completed by September 3, 2026, and required no governmental or regulatory approval. Ather reported turnover of ₹3,671.76 crore for the year ended March 2026, up from ₹2,255 crore in FY25 and ₹1,753.8 crore in FY24. Hero had also been allotted ₹960 crore of Ather warrants in August, with 25% paid on subscription and the balance payable on exercise.

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Adds details throughout

BENGALURU, Aug 27 (Reuters) - India's Hero MotoCorp HROM.NS on Thursday said it would buy additional shares of Ather Energy ATHR.NS for up to 17.58 billion rupees ($184.01 million), raising its stake in the electric scooter maker to 32.8%.

The shares will be purchased from an existing Ather stakeholder, Hero said, without naming the seller.

Hero, the Bengaluru-based EV company's biggest shareholder, held a 29.88% stake as of August 25.

The announcement comes days after Ather allotted convertible warrants to Hero worth 9.60 billion rupees as part of a separate preferential issue.

India is seeing intensifying competition in its fast-growing electric two-wheeler market as established automakers and newer EV companies vie for market share.

Earlier this month, Ather reported a sharply narrower first-quarter loss helped by strong demand for its family-focused Rizta scooters.

($1 = 95.5400 Indian rupees)

(Reporting by Nishit Navin; Editing by Jonathan Ananda)

(([email protected];))

Aug 13 (Reuters) -

• INDIA AUTO INDUSTRY BODY SIAM - INDIA'S JULY TOTAL DOMESTIC PASSENGER VEHICLE SALES 4,57,810 UNITS

• SIAM - INDIA'S JULY 3-WHEELER SALES 92,560 UNITS

• SIAM - INDIA'S JULY 2-WHEELER SALES 19,23,483 UNITS

(([email protected];))

Adds details throughout

Aug 7 (Reuters) - Shares of Hero MotoCorp HROM.NS rose about 3% on Friday, as investors bet that India’s largest two-wheeler maker will use cost controls and a richer product mix to offset the impact of higher raw material costs.

The stock was trading at 5,720 rupees and was the second-biggest percentage gainer on the Nifty Auto .NIFTYAUTO index, which was about 1% higher.

The company's first-quarter profit jumped nearly one-third and core earnings rose by a fourth, driven by strong volume growth and higher average selling prices, although core margin contracted 300 basis points as commodity costs rose.

The results suggest Hero is better positioned to navigate raw material inflation than previously feared, analysts said.

The company's focus is shifting to rural demand, market-share gains in premium motorcycles and scooters, and its electric-vehicle strategy, they said.

Rising commodity costs due to the Mideast war have affected automakers' margins in the quarter, forcing them to hike prices.

While EVs make up only 3% of Hero's total volume, the company's flagship VIDA V2 Pro received approval for production-linked incentives on July 8, indicating further ramp-up in volumes, said Goldman Sachs analysts.

Citi said Hero's earnings beat was driven by cost-reduction efforts that helped offset higher-than-expected commodity costs, resulting in lower selling, general and administrative expenses.

Morgan Stanley said revenue growth was supported by volume expansion, with revenue and EBITDA exceeding consensus estimates.

Goldman Sachs additionally noted gross margins remained under pressure from higher input costs.

The brokerage said investors will focus on the company's festive-season market-share strategy and ability to mitigate further cost inflation.

The auto company's shares are rated "buy", on average, by 33 analysts, with a median price target of 5,861 rupees, according to LSEG-compiled data.

($1 = 95.2600 Indian rupees)

(Reporting by Abhirami G and Kashish Tandon in Bengaluru; Editing by Harikrishnan Nair)

(([email protected]))

Aug 6 (Reuters) - Ashok Leyland Limited ASOK.NS:

• INDIA’S FADA: JULY COMMERCIAL VEHICLE RETAIL SALES ROSE 24.04% Y/Y

• INDIA’S FADA: LOOKING AHEAD TO AUGUST’26, DEALER OPTIMISM FIRMS CONSIDERABLY

• INDIA’S FADA: OVERALL, NEXT THREE MONTHS APPEAR DECISIVELY CONSTRUCTIVE

• INDIA AUTODEALERS BODY FADA: JULY OVERALL AUTO RETAIL SALES ROSE 25.89% Y/Y

• INDIA’S FADA: JULY TWO-WHEELERS RETAIL SALES ROSE 28.25% Y/Y

• INDIA'S FADA: JULY PASSENGER VEHICLE RETAIL SALES ROSE 19.13% Y/Y

• INDIA'S FADA: ALTERNATIVE FUELS ARE NOW WITHIN STRIKING DISTANCE OF PETROL IN PASSENGER VEHICLE MARKET

Further company coverage: ASOK.NS

(([email protected];))

By Aditi Shah, Arpan Chaturvedi and Sarita Chaganti Singh

NEW DELHI, Aug 5 (Reuters) - India's auto industry said it would revamp numbers furnished to the government as it withdrew its first warning of damage to vehicle parts caused by contaminated ethanol-blended fuel, stoking consumer anger over the contentious policy.

Tuesday's move came hours after media reported the group's warning, sparking public uproar and forcing the petroleum ministry to issue a clarification.

"The referred numbers reported in the media need authentication," the Society of Indian Automobile Manufacturers said in a statement, "... and therefore SIAM is withdrawing its earlier communication."

SIAM, which sent its warning on July 28, and the recipient, India's petroleum ministry, did not immediately respond to requests for comment.

With their letter, seen by Reuters, India's automakers accept for the first time issues stemming from a mandatory policy that sparked street protests, legal cases and consumer anger after the government rolled it out at 90,000 fuel pumps.

The lobby group did not deny the issue of contamination in its statement, but said some numbers quoted "need authentication through collection of elaborate data ... across the country followed by a comprehensive consultation".

The group, whose members include Maruti Suzuki, Tata Motors, Toyota Motor Corp and Mercedes Benz, did not say when the efforts would be completed, however.

QUESTIONS FROM VEHICLE OWNERS

Vehicle owners are at best sceptical about the U-turn.

"​Did the science change overnight, or did the ministry call?" Nachiket Deshpande, one of dozens of angry social media users, asked on X.

The policy of blending 20% ethanol in petrol to yield a product called E20 replaced E10 nationwide in 2025.

That was well ahead of a 2030 deadline as Prime Minister Narendra Modi's government sought to cut costly petroleum imports, although E20-compliant cars had only begun hitting the roads in 2023.

The rollout provoked uproar instead among consumers who blame the fuel for mileage drops and vehicle damage, with many demanding a choice of lower ethanol blends, particularly for vehicles that cannot use E20.

The government sought to soothe the concerns with press statements and social media campaigns, drafting in executives from leading carmakers such as Maruti and Hyundai to defend the roll-out at a July press conference.

WARNINGS OF CORROSION OR WEAR

In its missive to the ministry, the group warned of elevated chloride and moisture levels in E20 fuel sold at retail outlets nationwide.

"Members are observing a huge increase in the issues in customer vehicle parts and replacement. Investigations ... reveal the failure is due to corrosion or wear caused by high chloride presence which is traced to the fuel used," it said.

Car parts in direct contact with the fuel or engine emissions suffered the most, "specifically after E20 implementation", it added.

It also flagged high moisture levels in the fuel that it said could immobilise the vehicle immediately after fuelling, calling on the ministry for tougher quality checks against contamination.

Fuel quality is monitored on a regular basis by oil marketing companies and only two cases of chloride contamination were found in a sample of 2,000 tests, the ministry had said on social media on Tuesday.

Speaking to Reuters on condition of anonymity on Wednesday, a senior government official called the fuel concerns a "misinformation campaign" against E20, playing out mainly on social media with no real evidence in cars on the road.

(Reporting by Aditi Shah, Arpan Chaturvedi and Sarita Chaganti Singh; Additional reporting by Aditya Kalra; Editing by Clarence Fernandez)

(([email protected]; +91-11-4954 8023, +91-11-3015 8023; Reuters Messaging: twitter: @aditishahsays))

July 26 - Hero MotoCorp Ltd HROM.NS:

• HERO MOTOCORP - CO'S EV BRAND VIDA FORAYS INTO NEPAL

Further company coverage: HROM.NS

Recasts story, adds CFO comments in paragraphs 5, 6 and 7

By Mridula Kumar

July 21 (Reuters) - Bajaj Auto BAJA.NS said on Tuesday it expects to launch electric motorcycles in fiscal 2028 and expand production of its Chetak EV scooter as it seeks to strengthen its position in India's competitive two-wheeler market.

The automaker said its electric vehicles, which include scooters and three-wheelers, contributed about 30% of its domestic revenue in the quarter.

The push comes as rivals, including two-wheeler legacy companies TVS Motor TVSM.NS, Hero MotoCorp HROM.NS and newer entrant Ather Energy ATHR.NS, step up competition in the country's fast-growing electric two-wheeler market.

The maker of Pulsar motorcycle also reported a 42.3% rise in first-quarter profit to 29.83 billion rupees ($299.62 million) on strong domestic and overseas demand, while revenue was up 36.3% to 164.62 billion rupees.

Demand in India's auto industry continued to improve after the September tax cut, even as automakers faced higher commodity, energy and freight costs due to disruptions caused by the U.S.-Iran conflict that began in February.

Bajaj Auto's CFO Dinesh Thapar said in a post-earnings call that demand for electric two-wheelers had outpaced supply during the quarter, spurring the company to expand capacity.

Thapar added the firm aims to increase production capacity for its Chetak electric scooter to 60,000 units per month from 50,000 units in the immediate term.

"We've had a situation in Chetak where demand has outpaced supply. And what we are essentially doing now is to try and augment supply in the next couple of months for Chetak as well," he said.

Exports remained a key driver for Bajaj Auto in the first quarter, with overseas volumes rising 52% to 636,005 units, helped by growth in Latin America and a rebound in Africa.

Domestic two-wheeler sales grew 11% in the quarter, compared with industry‑wide growth of 20.3%, according to data from industry body SIAM.

Bajaj's rival, TVS Motors, also reported a jump in quarterly profit on robust demand for higher-margin motorcycles.

($1 = 96.2225 Indian rupees)

(Reporting by Mridula Kumar in Bengaluru; Editing by Nivedita Bhattacharjee, Janane Venkatraman and Vijay Kishore)

(([email protected]))

July 16 (Reuters) - Hero MotoCorp Ltd HROM.NS:

• HERO MOTOCORP - ANNOUNCES ENTRY INTO GERMANY WITH KSR GROUP PARTNERSHIP

• HERO MOTOCORP - TO LAUNCH EURO 5+ PORTFOLIO LED BY XPULSE 200 4V IN GERMANY

Source text: ID:nBSE5pGqkH

Further company coverage: HROM.NS

(([email protected];;))

** Shares of electric scooter maker Ather Energy ATHR.NS jump 6.8% to 1,283 rupees

** Rise comes after two-wheeler maker Hero MotoCorp HROM.NS on Tuesday approved an investment of up to 10 bln rupees ($104.1 mln) in Ather Energy

** HROM held a stake of 29.48% in Ather Energy, as of June 30

** YTD, ATHR up ~70%; shares have risen nearly four-fold since its IPO last year

($1 = 96.1000 Indian rupees)

(Reporting by Vijay Malkar)

(([email protected];))

July 14 (Reuters) - Indian two-wheeler maker Hero MotoCorp HROM.NS on Tuesday approved investment of up to 10 billion rupees ($103.95 million) in EV maker Ather Energy ATHR.NS.

($1 = 96.2000 Indian rupees)

(Reporting by Urvi Dugar in Bengaluru; Editing by Shreya Biswas)

(([email protected]; +91 9558725583;))

By Arpan Chaturvedi and Aditi Shah

NEW DELHI, July 8 (Reuters) - Indian Prime Minister Narendra Modi's government is facing mounting anger over a mandatory 20% ethanol-blended fuel policy, with vehicle owners demanding choice and an opposition politician asking carmakers Maruti Suzuki and Toyota to provide clarity.

The 20% ethanol-blended petrol, called E20, became the only fuel sold at India's 90,000 petrol pumps at the end of last year, triggering a public uproar that however dissipated within weeks.

But it's now again at the centre of controversy after a top government lawyer called E20 an "experiment" in court - and then backtracked on the comments - re-igniting concerns about the fuel affecting the performance of cars and what critics called its hasty rollout.

Hundreds of motorists have posted complaints on X alleging reduced fuel efficiency and increased wear ​and tear of car parts from E20. One of the main complaints is that they have no option to buy unblended petrol if they prefer.

"Auto companies need to stop hiding and tell us clearly ... can your pre-2023 models actually handle E20 fuel?" said X user Aashna. "Stop fooling the public."

While countries like Brazil have paced ethanol blend increases over decades, the U.S. has capped its standard blend at E10 and sells higher blends only as an option for compatible vehicles.

In India, however, E20 fuel replaced E10 nationwide in 2025, well ahead of its 2030 deadline, even though E20-compliant cars only began hitting the roads in 2023.

Late on Tuesday, opposition politician Arvind Kejriwal held a press conference during which he read from the owner's manuals of Maruti and Toyota cars, arguing many old cars were only E10 compliant, tapping into simmering public anger over the policy.

"People are only asking for one thing: please give us an option," said Kejriwal, a former chief minister of the capital Delhi. He has written to Toyota and others demanding clarity on whether their vehicles are E20 compliant, according to letters he posted on X on Wednesday.

Maruti MRTI.NS and Toyota Motor 7203.T did not immediately respond to requests for comment.

GOVERNMENT MINISTER CHALLENGES CRITICISM

Reuters has previously reported that a fuel tank flap and user manual of an Audi Q3 purchased in 2024 in India showed it recommended only E5 and E10 fuel. The fuel tank of a 2024 Mahindra MAHM.NS Scorpio SUV was pasted with a warning sticker: "CAUTION. PETROL/E10 FUEL ONLY".

Mahindra said in a statement that its E20-compliant vehicles could use the fuel, but it did not address what would happen with older cars.

The E20 debate has dominated prime-time television debates and newspaper editorials in recent days. The government says E20 saves imports of crude oil, helps farmers cultivating sugar, the base for ethanol, and lowers emissions.

A lawyer filed a new public interest case at the Supreme Court this week, echoing those concerns. It's not clear if the court will hear the case amid the new public uproar, given it dismissed challenges to the policy last year.

Modi's officials and state-run oil companies have been trying to calm nerves. On Tuesday, Transport Minister Nitin Gadkari said he was challenging anyone to prove that their vehicle was damaged because of using E20.

Tehseen Poonawalla, a New Delhi-based entrepreneur and opposition Congress party supporter, has sought a public conversation with the minister on the issue, saying he will bring affected customers to the gathering.

(Reporting by Arpan Chaturvedi and Aditi Shah; editing by Aditya Kalra and Raju Gopalakrishnan)

(([email protected];))

July 6 (Reuters) - India's retail car sales rose 28.6% in June, with compressed natural gas and other alternative-fuel-powered vehicles accounting for a record 40.35% of total sales, after fuel prices jumped following the war in Iran, the Federation of Automobile Dealers Associations (FADA) said on Monday.

(Reporting by Kashish Tandon in Bengaluru; Editing by Rashmi Aich)

(([email protected]; 8800437922;))

By Dhwani Pandya

MUMBAI, July 4 (Reuters) - Indian government and auto industry officials on Saturday defended the mandatory rollout of petrol blended with 20% ethanol, saying years of testing and service data showed no evidence of widespread vehicle damage, despite public concerns over lower fuel efficiency and engine safety.

The fuel, known as E20, has faced rising criticism on social media in recent days, with motorists questioning whether older vehicles designed for lower ethanol blends could suffer corrosion, wear or reduced performance.

Automakers including Maruti Suzuki MRTI.NS, Hero MotorCorp HROM.NS and Toyota Kirloskar Motor said even older vehicles can run safely on E20. Maruti Suzuki, India's largest carmaker, said it had serviced more than 15 million older cars over the past two years that were not certified for E20 and found no fuel-related problems.

"As a manufacturer, we have tested E10 cars which were prevalent before 2023 on E20 fuel for all parameters and we have not found anything of concern," Rahul Bharti, Maruti Suzuki's senior executive officer for corporate affairs, said at a joint press conference with government officials.

Industry officials acknowledged a minor trade-off: E20 reduces fuel efficiency by about 3-3.5% because of its lower energy content. However, they said the fuel's higher octane rating can help carmakers design future engines with higher compression ratios, which could improve performance, torque, drivability and even fuel efficiency.

Officials also rejected viral claims that E20 had caused engine failures, saying at least one widely shared case was linked to contaminated fuel rather than standard E20.

They added that E20 is the highest ethanol blend currently tested for regular petrol vehicles and said any move to higher blends would need fresh trials.

(Reporting by Dhwani Pandya. Editing by Mark Potter)

(([email protected];))

Hero MotoCorp laid the foundation stone for its second Global Parts Centre in Tirupati, Andhra Pradesh, on July 1, marking the start of a cumulative investment roadmap exceeding Rs 3,200 crores. The new parts facility alone will cost over Rs 750 crores and is designed to serve domestic and international spare parts operations. The investment will also see the company scale annual EV production capacity at its Tirupati plant to 1.2-1.5 million units, reinforcing its commitment to electric mobility. The expansion is expected to create around 4,000 jobs. At the ceremony, attended by Chief Minister N. Chandrababu Naidu and Hero Executive Chairman Pawan Munjal, the company also launched a merit-based scholarship programme for engineering students and announced the deployment of VIDA electric scooters for women police personnel.

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Corrects conversion figure to $336 million, not $374 million, in headline and text

July 1 (Reuters) - India's Hero MotoCorp HROM.NS said on Wednesday it will invest more than 32 billion rupees ($336 million) in the southern state of Andhra Pradesh, including over 7.5 billion rupees for a global parts centre, to expand its manufacturing, logistics and electric mobility footprint.

($1 = 95.2475 Indian rupees)

(Reporting by Nishit Navin and Chandini Monnappa in Bengaluru; Editing by Shailesh Kuber)

(([email protected]; https://www.linkedin.com/in/chandini-monnappa-8a37b013b/;))

By Aditi Shah

NEW DELHI, June 29 (Reuters) - India's capital New Delhi will offer a cash incentive of over$1,000 to car owners willing to scrap their old vehicle for an EV, according to a new policy finalised by the government on Monday in a move aimed at reducing high levels of air pollution.

New Delhi is one of the world's most polluted cities with air quality worsening in the winters when dense, stagnant air traps emissions from crops burning in neighbouring states, vehicle exhaust and construction dust.

Here are some details:

• The local government in New Delhi finalises new electric vehicle policy with an outlay of 150 billion rupees ($1.59 billion) over four years to incentivise buyers of electric two-wheelers, cars and small trucks, as well as setting up EV chargers.

• To offer $1,060 as scrapping incentive to those who trade in cars bought before April 1, 2020 for an EV.

• Those buying a battery EV priced at up to 3 million rupees will be exempt from paying road tax and registration fees, which typically amount to 4%-10% of the car's price.

• Buyers of electric scooters and motorbikes will get a cash incentive of 30,000 rupees in the policy's first year, reducing to 10,000 rupees by year three.

• Delhi government will only register electric two-wheelers from April 1, 2028, forcing buyers to move away from gasoline and other powertrains.

• Will also incentivise setting up 32,000 EV charging points across Delhi.

• Hybrid vehicles have not been included in the policy which is expected to come into effect from July 1.

• Policy will provide a big boost to EV players like Tata Motors TAMO.NS and Mahindra & Mahindra MAHM.NS as well as electric two-wheeler makers TVS Motor TVSM.NS, Bajaj Auto BAJA.NS and Ather Energy.

(Reporting by Aditi Shah; Editing by Susan Fenton)

(([email protected]; +91-11-4954 8023, +91-11-3015 8023; Reuters Messaging: twitter: @aditishahsays))

** India's Hero MotoCorp HROM.NS rises 2.2% at 5,000 rupees

** CLSA says concerns around El Nino and demand are largely priced in, reiterating its "outperform" rating on stock and PT of 5,728 rupees

** Adds, there is no meaningful historical correlation between rainfall and the co's domestic two-wheeler volumes, countering fears of weather-led weakness

** CLSA expects about 5% volume CAGR over FY27-28 and EBITDA margins near 14%, aided by GST cuts and upcoming scooter launches

** Stock's current valuation implies zero growth and lower margins and any weakness driven by El Niño concerns could offer a buying opportunity - CLSA

** Avg rating of 33 analysts on HROM at "buy"; median PT is 5,963.50 rupees - LSEG-compiled data

** YTD, stock down 13.3% vs Nifty auto index's .NIFTYAUTO 4.4% drop

(Reporting by Kashish Tandon in Bengaluru)

(([email protected]))

By Rajendra Jadhav

MUMBAI, June 22 (Reuters) - India, once the world's second-largest sugar exporter, is expected to have little surplus for export for at least three more seasons as El Nino weather conditions threaten cane production and rising ethanol demand squeezes supply.

The twin pressures are poised to keep millions of tons of sugar off the world market, tightening supplies for importers across Asia, Africa and the Middle East and supporting benchmark prices in London LSUc1 and New York SBc1.

A prolonged absence by India from export markets would remove a key balancing supplier as weather risks and biofuel policies reshape global sugar trade flows.

Interviews with over a dozen trade and industry executives, government sources and farmers show that lower cane availability and rising ethanol demand will leave little for exports for several years, prompting dealers at global houses to warn head offices of shrinking opportunities in India, trade sources said.

GOVERNMENT EXPECTED TO CURB EXPORTS SEASON BY SEASON

Sugar is politically sensitive in global top consumer India, where sweets are highly popular and many poorer households rely on it as a cheap source of calories.

"Supplies are already tight in India, and now El Nino is emerging as a major risk," said Rahil Shaikh, managing director of MEIR Commodities India, a Mumbai-based trader.

"If rains disappoint as forecast, cane planting will suffer and this will keep India out of the sugar export market for at least three years, while Brazil and Thailand could also see their crops affected by El Nino."

Top exporter Brazil is also diverting more cane for ethanol. Thailand, another major exporter, could also have its output hit by El Nino-curtailed rains.

India exported 6.8 million metric tons of sugar annually on average in the five seasons through 2022-23 - about 10% of global shipments. This year, after exporting around 800,000 tons, India banned shipments until September 30, the end of the season.

Mills need government approval to export sugar, and New Delhi is likely to withhold export permissions each season rather than announce a multiyear ban, government and industry sources with knowledge of the matter said.

Last month, a top minister in Prime Minister Narendra Modi's government told mills to prioritise domestic availability and not lobby for exports, the sources said on condition of anonymity because the discussions were confidential.

India's Department of Food, Civil Supplies and Consumer Affairs did not respond to a request for comment on the prospects for exports or its restrictions on exports.

EL NINO CLOUDS CANE OUTLOOK

El Nino conditions are forecast to weaken India's monsoon rains this year to their lowest in 11 years.

Below-average rains, coupled with June precipitation running more than 40% below average, have prompted farmers to delay planting.

"I had planned to plant long-duration cane varieties in June, but since everyone is talking about lower rains, I decided to put that plan on hold," said Sambhaji Patil, who decided to grow soybeans instead on 2 acres (0.8 hectares) in Sangli district of the western state of Maharashtra.

Nursery owner Suraj Chavan said demand for cane seedlings had fallen sharply in recent weeks.

Farmers are likely to switch to less water-intensive crops, which could drag down cane acreage and availability in the 2027-28 season, said Prakash Naiknavare, managing director of the National Federation of Cooperative Sugar Factories.

Local authorities have started promoting alternative crops such as soybeans, pigeon peas and other pulse varieties in most sugar-growing regions and have restricted water supplies for irrigation.

India was expected to produce 30.95 million tons of sugar this season, but output is now forecast at 27.9 million tons, below annual consumption of about 28.5 million tons, according to industry estimates.

As a result, inventories with mills at the start of the season on October 1 are likely to fall to about 3.5 million tons, the lowest in more than three decades, said MEIR's Shaikh.

At the same time, India is pushing for higher ethanol blending with petrol and wider adoption of flex-fuel vehicles to cut dependence on expensive imported crude.

Ethanol demand could more than double to some 30 billion litres (8 billion gallons) by 2039-40 from the current 12 billion to 13 billion litres as higher ethanol blending in petrol and adoption of flex-fuel vehicles gather pace, industry estimates suggest.

SUGAR IMPORTS POSSIBLE FOR FIRST TIME IN DECADE

"The trajectory for ethanol demand is incredibly strong," said Samir Somaiya, chairman and managing director of Godavari Biorefineries GODA.NS. "The next phase of demand evolution will be driven by the commercial rollout of flex-fuel vehicles."

Top Indian carmaker Maruti Suzuki MRTI.NS this month launched the nation's first flex-fuel passenger vehicle, while Hero MotoCorp HROM.NS launched a flex-fuel motorcycle.

India this month eliminated the production tax on petrol blended with higher levels of ethanol and launched fuel with up to 85% ethanol to support adoption of flex-fuel vehicles.

Future government policies will likely support ethanol production over sugar exports, said B.B. Thombare, managing director of Natural Sugar in Maharashtra state.

India could eventually be forced to import sugar if El Nino-related weather disruptions sharply cut cane cultivation area and output, the government sources and industry officials said, with traders warning that supplies could tighten further in the 2027-28 season.

India last imported sugar in 2016-17 and 2017-18 after an El Nino-induced drought in 2015 cut cane planting. In 2009 and 2010, India's heavy purchases helped push global prices to nearly three times their previous levels.

"Because of a severe El Nino and rising demand for ethanol, not only would exports from India be wiped out, but imports into India in the coming years could also become necessary," said Mohan Narang, director of K.S. Commodities, a trading house in New Delhi.

(Reporting by Rajendra Jadhav; Editing by Mayank Bhardwaj, Tony Munroe and William Mallard)

(([email protected]; Reuters Messaging: x.com/Rajendra1857))

June 15 (Reuters) -

• INDIA AUTO INDUSTRY BODY SIAM - INDIA'S MAY TOTAL DOMESTIC PASSENGER VEHICLE SALES 4,38,854 UNITS

• SIAM - INDIA'S MAY 3-WHEELER SALES 70,720 UNITS

• SIAM - INDIA'S MAY 2-WHEELER SALES 19,02,209 UNITS

• SIAM - LOWER BASE EFFECT OF PREVIOUS MAY, DEMAND CREATED DUE TO REDUCED GST RATES GETTING REFLECTED IN HIGHER OFF-TAKE THIS MONTH

Further company coverage: ASOK.NS

(([email protected];;))

** Shares of Hero MotoCorp HROM.NS rise as much as 2.7% to 4,966 rupees, last up 1.4%; India's benchmark Nifty 50 index .NSEI up 0.9%

** HROM's CFO Vivek Anand, during fireside chat as part of JP Morgan India Auto CXO series, said margins could be weak in the near term but gradual price hikes and benefits from govt's production linked incentive in EVs should aid improvement going forward

** While HROM stock is attractively valued, investor concerns are centered on continued market-share loss - note

** "Market shift away from motorcycles should continue to be a headwind, but HROM did manage to offset some of this through gains in scooters and EVs in FY26," JP Morgan says

** JP Morgan says co's market share in scooters and EVs would continue to rise in the medium term

** HROM down ~15% YTD vs ~11% fall in NSEI

(Reporting by Vijay Malkar)

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June 5 (Reuters) - India will start rolling out gasoline blended with 85% ethanol (E85) that will be about 20 rupees per litre cheaper than regular E20 fuel, Oil Minister Hardeep Singh Puri said on Friday.

Indian automakers have started launching flex-fuel vehicles that are compatible with the higher ethanol variant.

• E85 fuel will be cheaper than E20 due to its lower calorific value, Puri said. E20 sells for about 102 rupees ($1.07) per litre in New Delhi.

• India plans to roll out E85 at 50 to 100 fuel stations in 2026, scaling up to around 5,000 outlets by 2027, he added.

• E85 fuel is intended for flex-fuel vehicles, which can operate on gasoline blended with high amounts of ethanol.

• Puri said automakers and automobile industry associations are on board for the launch.

• Automakers such as Maruti Suzuki MRTI.NS and Hero MotoCorp HROM.NS have rolled out flex-fuel compatible variants of their popular WagonR and Splendor models.

• E85 fuel will help cut pollution and reduce the country's reliance on imported oil, Puri said.

• India, the world's third-largest oil importer and consumer, currently sells gasoline blended with 20% ethanol.

• Earlier in April, India proposed allowing higher ethanol blends such as E85 and E100 under vehicle rules.

• The move followed its 2025 achievement of 20% ethanol blending and aims to further reduce reliance on fuel imports.

• The Indian government faced a backlash from motorists after the nationwide rollout, on fears that it may affect the performance of vehicles.

• Separately, India's oil secretary Neeraj Mittal on Friday said the government is working on a programme to boost compressed biogas production.

($1 = 94.9450 Indian rupees)

(Reporting by Bipasha Dey in Bengaluru and Nidhi Verma in New Delhi; Editing by Sahal Muhammed)

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** Shares of Hero MotoCorp HROM.NS rise 1.7% to 4,927 rupees

** Two-wheeler maker launches its first flex fuel motorcycles, Splendor+ and HF Deluxe

** The motorcycles are compatible with ethanol-blended fuels ranging from E20 to E85

** HROM down ~15% YTD

(Reporting by Vijay Malkar)

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June 3 (Reuters) - Hero MotoCorp Ltd HROM.NS:

• HERO MOTOCORP - UNVEILS ITS FIRST FLEX FUEL MOTORCYCLES

• HERO MOTOCORP - NEW MOTORCYCLES COMPATIBLE WITH ETHANOL FUELS FROM E20 TO E85

Source text: ID:nBSE4tZ8Tn

Further company coverage: HROM.NS

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Adds details from paragraph 3 onwards

May 22 (Reuters) - Indian automaker Eicher Motors EICH.NS beat quarterly profit estimates on Friday, as last year's tax cuts boosted demand for its high-margin 350-cc motorcycles.

The Royal Enfield Himalayan 450 adventure bike manufacturer posted a near 12% rise in consolidated net profit to 15.2 billion rupees ($158.85 million) for the March quarter from a year ago.

Analysts had estimated a quarterly profit of 14.87 billion rupees, according to data compiled by LSEG.

India's top premium motorcycle maker was the biggest beneficiary of the September tax cuts that lowered duties from 28% to 18% on the 350-cc category, which occupies a large chunk of the company's portfolio.

Its total revenue jumped 16% to 60.80 billion rupees, beating analysts' average estimate of 59.98 billion rupees.

After posting higher quarterly profits, peers Bajaj Auto BAJA.NS, TVS Motor TVSM.NS and Hero MotoCorp HROM.NS are relying on a premium product mix, export expansion and cost controls to cushion higher shipping expenses and commodity prices stemming from the closure of the Strait of Hormuz.

(Reporting by Kashish Tandon and Urvi Dugar in Bengaluru; Editing by Harikrishnan Nair and Shreya Biswas)

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