Piaggio first licensed the production of Vespa scooters in India to Bajaj Auto in the 1960s. In 1971, Piaggio’s license was not renewed as a part of Indira Gandhi’s privatization programs. After the collaboration ended, Bajaj continued to produce scooters based on the Vespa design, namely the Chetak.

Another Vespa partner in India was that of LML Motors. Beginning as a joint-venture with Piaggio in 1983, LML, in addition to being a large parts supplier for Piaggio, produced the P-Series scooters for the Indian market. In 1999, after protracted dispute with Piaggio, LML bought back Piaggio’s stake in the company and the partnership ceased. LML continues to produce (and also exports) the P-Series variant known as the Stella in the U.S. market and by other names in different markets.

In the 2012 Auto Expo held in New Delhi, the iconic Vespa re-entered the Indian Market. Piaggio unveiled its range of scooters at the Expo. This became the first such venture of Piaggio in India without a local partner.

source: http://en.wikipedia.org/wiki/Vespa