The Hindu : Business : Volvo India to scale up bus production

Online edition of India's National Newspaper
Tuesday, Oct 14, 2008
ePaper | Mobile/PDA Version

Business

Business

Volvo India to scale up bus production

Special Correspondent

The company launched its first multiaxle bus in Bangalore on Monday

— PHOTO: G. R. N. SOMASHEKAR

MULTIAXLE BUS: Rune Lundberg (right), Senior Vice-President, Volvo Bus Corporation, and Akash Passey, Managing Director, Volvo Buses India, at the launch of Volvo 9400 6x2 inter-city coach in Bangalore on Monday.

BANGALORE: Volvo India plans to scale up its bus production by almost 25 per cent to 550 units by next year, according to Managing Director Akash Passey. Besides “surging demand” in the domestic market, the Swedish manufacturer of heavy vehicles and earthmoving equipment wants to step up exports, especially to South Africa.

The Bangalore plant now has a capacity for 1,000 buses and trucks annually.

The company on Monday launched its first multiaxle bus — the 9400 6x2 — in India, Compared to the earlier model, it has a larger wheel base, space for more seats and ten cubic metre luggage space.

The composite bus would cost around Rs. 85 lakh, Mr. Passey said. Orders had already come from transport operators, most of them running older Volvos, Mr. Passey added.

“The older Volvo buses are also on city routes in Bangalore, Chennai, Pune and Kochi; passengers prefer them to long commutes in cars, according to feedback”, he said. Bangalore has nearly 300 Volvo buses on city routes.

Senior Vice President Rune Lundberg said India and China together accounted for 50 per cent of the total market for luxury buses.

“We see a surge in demand driven by increase in fuel prices, low cost airlines hiking fares and the comfort level offered in our buses, for inter-city travellers. Within cities, congestion on roads, environmental concerns and fuel conservation are increasing the demand for emission controlled and fuel efficient buses,” Mr. Lunderg said.

Printer friendly page
Send this article to Friends by E-Mail

Business

News Update

Stories in this Section