Swedish commercial vehicles major Volvo on said it plans to use India for exporting its buses manufactured in the country to developed markets in Europe.
“We plan to use India for exporting our buses manufactured in India to developed markets in Europe,” Volvo Buses President Hakan Agnevall told reporters here.
The first bus made in the Indian facility will be unveiled later this year in Europe, he added.
Agnevall said that among leading players in the global bus market “the company’s Asia Leverage strategy aims to utilise its manufacturing presence in India and China to cater to demands also from other global markets.”
The inter-city coaches and city buses, at present, from the Indian facility are being exported to countries in South Asia and South Africa, he informed.
“We are confident that going forward we will leverage the skills and strengths in India to meet the European market requirements,” he added.
The other aspect of the Asia Leverage programme is to ensure that by catering to exports, the India facility will be able to face the cyclical domestic market demands, he said, adding, “the company will gradually scale up exports from India to cater to more and more markets in future.”
Volvo Buses Senior Vice President (Business Region International) Akash Passey said the company is actively exploring opportunities to supply to new markets and in the long-term aims to enhance the role of India in its export plans.
Volvo Buses’ plans coincide with central government’s efforts to promote manufacturing through the ‘Make in India’ initiative, Passey said.
“This is a welcome step that will encourage companies to use local competence and expertise to cater to both domestic and export markets,” he added.
To strengthen various manufacturing procedures, the company has invested an additional Rs 400 crore since 2011 to strengthen various manufacturing procedures, Passey said.
Presently, Volvo’s manufacturing facility in Hoskote has a production capacity of 1,500 buses, he added.
News: Times of India