Bangalore, Jan 30 (UNI) Volvo Bus Corporation (VBC), a subsidiary of the Volvo group, one of the world's leading manufacturers of trucks buses and construction equipment, will develop India as a platform to deliver its products and services worldwide, its president Mr Hakan Karlson said here today.
Speaking to newspersons, he said that VBC had floated Volvo Bus Body Technologies India Pvt Ltd, a joint venture with an Indian company, Jaico Automobiles and had set up a world-class body building plant at Hoskote, near Bangalore with an investment of Rs 80 crores.
He said that the plant which would be inaugurated tomorrow, was one of the most modern plants in South Asia with a manufacturing capacity of 1000 buses annually.
He said that Volvoenjoys over 20 per cent of market share in the luxury bus segment in the country having sold over 1600 buses during last five years. "India is a big market for luxury buses and has a potential of over 25000 buses, it is increasing annually" he said.
Volvo has been driving quality standards in the Indian bus industry and with its new plant, VBT will have the flexibility to further enhance its production capability, quality and product development to meet evolving customer needs. " The company has identified its newly set up company VBT in Bangalore to fuel its growth across the region by supplying fully built buses for Asian and African markets" he said.
He said that the Volvo's equity share in VBT, a joint venture with the Indian company, Jaico Automobiles would be of 70 per cent.
while rest will be brought by its partner which is the subsidiary of theAzad group, he said. " The Volvo will bring a new standard in body building industry in its new plant which will be commissioned tomorrow", he said.
Volvo will also roll out its new version Volvo 9400 inter city buses in the first quarter of 2008 for the domestic and export markets.
Elaborating on the new plant Mr Karlson said that it was set over 11 acres adjacent to the current Volvo facility and would produce 400 units this year. The plant will realise its full capacity of 1000 units and will provide employment to 1000 people by 2010.
"The state-of-the-art facility boasts of some of the best manufacturing technologies and follows the Volvo bus production principles" he said.
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