Eicher to set up manufacturing plant near Indore

Instrumental in pioneering and producing the first “Safe School Bus” in India, Eicher’s 25 year stint in India has seen the truck maker grow in leaps and bounds, with a product portfolio that today ranges from 5t to 40t GVW trucks and 21 to 69 seater buses.

Since tying up with Swedish bus giant Volvo in 2008 to form the VE Commercial vehicles limited (Volvo Group and Eicher Motors JV), things have only gotten better for the indigenous truck maker and in an effort to further expand its operations in the country, Eicher recently conducted a ground breaking ceremony for its upcoming state-of-the art bus manufacturing plant in Madhya Pradesh.

Giving further perspective was Mr. Vinod Aggarwal, CEO, VE Commercial Vehicles limited who said, “Eicher has continued to garner impressive numbers in the Indian bus market. The year 2011 saw us improve our market share from 7 to 10% and also gain significant entry into State transport undertaking segments. The upcoming bus manufacturing plant would provide the necessary impetus to achieve our next trajectory of growth with best in class buses”

The new multi model bus manufacturing plant would produce Light, Medium and Heavy duty buses including the hugely successful rear engine semi floor buses, which will cater to schools, staff and other intercity transportation requirements.

Located at Dhar near Indore the plant is being set up with an investment of Rs 125 Crores in the first phase and should be up and running by the 2nd quarter of 2013. The plant will have a capacity to produce 10,000 buses when fully operational.

Speaking on the occasion of the plant’s inauguration, Mr. Siddhartha Lal, MD, VE Commercial Vehicles Limited said, “The Indian Bus market is likely to cross 100,000 units by 2015 and demand for more contemporary, comfortable buses is on the rise. With this plant, VECV is planning new range of buses which would be contemporary on technology, aesthetics and finish serving the customer needs both in the expanding domestic and exports markets”

The plant would have robotic processes for bus painting and will be highly mechanized to ensure high quality consistency & productivity. An in-house training centre for the Blue collar workmen has been facilitated to ensure an on-going robust quality system from within the production plant.