Scania opens first bus manufacturing facility in India

Invests INR 300 Crore in manufacturing facilities in India

Keeping its commitment to expand operations in India,Scania Commercial Vehicles India Private Limited today announced the inauguration of its bus manufacturing facility in Narasapura near Bangalore. Honourable Minister of Road Transport and Highways of India, Shri.NitinGadkari,will officially inaugurate the plant on March 31, 2015.The bus manufacturing plant’s current capacity is about 1,000 units per year and will employ 300 people in its first year.

Mr. Martin Lundstedt, President and CEO, ScaniaCV, Mr. Anders Grundströmer,Managing Director, Scania India and Senior Vice President, Scania Group and Mr. Klas Dahlberg, Senior Vice President Buses & Coaches, Scania Group commemorated the announcement of the manufacturing facility.
 
Anders Grundströmer, Managing Director, Scania India and
Senior Vice President, Scania Group and
 Martin Lundstedt, President and CEO, Scania Global
Mr. Martin Lundstedt, President and CEO, ScaniaCV said: “Scania’s bus manufacturing facility in Naraspura, which we inaugurate today, is yet another milestone in our strategic plans for India. The vision for Narasupura is clear – it is a world class facility serving both the Indian market and becoming a hub for exports to other markets in Asia. Scania has and remains committed to bringing global technology and manufacturing practices to the countries in which it operates.Here in India, we will always strive to create a win - win situation for our partners. The goal is to draw on local talent and competence and combine it with global experience - making all our facilities part of our global network and in turn creating tremendous value across our global value chain. We see Naraspura as an important addition to our global operations and are committed to making it a success.” MrLundstedtadded “We also know that Naraspura’s success so far and in the future will be enabled by joint efforts of all stakeholders - local suppliers, workforce, state and local governments and we value this partnership “
 
In October 2013, Scania inaugurated its truck manufacturing facility in Narasapura. Scaniahas collectively invested aroundRs. 300 crore in their truck and bus manufacturing facility. The current yearly capacity of the manufacturing plant is 2,500 trucks and 1,000 buses. The bus plant will also serve as an export hub for regions such asAsia,Middle East and Africa Over the nextfive years, Scania aims to double its production capacity by 2,500 units of busesand 5000 units of trucks and recruit about 800 employees by the end of 2017.

Mr. Anders Grundströmer, Managing Director, Scania India and Senior Vice President, Scania Group said: “Scania has been the frontrunner in promoting sustainable transport solutions globally. We entered India with a vision to provide sustainable transport solutions to the country and formulated various channels for promoting it. The establishment of our bus manufacturing facility plays a major role in realizingthis vision for India. The facility will accommodate a state-of-the-art bio-gas unit, which will help in producing alternative fuels locally. With this bus plant we are looking at locally assembling buses and coaches in India, and stay true to the vision of Make in India.”

The manufacturing facility in India is Scania’sambitious venture and a strategic move todrive their global vision to new heights.Scania’s commitment of setting up a large manufacturing establishment is in sync with India’s dynamic vision of making the country a new destinationfor manufacturing. “The Make in India campaign will facilitate the manufacturing sectors to grow rapidly and Scania will be a true ambassador of this campaign as we will enable large-scale manufacturing activities in India and strengthen employment” Mr.Grundströmersaid.

Mr. Klas Dahlberg, Senior Vice President Buses & Coaches, Scania Group, said: “The all new bus manufacturing facility in India is a great leap towards realizingScania’s global vision. This facility will be used to its full capacity and we are looking at exporting the buses and coaches tothe neighboring countries of India. The geographical position of India will act in advantage to Scania in connecting with Far East Asian countries, Africa and Middle Eastern countries. India’s new visionfavours international players to set up manufacturing facilities here and we will accomplish our vision in India as well as globally.”

Scania’spromise of delivering sustainable transport solutions in India takes a major step forward with the bus manufacturing plant. The plant will house a bio-gas production unit and will locally assemble ethanol buses. The company will also broaden the scope for manufacturing more products powered by alternative fuels, which will catalysesustainable development in India to a whole new level.

Scania India
Scania has been represented in the Indian market since 2007. In 2011, Scania established Scania Commercial Vehicles India Pvt. Ltd. with an ambition to strengthen its presence through sales to additional segments of the Indian commercial vehicle market and to widen its offer of sustainable solutions to the Indian market. Since then Scania has launched a range of on-road haulage truck models specially adapted for the Indian market - the R 580 6x4, the G 460 6x4 and the G 410 6x2 and also the off-road P 410 8x4 coal and mining tipper. Scania has a successful partnership with Larsen & Toubro (L&T) in the mining segment.

In the beginning of 2013 Scania launched a newbus range,TheScaniaMetrolink, 12m, 13.7m, 14.5m  to meet the growing need of safer, more comfortable connected solutions for the Indian market. The new bus range is purpose-designed for luxury intercity or charter travels.

Scania has world class experience in mobility solutions run on biofuels and Scania brings this unique offer to India.Scania handed over its first ethanol run bus to the city of Nagpur. Public transport on ethanol buses is a cost effective way of reducing several of the city's environmental problems. The solutions developed create the necessary preconditions for both more attractive forms of travel and also better living conditions in city centers, without requiring major investments in new infrastructure. With this ethanol bus we also introduce an engine complying with Bharat stage 5+, which is a huge step to minimize emissions further. Biofuel is the sustainable solution for urban public transport here and now.

The company inaugurated its first Industrial Facility in Narasapura, Bangalore, in October, 2013. With an investment of Rs. 300 crore, this facility serves as the centre of the company’s Industrial and commercial operations in the country. Through its 2 facilities of Truck and Bus manufacturingScania  expands its ambition in offering state of the art sustainable mobility solutions. The service workshop and a central parts warehouse, is housed at the same site.

Scania ambitions to sell 2500 trucks and 1000 buses per year in the Indian market,by 2017 we will employ 800 and more people at this facility.

Scania also launched the company’s engines range in India. Scania has been establishing a service network and service vans. Scania has anetwork of dealers across the south and western regions, as well as the site workshops in the mining operations of India covering its business areas to support the customers with the best parts and service availability.

In India, Scania buses & trucks have been specially designed to meet local conditions and customer requirements, and are backed by world class service network and dealership in the country. Scania has also gained a strong acceptance with demanding customers across the country for both trucks and buses and is working on delivering high quality transportation solutions and services for India.

Sustainability is at the core of Scania’s offer from a social, environmental and economic advantage while strengthening its offer of transport solutions to the Indian market.
For other press material and pictures, please visit www.scania.in/media.

For further media information, please contact:

GayathriChandrashekar/AsadGhalib Pasha
Mobile: 91 99800 21787/91 9886646959


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