Volvo Buses India are in plan to step to take a step towards the next phase of growth. This phase of growth will introduce locally made hybrid buses in the country and ramping up its export operations to include European markets.
According to the sources, Akash Passey, senior vice president of Volvo buses stated that a hybrid bus will return savings of 35-40% and the additional purchase cost can be recovered in 3-5 years. Since the Indian government is offering incentives under National Electric Mobility Mission Plan 2020 (NEMMP) for hybrid and electric vehicles, Volvo isis in plan to produce them locally.Mr. Passey also added that the company has been witnessing high demand for hybrid buses from its Indian customers. The company is currently studying the possibility of venturing into pre-owned bus business since it has nearly 80% market share in the premium intercity segment.
The pure electric bus have started taking trials in Sweden. Volvo Buses India has booked a production capacity of 1,500 buses at its plant near Bangalore. The sales growth of medium and heavy commercial passenger noticed in April-July saw an increase of 26% in India while exports rose by 17%. Volvo is in plan to raise the growth rate by encouraging Public Private Partnership (PPP)) in the Indian transportation sector. Europe and neighboring countries and South Africa have been added to the to export market lists.