According to Scania, e-auctioning of coal blocks will lead to increased demand for trucks in the coming months and the company will be ready to take advantage of this opportunity through its Karnataka-based plant, which will be fully operational in March 2015.
We have been fully operational with the trucks already one year now and we are now starting up our bus factory
Anders Grundstromer
MD
Scania India
Below is the transcript of Anders Grundstromer's interview with CNBC-TV18's Rituparna Bhuyan.
Q: Your take…
A: We think the market has bottomed out and that we can expect a growing commercial vehicle market in India in the coming years.
Q: When do you expect your production facility to be fully operational, can you share some timelines with us?
A: We have been fully operational with the trucks already one year now and we are now starting up our bus factory. We will have the inauguration on March 13 next year and then you can see a full fledged manufacturing unit.
We can produce about 2,500 trucks and 1,000 buses and we already now see that we will very soon come to the maximum capacity which means that we have to go to double shift and in the later stage also extend these factories.
Q: If you see the demand for both your trucks and buses increasing is there a possibility that in the future you might need to scale up your production facility or in fact think of having a second or third production facility in India? Is Scania open for such a strategy as far as production is concerned?
A: We make three year strategy plans with an outlook to 2020 and if we are correct we will definitely to do more investments.
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