SME Times News Bureau | 12 May, 2010
Volvo Construction Equipment is investing an additional Rs.90 crore (Rs.900 million) to produce medium-sized excavators, the Swedish transport major's Indian subsidiary said late Tuesday.
"As part of our objective to support customers in the growing BRIC (Brazil, Russia, India and China) markets, we are investing an additional Rs.900 million at our Bangalore plant," Volvo India Ltd managing director Mrityunjaya Singh said in a statement in Bangalore.
The road machinery will be customised for the Indian market keeping in mind the diverse requirements of the burgeoning construction and infrastructure sectors.
"The fresh investment will help us to expand our manufacturing footprint by adding indigenously built excavators. Our global technology leadership and a strong vendor base will enhance our market position," Singh noted.
The first batch of machines is expected to roll out in the next 20 months.
"Expansion of the installed production capacity will fulfil the needs customers in the growing Indian market," Volvo Asia president Eberhard Wedekind said.
Volvo set up the construction equipment subsidiary in India over a decade ago and commenced production in 2008 after acquiring Ingersoll Rand's road machinery division in 2008 for an unspecified amount.
