Tata Motors is looking to make an investment in its bus manufacturing division and strengthen the company's presence in the bus market as well.
Tata Motors will invest around INR 30 to 50 crores in its bus body building plant for the company's future demand.
The company at the moment does not have any product in the multi axle segment, where Volvo is a big player. So, the company is looking to enter this segment with a multi axle vehicle.
The company is planning to launch a 14 metre long coach during the first quarter of the next fiscal year. Tata Motors will aim at rolling out 600 to 700 units per year.
The Tata Marcopolo Motors plant in Dharwad, Karnataka is a joint venture (51:49) between Tata Motors and Marcopolo, a Brazilian company, that builds coaches in India.
The company will invest around INR 50 crores over the next few years to come up with new products like the multi axle vehicles. The JV has invested around INR 300 crore till now to increase production capacity to 15,000 units per year.
Tata Motors is also looking at the potential in the demand of fully built buses due to the introduction of bus body code by the government from the 1st of April. This could result in other coachbuilders to run out of business.