The joint venture between the Vectra Group and the Russian truck maker Kamaz Inc expects to get a 10 per cent share of the heavy duty truck market in India and plans to export at least 20 per cent of its production to other Asian countries and Africa.
The Kamaz Inc Director General, Mr S.A. Kogogin, told a news conference on Tuesday the joint venture, Kamaz Vectra Motors Ltd, will invest about $13 million in the venture to produce about 5,000 trucks between two years and three years, which will be later increased to about 15,000 trucks. Kamaz Inc holds 51 per cent in the venture while the rest is with the Vectra Group.
Vectra Group’s Chairman, Mr R.K. Rishi, said the joint venture’s products will be priced extremely competitively. “We believe that the Indian customers do not have access to the right product and we will address that issue,” he said.
An official with Kamaz Inc said the joint venture will make products such as 20 tonne tipper (8 x 4) which are suited to the Indian market. India will be the hub for the Asian as well as African markets and about 20 per cent of the production will be for the export market. Kamaz makes about 50,000 units every year and exports its trucks to 27 countries.
According to a media presentation, Kamaz Inc is one of the largest manufacturers of trucks in Europe and a leader in the cargo vehicle market in Russia and the CIS countries.
It makes a range of cargo vehicles, including tractors, side-board trucks and tippers. The vehicles are equipped with different wheel arrangements with gross weights up to 120 tonnes.
Source: The Hindu Businessline