Mahindra Navistar said on Thursday that it plans to launch a range of buses on a new purpose-built platform by 2011-12. The company aims to produce both diesel and CNG variants for the 16-tonne category.

Mr Rakesh Kalra, Managing Director, Mahindra Navistar Automotives, said that the range would include both inter and intra-city buses, as well as low-floor and semi low-floor variants.

“Out of the entire allocation of Rs 800-900 crore in the joint venture, we are investing 20 per cent on new products. This includes buses, besides new commercial vehicles, in the intermediate 7.5-25 tonne range. The buses will be built at the Chakan plant and will also be exported. For trucks, we're looking at right hand drive export markets, with similar emission norms, like South Africa,” he said.

The company is also working on new 4.8-litre (also for buses) and 3-litre engines for its future products. These will mostly go into the light (below 7.5 tonne) and intermediate commercial vehicle range which are on the anvil.

At present, it uses a 7.2-litre diesel engine for its 25-40 tonne medium and heavy commercial vehicle (M&HCV) range.

Mahindra Navistar is targeting sales of 50,000 units a year across its range over the next 3-4 years. At present it has two products, the 25- and 31-tonne trucks. On Thursday, it added two more in the M&HCV category, a 25-tonne tipper and a 40-tonne tractor at Rs 23.36 lakh and Rs 19.3 lakh each.

Sales network

The company is also expanding its sales network rapidly and expects to have 100 solo dealers in two years' time.

“More than 200 existing Mahindra auto and tractor dealers have also set up service shops for our truck range. The current 58 LCV dealers of M&M will continue to sell LCVs from the Mahindra Navistar brand, while many of them have set up new separate facilities for us. We have also contracted 430 roadside mechanics for repair on highways and this will go up to 900 by the end of this year,” said Mr Nalin Mehta, COO, Mahindra Navistar.

The company said that it has sold 300 units of its two heavy trucks thus far, though sales have been held back due to the limited network.

It hopes that high fuel efficiency and performance would drive sales. The Chakan plant can produce 50,000 units annually on a three shift basis.

roudra.b@thehindu.co.in

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