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VE Commercial Vehicles is seeking to build on its success in the school-bus segment to grow its market share. With its new range of buses and strong momentum in the segment,
VECV, an equal joint venture of Eicher Motors and Volvo, is hopeful of boosting its sales and share in the coming months.
In 2015-16, total school bus volumes were about 21,674 units and it accounted for about 55 per cent of the LMD (light and medium duty) bus industry. The school-bus segment has been growing rapidly for the last few years.
Most of the school buses come in the LMD segment as they offer higher seating capacities, ease of manoeuvrability, reduced travel time, and lower acquisition and maintenance costs. In 2015-16, total LMD bus volumes were about 39,575 units and Eicher had a market share over 22 per cent.
“These buses have become a necessary requirement for schools now and we see the potential going up in the next couple of years.
“We have a market share of about 29 per cent in the school-bus segment,” Vinod Aggarwal, CEO, VECV, told BusinessLine in an emailed interaction.
Bus codeThe introduction of new bus body code that stipulates stringent safety and quality features has led to companies introducing enhanced features and superior aesthetics in school buses, a key segment in the bus market. Speed-limiting devices and anti-lock braking systems have become necessary.
“With increased traffic and congested road conditions, school buses were not just getting out-dated but also unsafe. There was a huge gap between the consumer expectations and the market offerings. Hence, we decided to fill the gap and offer extra safety features,” Aggarwal said.
“Although the code is yet to be implemented, Eicher is already complying with the norms to ensure the maximum safety and comfort in our buses.”
The company is also planning to develop AMT (Automated Manual Transmission) and alternate fuel school buses by 2017. It is also preparing to soon introduce Eicher Hybrid Skyline Pro School Bus.
The new bus will come with a host of safety features such as vehicle tracking, geo-fencing, camera with recording, student riding status available to parents and fire detection/suppression system.
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