Commercial vehicle maker Asia MotorWorks (AMW) aims to grow its truck sales five-fold to
50,000 units per annum in next 3-4 years. The Gujarat-based company is getting ready to sell trucks in overseas markets such as Africa and West Asia by March next year. The firm also plans to debut in the luxury bus segment by the year-end to take on Volvo and Tata Motors.
“We are now getting lot of sales traction with the acceptance of our products and their value propositions becoming fairly demonstrative. We are hoping that we will continue to grow 50 to 60 per cent every year to notch sales of 50,000 trucks per annum. It would take three to four years to do so,” Anirudh Bhuwalka, MD and CEO, Asia MotorWorks told Financial Chronicle.
AMW, currently the third largest player in heavy trucks segment, aims to sell 10,000 trucks in 2011-12, Bhuwalka added. This would represent a growth of over 65 per cent compared with about 6,700 trucks sold last year. The sales boost came from 14 new truck models launched by the company last financial year mainly in 16 to 25 tonne mass truck segment.
Largely the top two players — Tata Motors and Ashok Leyland dominate the Indian truck market with a combined market share of over 70 per cent. Annually, 250,000 units are sold by all players, according to Bhuwalka. AMW that came into operation in 2005 backed by Shashi Ruia promoted-Essar Group, has sold 25,000 trucks since inception. The firm, currently, has a market share of five per cent in the heavy commercial vehicles segment.
“Indian truck market is the only market in the world with two players dominating. Globally, there is space for four to five companies in every market. We feel that there is room for more players here,” Bhuwalka said. The firm is also looking to export its models that it claims are built in accordance with global standards.
“We will look to export our trucks to African and the Middle Eastern markets at the end of the next financial year,” Bhuwalka added. The company is also preparing to enter luxury buses with its ‘luxury liner’ range of buses by 2012-end positioned between competitors Tata Motors and Volvo buses in the Rs 66 to 80 lakh price range.
“We are now getting lot of sales traction with the acceptance of our products and their value propositions becoming fairly demonstrative. We are hoping that we will continue to grow 50 to 60 per cent every year to notch sales of 50,000 trucks per annum. It would take three to four years to do so,” Anirudh Bhuwalka, MD and CEO, Asia MotorWorks told Financial Chronicle.
AMW, currently the third largest player in heavy trucks segment, aims to sell 10,000 trucks in 2011-12, Bhuwalka added. This would represent a growth of over 65 per cent compared with about 6,700 trucks sold last year. The sales boost came from 14 new truck models launched by the company last financial year mainly in 16 to 25 tonne mass truck segment.
Largely the top two players — Tata Motors and Ashok Leyland dominate the Indian truck market with a combined market share of over 70 per cent. Annually, 250,000 units are sold by all players, according to Bhuwalka. AMW that came into operation in 2005 backed by Shashi Ruia promoted-Essar Group, has sold 25,000 trucks since inception. The firm, currently, has a market share of five per cent in the heavy commercial vehicles segment.
“Indian truck market is the only market in the world with two players dominating. Globally, there is space for four to five companies in every market. We feel that there is room for more players here,” Bhuwalka said. The firm is also looking to export its models that it claims are built in accordance with global standards.
“We will look to export our trucks to African and the Middle Eastern markets at the end of the next financial year,” Bhuwalka added. The company is also preparing to enter luxury buses with its ‘luxury liner’ range of buses by 2012-end positioned between competitors Tata Motors and Volvo buses in the Rs 66 to 80 lakh price range.
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