Swedish automaker Scania has commenced production of city buses at the company’s Narasapura plant in Karnataka, India.
The company has been assembling trucks at the plant since 2013, and till date it has invested €40m on the Indian facility.
Apart from producing trucks, the automaker has also been manufacturing long-distance coaches in the facility.
The Narasapura plant presently manufactures 2,500 trucks and 1,000 buses per year, and the company expects to double the production capacity by the end of 2017.
Presently, the plant employs 600 people, and by 2017 the company plans to recruit further 200 people.
Scania highlighted that there has been an increase in demand for its vehicles in the country, and the initiatives taken up by the Indian Government to improve environment and transport systems has also helped created opportunities for Scania in India, the company added.
Scania CEO Martin Lundstedt said: "The inauguration of this bus production facility is an important milestone for our Indian operations.
"The buses and coaches produced here will also be exported to other regional markets in the future and even to the rest of the world in the longer term."
Scania is planning to deliver the first lot of buses by the end of this year.
