Ashok Leyland looks overseas for growth

Apart from expanding its reach in the domestic bus market, Ashok Leyland is continuing to push for growth in overseas markets. Hoping to generate one- third of the total revenue from its overseas business, the company, according to Gopal Mahadevan, Chief Financial Officer (CFO), plans to set- up an assembly facility in Kenya with an installed capacity of 3000 units. This is expected to entail an investment of USD 5 million. The company will also set up a plant in Bangladesh in partnership with a local player in the next eight to 12 months. This plant would assemble both buses and trucks. Besides an expansion activity in UAE, which the company announced some time ago, a definite strategy for Africa seems to gather speed as the company looks at executing an order from Ivory Coast. Interestingly, Ashok Leyland’s overseas market thrust comes at a time when the Indian auto industry is battling with slowing exports.