Indian international truck makers gain their dominance in Sri Lanka
View(s):India’s international truck makers are gaining their dominance in Sri Lanka, where the country’s commercial vehicle demand is expected to rise with the island’s trade and commerce development, industry sources said.
Truck sales in Sri Lanka, which almost entirely depend on imports, have been increasing gradually with major truck importers stepping into introduce a new generation of commercial vehicles to the island, one industry source revealed.
Senok Trade Combine Managing Director Gerard Fernando told the Business Times that truck sales are expected to increase up to 6000 units this year from 5000 last year.
He said that goods transporters are going for new trucks selling their old lorries with the improvement of infrastructure facilities and the development of trade and commerce.
With the aim of doubling the commercial vehicle market share in Sri Lanka to 10 per cent this year from 5 percent in 2014, Senok Trade Combine will extend its showroom and workshop facilities by setting up of Senok centres in Kurunegala, Anuradhapura and Kandy this year at an investment of US$1.5 million, he disclosed.
Speaking to the Business Times on the sidelines of the launch of a new generation of Eicher pro series light and medium duty trucks and buses in Colombo, Mr. Fernando said that these trucks and buses will meet the needs of the emerging mid premium market segment, which demands vehicles of higher power and durability.
It will also address the mass-market segment, which seeks trucks with value features at low cost, he added.
Eicher Starline heavy duty bus has a seating capacity of 44 to 54 and has been specifically designed to suit the requirements of the route permit operations in Sri Lanka.
VE Commercial Vehicles Ltd (a Volvo Group and Eicher Motors Ltd joint venture in India – VECV) Vice President Emmanuel Levacher noted that Eicher has recorded considerable growth in sales and in certain segments it has doubled the market share.He said that Sri Lanka is an important market for VECV and with its branded trucks and buses. Eicher would continue to meet the growing demand in the country.
The company has taken a decision to expand export of the Eicher brand to South East Asia, Middle East and Africa.
The aim is to have about 15 per cent of total sales from exports in 3-5 years, he said adding that the company is looking beyond Sri Lanka, Bangladesh, African countries like Ghana, Tanzania, Ivory Coast and Kenya to increase exports.