Runner Motors Ltd with technical support from VE Commercial Vehicles Ltd (VECV) of India will set up a completely knocked down (CKD) assembling plant to produce Eicher brand trucks in Bangladesh.
The truck assembling facility will be established on 35 acres of land in Bhaluka upazila of Mymensingh district within next year and the proposed plant will have capacity of assembling around 500 units of Eicher brand trucks per year.
The announcement was made at a press meet on Monday arranged by Runner Motors Ltd at Bangabandhu International Conference Center (BICC) in the city.
To this connection, a ground breaking ceremony of the truck assembling plant of Runner Motors Ltd will be held today (Tuesday) at the proposed site.
Presided over by Runner Group of Companies chairman Hafizur Rahman Khan, the programme was also addressed by VECV managing director and chief executive officer (CEO) Vinod Kumar Aggarwal, VECV senior vice-president (international business) SS Gill, and Rangs Motors Ltd managing director (MD) Sohana Rouf Chowdhury.
Runner Motors Ltd, one of the largest commercial vehicle distributors and manufacturers of the country, has been distributing Eicher brand trucks in Bangladesh from 2004.
Meanwhile, Rangs Motors Ltd has been retailing Eicher brand mini buses for years in the country.
Attending the programme as chief guest, Mr Aggarwal said Bangladesh is a very important market for VECV as the country's economy is maintaining annual growth in between 6.0 per cent to 7.0 per cent.
The sale of commercial vehicles in the country has grown by three-fold in last four or five years to stand at around 20,000 units from only 5,000 units, he said adding that the market share of Eicher brand trucks and buses in the country has also increased by 23 per cent in the meantime.
"Considering the market potential, we are extending our business in Bangladesh partnering with Runner Group through setting up the CKD assembling plant for Eicher brand trucks", he added.
However, VECV MD also informed that a separate CKD assembling plant will be established in partnership with Rangs Motors soon to produce Eicher brand buses.
Speaking on the occasion, Runner Group of Companies chairman said Runner Motors Ltd is the investor of the assembly plant while the technologies and other logistic support will be provided by VECV.
He said Runner also established a training institute to provide required training to local engineers who will work in the assembling facility.
© 2020 - All Rights with The Financial Express