Volvo Bus Corporation has announced that the company will invest Rs 80 Crore for setting up a bus body manufacturing plant at Hosakote, Bangalore.

Akash Passey, Director, Volvo Bus Corporation Director said, “The company has entered into an agreement with India`s Jaico Automobiles to form a joint venture company, named Volvo Bus Body Technologies India (VBT).”

The joint venture company would have a manufacturing capacity of 1,000 buses per year and will meet the demand of both Indian and foreign markets.

Volvo is the world’s second largest bus manufacturer, with a complete range of heavy buses to meet customers’ requirements for passenger transport solutions. The product range includes complete buses and coaches as well as chassis combined with a comprehensive range of services. The company has a global presence, with production in Europe, North and South America and Asia.

Sources said that VBT will start its fully operational bus body plant in Hosakote, and will be ready for selling complete Volvo buses the plant by the end of January.