Ashok Leyland wins INR 1140 Crore contract from Tanzanian government

Ashok Leyland has won an INR 1140 crore contract from the Government of Tanzania. As per the developments submitted in a Bombay Stock Exchange filing, the contract requires the India based commercial vehicle manufacturer to facilitate Tanzania Government with vehicles, equipment, gensets and spares.

Vinod K Dasari, Managing Director, Ashok Leyland in a statement elaborated, "Export to key international markets is an essential part of Ashok Leyland's strategic intent to globalise its product portfolio and de-risk itself from supplying only into India. The new order from Tanzania, valued at USD 170 million (Rs 1,140 crore) fast on the back of USD 200 million by the Cote D'Ivore - also reiterates market acceptance of Ashok Leyland's products in the African region."

All the developments taking place between Ashok Leyland and Tanzanian Government were announced by the CV manufacturer in a Bombay Stock Exchange (BSE) Filing. This large order by the Government of Tanzania will be financed by the EXIM bank of India under the prestigious National Export Insurance Account (NEIA) scheme.

Ashok Leyland has already supplied 773 vehicles to Tanzanian Government, and is working on the next batch of 777 vehicles. All the vehicles have been supplied under Line of Credit provided by the Government of India. The vehicles were transported to the Ministry of Home Affairs for Tanzania.

The fact that Indian commercial vehicle manufacturers have the ability to design, develop and deliver quality products in lesser research expenditure is certainly catching eye balls around the world. And with major CV players designing and exporting trucks and buses developed in India to other countries in the world, the day is not far when India will be looked upon as the hub of commercial vehicle manufacturing.

Source: TrucksDekho.com