Post on 12-Mar-2015
Western Auto RACE (P) LTD.,
Snapshot on the Bus Market in India
1
Western Auto RACE (P) LTD., 2
Bus Market – An Overview
•Bus Market –Segmentation
• Regional Players/Share
• HP Range/seating range/length
• Domestic/Export Share
•Trend of Bus Market (Segment –wise)
•Growth Drivers
Western Auto RACE (P) LTD.,
Buses - Categorization
BUSES
M& HCV
Type I
Intra city
Type II
Inter City Short Distance
Type III
Long Distance
Type-IV
Specials
LCV
Type I
Intra city
Type II
Inter City Short Distance
Type III
Long Distance
Type-IV
Specials
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Western Auto RACE (P) LTD.,
Buses Market - Segmentation
LCV - >3.5T-12T
• Light commercial Vehicle (LCV)
• TATA, AL, SM, Eicher, Mahindra, FORCE
MCV - >12 – 16.2 T
• Medium commercial Vehicle (MCV)
• TATA,AL, Eicher, Volvo
HCV- > 16.2 T
• Heavy commercial Vehicle (HCV)
• Volvo, Mercedes.
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Western Auto RACE (P) LTD.,
Market Spread
Range Length
(in m)
Floor Height Seats HP Range Comfort
LCV•5-7,
• 8
Entry+ 3
(900 mm)16-45
70-120Economy, (ndx)
SDX, DLX, ACX
MCV
•11m
•12m
•Entry+ 3 (1050 mm)
•Entry +2 (900mm)
•Entry +1 (650mm)
•Entry+0 (340mm)39-45
120-230
Economy, (ndx)
SDX, DLX, ACX
HCV Up to 15m •Entry + 3 (1050 mm)
•Entry +0 (340mm) 36-64
160/180-230 Economy, (ndx)
SDX, DLX, ACX
Covered under study
• Non Deluxe Bus (NDX) - bus designed for basic minimum comfort level.
• Semi Deluxe Bus (SDX) - bus designed for a slightly higher comfort level and with provision for ergonomically designed seats.
• Deluxe Bus (DLX) - bus designed for a high comfort level and individual seats and adjustable seat backs, improved ventilation and pleasing interiors.
• A.C. Deluxe Bus (ACX) - Deluxe Bus which is air conditioned.
Defining Market Segment – based on comfort levels
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Western Auto RACE (P) LTD.,
Bus Market Trend for the period 2003-14
0
20000
40000
60000
80000
100000
120000
2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
No
. of
Un
its
Period (Year)
Bus Market Trend for the period 2003-2014
103590
14% (CAGR)
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Western Auto RACE (P) LTD.,
Market Forecast Analysis – LCV Segment
10000
20000
30000
40000
50000
60000
No
. of
Un
its
Year (Period)
Trend Of Bus Market 2003-2013 (Segment -wise)
LCV
16% (CAGR)
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Western Auto RACE (P) LTD., 8
Market Forecast Analysis –M&HCV Segment
10000
20000
30000
40000
50000
60000
No
. of
Un
its
Year (Period)
Trend Of M&HCV segment (2003-2013)
M&HCV
12% (CAGR)
Western Auto RACE (P) LTD.,
Imports are negligible and a few CKD/SKD are being imported from China and assembled in
India.
Sales- Domestic Vs ExportsCompetitive Overview
Market Share
SM - Swaraj MazdaTML - Tata Motors LtdAL - Ashok LeylandM&M - Mahindra & MahindraFM - Force MotorsEM- Eicher Motors
M&M5%
TML50%
AL33%
EM5%
SM7%
Overall Bus Market Share 2008-09
M&M
TML
AL
EM
SM
Exports, 20%
Domestic,80%
Domestic Vs Exports 2008-09
Exports
Domestic
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Western Auto RACE (P) LTD.,
Bus Market -Growth Drivers
“INCREASING URBANIZATION… ”
The People in rural areas have started migrating to urban areas due to which there is urban congestion and also the cities are expanding leading to which there is a need for intra-city, special application buses like institutions etc and thereby
creating an attraction towards mass transport which is also economical.
Cont…
210
290320
380430
0
50
100
150
200
250
300
350
400
450
500
1991 2001 2006 2011 2016
Po
pu
lati
on
In M
n
Year (Projections)
34 % of Total
Population lives in Urban
25 % of Total Population lives in Urban
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Western Auto RACE (P) LTD.,
Driver/Govt. Initiative Investments Bus Types
Long distance Intra-city Inter-cityShort distance
SpecialApplications
JNNURM-I( a Govt. Initiative)
A 50000 Crs investment forurban infrastructure
JNNURM-II( a Govt. Initiative)
An investment of 100000 Crs forUrban and rural Infrastructurefor a span of 7yrs.
NHDP( a Govt. Initiative)
Development of 33000Kmhighways all over India
BRTS( a Govt. Initiative)
A part of JNNURM to form adedicated lane for Bus transportsystem
RIDF( a Govt. Initiative)
A investment of Rs 15000 Crsfor improvement of Ruralinfrastructure in terms of roads ,bridges etc.
STU’s replacement Around 40000 vehicles forreplacement this year
Rapid growth of SEZ’sand IT Corporates
As on Nov 2008, India leadswith 250 notified SEZ’s in theworld
Bus Market -Growth Drivers
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Western Auto RACE (P) LTD.,
“IMPROVING ROAD INFRASTRUCTRE…..”
The National Highway Development Programme(NHDP) Project of total 33000Kms
This project will enhance the passengers to travel longdistance through roadways (Buses) due to fast, safe and quicktravel with comfort.
Year National Highway (Length in Km)
2001 44,000 (1.3%)
2009* 66,754* (2%)
“INDIA LEADS WITH 250 SEZ’s….”
The increase in the SEZ’s in India is definitely going to increasethe demand for Buses in India for corporate sector movement.
5%
28%
16%
51%
Notified SEZ's in India
East
West
North
South
Bus Market -Growth Drivers
Source: Ministry of Road transport & Highways
Analysis : RACESource: C & W India Publication
Analysis : RACE
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Western Auto RACE (P) LTD.,
85%
15%
Roadways Vs Railways
(Passenger)
Roadways
Railways
Mode Of Transport No. of passengers (in Mn) carried per day
Roadways 339
Railways 18
Airways 0.13
The Buses play a dominant role in the passenger transportation among the different modes of transport available in roadways in our country
41%
8%14%
16%
22%
Roadways Distribution
Buses
Cars
Two wheelers
Three Wheelers
Others (Non-motorized transport)
Source: Central Institute of Road transport (CIRT)
Analysis : RACE
Mode of Transport – Distribution in India
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Western Auto RACE (P) LTD.,
Bus Penetration Across the World
Considering the huge population of India , where Mass rapid transport is the need of the hour , also rails becoming more inflexible -Bus transport emerging as more required form of transportation . Also government is planned ahead to allot a huge subsidy & Urban / Rural development programme to promote Mass rapid transport system & curb the bikes / car movement to reduce pollution & high traffic intensity.
1.50.75
0
2
4
6
8
10
12
No
. of
bu
ses
pe
r 1
00
0 p
eo
ple
Countries
Bus Penetration Across the World Volume Potential of Buses in India
Brazil(considering a developing country as nearest benchmark for India )
1.5 buses / 1000 population
India 0.75 /1000Population ( 9,00,000 Buses)
To be at par with Brazil, India needs
18,00,000 Buses
GAP 9,00,000 Buses
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Western Auto RACE (P) LTD.,
Thank you
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