Indore: VE Commercial Vehicles Ltd, a joint venture between Swedish auto giant Volvo Group and India's Eicher Motors, is poised to broaden its operations in Madhya Pradesh with a fresh investment of Rs 1,500 crore. The automobile company currently operates manufacturing facilities in Pithampur in Dhar district and Bhopal in Madhya Pradesh.

The investment will focus on new manufacturing plants for commercial vehicles, particularly electric vehicles (EVs), expansion in automotive parts and assembly production, and the establishment of a world-class technology centre for research and development.

Vinod Aggarwal, managing director and CEO of VE Commercial Vehicles Limited, said, "We plan to further invest another Rs 1,500 crore in new plants for CV specifically EV, automotive parts and assemblies, capacity expansion, world-class technology centre etc. The recently launched new investment policy 2025 has positioned MP as a leading industrial state, offering sector-specific incentives and simplified regulations uniquely. It has a large land pool available for industries, and power availability in MP is very good."

Aggarwal noted the govt's thrust towards automation and transparency has enhanced ease of doing business in the state.

Regarding key challenges for industries, Aggarwal emphasised expanding infrastructure, particularly transportation and communication networks for seamless industrial connectivity, followed by the necessity to develop a pool of skilled workforce by enhancing vocational training and updating curricula in educational institutions. Additionally, he suggested expanding industrialisation beyond current hubs by improving infrastructure, residential facilities, and connectivity in emerging regions.