Raj Tours plans global intercity bus services

Raj Tours, India's leading intercity bus service operator, is studying the possibility of starting intercity bus services in countries like Thailand, Sri Lanka and Mauritius.

"We have got invites from the authorities in these countries for starting the services. The group would like to start with Thailand in the next 12 to 16 months," said Lalith Sheth, managing director, Raj Travels, a leading tour operator, of which Raj Tours is a subsidiary.

The company also plans to agrressively expand its fleet of buses. It will invest Rs 2,500 crore to Rs 3,000 crore for expanding its bus fleet from the existing 51 to 3,500 (both domestic and international) over the next 3 to 4 years. Raj is in talks with banks, financial institutions and venture capitalists (VC) for funding the company's expansion plans.

The travel company is in talks with DaimlerChrysler, Volvo, Force-Man and Tata Motors for its expansion. Raj National Express (RNE) is the brand name of the company's bus services.

Raj Tours started its bus services in the latter part of 2005 with Volvo buses. The company aims to be a leading global player in the bus services trade. Currently, Raj has services in the southern and western markets of the country.

Today, the bus services trade in India is dominated by regional players. Many of them offer poor services and are unorganised. However, with the infrastructure development taking shape at the right time, it will be a good time for players, who can provide quality services.

The growth in the low-frills air services and airports is a boon to intercity bus trade in two ways, according to auto analysts in Mumbai.