"When it comes to maintaining lead...
says Mr. Vikram Mehta, Managing Director, Spartan Engineering Industries Pvt. Ltd.
Mumbai-based Spartan Engineering Industries Pvt. Ltd. is a name to reckon with when it comes to construction and infrastructure industry. Having established its presence all through the four decades of its existence, the company has displayed a remarkable growth trajectory in construction equipment manufacturing excellence. What bears testimony to this fact are numerous accolades that Spartan has been conferred upon from various renowned bodies to mark its unending endeavours.
Spartan has recently been felicitated with one among the 'Top SME 100' Award in 2014 by SME Chamber of Commerce, besides being given 'India's Small Giants' Award. In the field of production it won 'Excellence in Operations' Award from Manufacturing Today for its hoist manufacturing facility. To add to this, the company has been awarded with 'Sarvottam Manufacturer of Passenger & Material Hoist' by Builder's Association of India at an annual event conducted in Dubai. Moreover, it won 'Business Excellence' Award from All India Business & Community Foundation to make a note of its world class processes and systems.
Led by a dynamic Managing Director, Mr. Vikram Mehta, the success story of Spartan is not limited by region. The company has surpassed boundaries and also bagged many international awards like 'Global Achiever's Award' for Excellence in Construction Machinery in Thailand and 'Indo-Nepal Trade' Award for Construction Machinery Exports.
Spartan's state-of–the-art manufacturing facilities at Kalwa in New Mumbai and Atgaon on Mumbai-Nasik highway are fully equipped with world-class machinery to produce a variety of high-quality construction equipment like tower crane, bar bending machines, bar cutting machines, man and material hoists, multi-functional material hoists, rope suspended platforms, and MFH zip. Over the years, the company has vertically integrated all the manufacturing activities including designing, fabrication, machining, assembling, testing, finishing and dispatch in-house under the supervision of its stringent quality control team.
In its quest to produce more innovative products, the company has recently reengineered its cutting machine to make it more efficient, economical, and rugged. "Even if we are leaders in bar cutting & bending machines, we have never stopped and relaxed on it," asserts Mr. Mehta adding that the company has recently done quite a few value additions in its cutting & bending machines to enhance its operational efficiency. "Besides, Spartan has always been a trendsetter in bringing world-class designs with international safety features in hoists. Our multi-functionality approach to hoists has put us in a league of being innovative, thereby delivering value added products."
According to Mr Mehta, Spartan's machines are equally eco-friendly on various fronts of energy consumption. "The unique Uni-case gear box design ensures less wear & tear and low noise during operation. The gear box and motor used is one of the best in industry, delivering 94% efficiency. It allows less than 6% loss in power conversion, which is the minimum in the industry as of now. It has highly efficient 9.2 kW motor, which ensures low power consumption."
Mr Mehta believes that the equipment market has reached at a critical point where key competitive differentiator would be after market and innovations. "We agree that along with being innovative, after market services count a lot when it comes to maintaining leadership position. We are trying to come closer to customers by conducting Preventive Maintenance Clinics (PMC) and signing Spare Parts Rate Contracts. Additionally, we have increased the number of service engineers to 150 so as to deliver the services within the promised time-frame. We have invested in world-class Oracle ERP System for receiving call management & service module. For being innovative, we have ramped up the strength of our design team by ten times. This is apart from investing on high-end IT systems and 3D software for faster & accurate designs."
NBMCW December 2014.....
"Escorts' Strength lies in its Qua...
Says Mr. Rajinder Raina, General Manager, ECE
What are your views on the government's announcement of rolling out worth two lakh crore infra projects? What are the issues, according to you, govt. should resolve to bring them to implementation stage?
It certainly shows the intent of the government & augers well for the construction equipment market. However, the challenge lies in making it happen. Environmental clearance, land acquisition & financial closure need to gain pace.
Given the intent or resolve of the government, how do you see the infrastructure construction equipment market growing in the coming years?
The first thing to happen would be the deployment of dehired/idle lying equipment particularly with the hirers. Thereafter, a year-on-year growth of about 10 - 15% is achievable. Having seen de-growth for more than two years and having hit a low, growth seems to be just around. There is certainly hope in the air.
Slowdown puts lots of pressure to run the business but at the same time it's an opportunity to fine-tune the operation, do up-gradation and come up with a new product line; what has been Escorts' initiative to withstand the tough economic condition?
As the market picks up, it's going to be a tough world out there, as the supply will continue to exceed demand for a few years, at least. Escorts is conscious of the fact that it needs to have a sustained cutting edge in offerings to the customer as compared to the competition for it to stay in the leadership position. Escorts as an organization has been working to achieve its vision 2020. A lot of quality time, intellectual & financial investment has gone into making Escorts a lean machine with defined deliverables to the customers and end users.
Material handling equipment segment was badly affected in the last two years; with the restart of some of the stalled projects and clearances of few new projects, how do you analyze the market for Pick-n-Carry and other material handling equipment in coming years?
Material handling business will not only witness growth in volumes but also see evolution in technology. Safe & productive cranes will outgrow the traditional pick-n-carry cranes generically called 'hydra cranes'. Being the leader in this industry, we are ready to steer/move the market towards the 'safe' or 'TRX' cranes. These cranes will increasingly conform to the requirements/demands from various application areas.
Despite negative growth, backhoe still dominates at 50% of total earthmoving equipment sales. How Escorts Digimax market is shaping and what are your plans to capture major share in the coming years?
Escorts backhoe loader DIGMAX II has established itself as the machine to watch out for. Allow Escorts a little vanity to say that a star is born. The customer feedback in the last one year has given us the confidence that we have the right product to offer.
Operators' training, after-sales service, spare parts availability, and after market, are the key areas which should be considered while selecting equipment; what initiatives are you taking to strengthen these areas?
The strength of Escorts has been its quality products and timely after- sales support services. With our future plans chalked out, it becomes imperative to work on market reach. Special emphasis has been laid on making the distribution network wider, robust and further responsive. This area will differentiate Escorts from the competition. Initiatives on improvements on various fronts are underway and the results will be there to see for the customers / users.
NBMCW December 2014.....
Mahindra Truck: "Our Competency Li...
"Indian CV industry offers huge potential for growth. Our core strength comes from our existence in this market for over 6 decades through our parent company. This existence gives us an in-depth understanding of customers & their approach to business. This helps us translate our offerings into most value for money products. Apart from offering world-class products, our competence is also derived from our reach. We have quickly scaled up with 62 operational dealership & 1000+ touch points, with several more upcoming facilities. This offers us an advantage to understand different requirements and we are geared up to offer most suitable products & services suiting changing dynamics of customer operations in CV industry," says Mr. Nalin Mehta, Managing Director and CEO, Mahindra Truck & Bus Ltd., in an interview with S.A.Faridi.
What is the growth potential of Tipper Truck market in the coming years amid the government's strong commitment of developing infrastructure construction?
There is a strong growth potential of tippers. With government's focus on infrastructure, several new projects are lined up for investment which in turn will spur demand for Tipper & other construction related industries. In the long-term we see this demand growth in range of 15 ~ 17%.
Looking at the current status of the country's construction, logistic and mining industry, we do foresee the growth of Tipper truck manufacturing industry at a steady pace. While the current scenario is depressing, the India story is very strong and progressive. Tipper sales fell by around 28% to 45375 units (FY13) compared to 62,762 units (FY12) in the previous year for MHCV segment. This has put pressures on operating margins & resulted in idle capacities. However it's considered as a passing phase & long-term growth perspective still remains positive. Also, the silver lining so far has been that credit availability continues to remain stable. Tipper sales are bound to come back due to partial release of on-hold Infrastructure projects, as road construction and mining is being opened.
How do you see the impact of recent Supreme Court decision to revoke 214 mining licenses on the mining sector in general and on the commercial vehicle biz in particular which is already under pressure?
The impact is on both-line up of new projects and also on existing population of vehicles.
The overall sentiments have been impacted with this ban, thus affecting immediate sales of commercial vehicles. The orders which were due for delivery got cancelled leading to inventory pile up.
For existing vehicles, overall availability of load has decreased, thus impacting the revenue potential of trucks and hurting overall cycle of business.
Indian commercial vehicle customers have evolved from operating basic tipper trucks to technologically advanced tippers. What are your latest advanced tippers offerings, their application areas and USP?
With changing operating scenarios & load requirements, tippers currently come with several advanced features. These features owe their genesis to the tough operating terrains & help translate into more value for money to customers.
Currently, we offer large number of variants on tipper platform to cater to different operating conditions & customer operations. Bogie suspension is one such feature which has become a standard requirement for tippers operating in deep gradients. In order to improve reliability & uptime, we offer 9 speed gear box which in turn translates into highest grade ability in its category.
There are several more features which are under introduction phase & it would be too early to elaborate on the same.
You are an Indian manufacturer competing with many MNCs, as they come with their developed world experience and proven technologies. What is your core strength/competence which gives you a competitive edge over others?
Indian CV industry offers huge potential for growth. Our core strength comes from our existence in this market for over 6 decades through our parent company. This existence gives us an in-depth understanding of customers & their approach to business. This helps us translate our offerings into most value for money products.
Apart from offering world-class products with an intention of delivering strong value for money products, our competence is also derived from our reach. We have quickly scaled up with 62 operational dealership & 1000+ touch points, with several more upcoming facilities. This offers us an advantage to understand different requirements and we are geared up to offer most suitable products & service to suit the changing dynamics of customer operations in CV industry.
On-site after sales support plays a big role while making a purchase decision; what are Mahindra's after sales/aftermarket offerings to motivate buyers?
Commercial vehicles are a source of livelihood & any breakdown translates directly on the EMI outgo. Our endeavor has always been to ensure that our product should offer the highest uptime.
As a new player, we have taken several initiatives in product design itself so that customer spends more time for earning on road rather than on break-downs. To translate our confidence into customer benefit, we offer (for the first time by an OEM) extended warranty scheme on our HCV product range.
Apart from this, we have bouquet of services offerings which are customized to customer operations & our products. First & foremost is Annual Maintenance Contracts (AMC). Based on the operations of customers, a customized AMC is worked out, which will eliminate the burden of maintenance of vehicles on customers.
Post merger with Mahindra & Mahindra, we are offering our spares & service through Mahindra & Mahindra Dealership. Our intention is to ensure that customer can reach us at the earliest and resolve all these problems at single point of contact.
As a new business brand, we listen to our customers and adapt our offerings and launch new benefits based on customer demand. We have introduced attractive benefits package some of which are unique and pioneering:
- The 5-year or 5 lac km warranty, which is a transferrable warranty and a first time ever within the trucking industry.
- For Tippers specially, we have launched on-site warranty and to pack it all, it has its most cost effective AMC rolled out.
- Offers such as up to 100% finance on Chassis and up to 5 year loan tenure.
In addition to that, we have Mobile Workshop vans and Mobile service vans with each dealersh to take care of various service requirements and onsite supports as and when required.
We also have 24x7 customer service NOW call-centre wherein all queries are handled by trained diploma engineers in 8 languages namely English, Hindi, Tamil, Telegu, Malayalam, Kannada, Marathi, and Gujarati.
Also, to further strengthen the network, we have added nearly 1598 roadside assistance points to our network and spares network of 730 retail points to further improve the reach for customers on important trucking routes. These trained mechanics have been selected carefully to build our presence on vantage points on important trucking routes so that immediate assistance can be provided to the trucks that are moving on these routes. As already mentioned above we have sold over 1865 nos. HCV Tipper Trucks pan-India.
Advanced technology tippers need trained drivers to deliver results. What initiatives have you taken to help your customers in this area?
This was anticipated right from start & accordingly we have taken several steps towards driver training. We have a dedicated driver training institute in pune. Regular courses are offered for retired army personnel so that they can pursue alternate livelihood. Also, our customers regularly send their drivers to our institute for updating their drivers with latest technologies.
Not restricting this initiative to pune alone, all our customers purchasing trucks have to mandatorily get their drivers trained before start of operations. This ensures optimum performance of our trucks translating the intended benefits to our customers.
Apart from drivers' education, we also have several initiatives to impart our philosophy of positive driving in drivers' lives. One such initiative is Mahindra Saarthi Abhiyaan for driver's girl child, with mission to salute the humungous efforts put in by the Drivers community in educating their daughters up to Secondary School, thereby acknowledging them as outperformers which came to a successful culmination with an Award Ceremony held at MTBD's Head Office in Chinchwad in Sept 2014.
What about your plans for participation in bC India trade fair to be held in Greater Noida? Do you have any plan to add more products to your portfolio or services at the show?
Our participation in bC India trade fair would be restricted to offering our chassis for display with reputed equipment manufacturers.
NBMCW December 2014.....
Terex Materials Processing Invests Sign...
Terex Materials Processing has ventured in new market segment in India by launching full range of Sand Washing Equipment and Smaller Size Wheel Plants. Moreover, the company is soon coming out with a smaller size Track Screen. Speaking to S.A.Faridi, during an interview, Mr. Jaideep Shekhar, Executive Director – Materials Processing Group India, Terex Materials Processing said, "In order to effectively cover the market, we have added new products to our portfolio and are now having a much wider market reach. Besides, we have also made significant investment in our sales team and would be doubling its size by the year end. We have tried to compensate for the lower volumes in India by addressing few of the export markets, thereby reducing the pressure on profitability. The export volumes have helped us increase our volumes and have a stable operation."
How do you find the demand trends of crushing & screening equipment in the wake of strong government and positive talk?
We have seen some positive movement in the market in last few weeks. The market sentiment, no doubt, has been bullish and we expect that the demand should pick up in first half of next year. However, the availability of finance still remains a challenge and I hope that the new government would take steps to bring in liquidity in the market.
How has the business performance of Terex been this year?
This year has been quite challenging for the business in line with the overall industry trends. The demand has been very sluggish. There have also been challenges related to availability of finance for the customers. We however have managed to retain our market share and hope that with the award of new projects, the next few months should be able to compensate for some of the lower volumes in the first half of the year.
There is no doubt that a slowdown puts lots of pressure to run the business but on the other hand it's an opportunity to fine-tune the operation, do up-gradation and come up with a new product line; what has Terex crushing been doing in the last one year on the same?
Terex has made significant investments in Hosur operations. The factory operations have remained challenged due to lower volumes in first half of the year. However, we have made significant progress in exporting machines out of the Hosur Plant to our Global dealer network this year. The export volumes have helped us increase our volumes and have a stable operation.
We have also added new products to our portfolio and are now having a much wider market reach. This year we have added new products to our Washing Range as well as Wheel Plant range.
Due to miss match in the demand-supply and stiff competition, there is quite big pressure on the profitability. This also leads to brand substitution; how are you managing this situation while maintaining Terex's quality standards?
We believe that the focus on quality should remain at same level irrespective of the market conditions. As I have said earlier, we have tried to compensate for the lower volumes in India by addressing few of the export markets, thereby reducing the pressure on profitability. We have also ventured in new market segment in India by launching full range of Sand Washing Equipment and Smaller Size Wheel Plants.
Apart from big contractors or quarry owners, it's being noticed that small contractors have also started setting up their crushing plant. How does Terex see this retail market segment which is growing very fast, and what products & services it is offering to this segment?
We have launched the 125tph Wheel Plants to address this market segment. Also, we are now coming out with a smaller size Track Screen which we believe would be a good fit for this market.
In order to effectively cover the market, we have also made significant investment in our sales team and we would be doubling the size of our sales and service teams by the year end. The expanded reach would ensure that we are able to cover this new segment of the market.
Operators' training, after-sales service, spare parts availability, and after market, are the key areas which should be considered while selecting equipment; what initiatives are you taking to strengthen these areas?
Terex currently has two Parts Warehouses in addition to the numerous Parts Warehouses established by our Distribution Network. From Terex side, we would be opening our third parts warehouse in Central India by year end.
We have also increased the size of our service and parts team and we expect this to be doubled by year end. This should significantly improve our service delivery to the customers.
Terex would also be opening an Operator Training facility at Hosur next year and a full time technical training team would be tasked to run this training program.
How does Terex see itself as a total solution provider (crushing, screening, sand making to washing)?
Terex is one of the leaders in the Crushing & Screening Industry and we are also the pioneer of the Track Mounted Crushing & Screening Plants in India. We are a complete solution provider with a vast product range which includes Track Mounted Crushing & Screening Plants, Wheel Mounted Crushing & Screening Plants, Modular and Static Plants and Washing Equipment. All these products are manufactured in our state of art manufacturing facility at Hosur, Tamil Nadu. The local production also ensures that we are able to provide quick delivery and lower costs to our customers.
NBMCW December 2014.....
Sandvik Engineers Equipment for Maximum...
"At Sandvik, we strongly believe in giving back to the community. We deliver more than what we promise to our customers in terms of product output. Our machines are truly of world-class and engineered for maximum productivity thus delivering optimum value to our esteemed customers. Moreover, our strong on the site and classroom training, parts and service offering are the other influencing factors as to why customers choose Sandvik when purchasing new equipment," says Mr. Harinder Jit Singh, Vice President - Sandvik Construction, India in an interview with S.A.Faridi.
How do you analyze the business scenario and challenges for infrastructure sector in general and aggregate sector in particular in 2015?
Personally, I think the potential is noticeable due to the rapid urbanization and economic growth. India's Infrastructure has some significant catch-up work to do.
India is already witnessing a tremendous surge relating to infrastructure development. Public sector investment coupled with private sectors innovation will definitely give impetus to the growth for roads, ports, hydro, and power projects. We are optimistic that the new government will set growth and development at the top of their economic agenda.
Owing to emergence of the new government, the next ten years will definitely change the entire outlook of the industry. We can already see the vital signs of future growth in procurements. The shift towards mechanization and employment of modern technology and equipment, plant and machinery in projects is evidently indicating towards a robust infrastructure growth towards the second quarter of 2015.
In crushing segment wheeled and modular plants are quite popular among roads and other infra projects contractors. What is Sandvik's product range in this segment?
We at Sandvik offer advanced, rational solutions for any size-reduction challenge, in stationary, modular or wheeled ranges. We can upgrade existing plants, deliver complete solutions and effect turnkey installations to our customers. We also supply individual crushers and screens, as well as key components and a wide range of consumables.
Some of our customers only want sound technical advice. At others, they require concrete technical support, delivered swiftly, competently and cost-effectively. Whatever their needs are, we at Sandvik are here to help them. Sandvik has a wealth of experience and we have teams of experts spanning the globe to help our customers solve equipment-related challenges. Sandvik crushing and screening equipment range is engineered for maximum productivity!
In India, machines are made to work longer hours in hostile working conditions; what is Sandvik's India specific R&D focus? Does it modify equipment as per specific site requirements?
India is the new hub for Sandvik Global R&D since 2013! We are also now successfully localising many Tunnelling Jumbos and Crushers as per market requirements and meeting our customers' needs.
Operators training, after sales service, spare parts availability, and after market, are the key areas which should be considered while selecting equipment; what initiatives are you taking to strengthen these areas?
Sandvik Construction has identified the parts and service business as one of the key priority areas, because, focus on service strengthens customer loyalty even further, throughout the equipment life cycle.
Our dedicated 24*7 customer service desk is a bridge between customer and internal team via effective interaction. It provides a single point of contact for all customer issues and guarantees successful closures within a stipulated time.
Our strong on the site and classroom training, parts and service offering are one of the influencing factors as to why customers choose Sandvik when purchasing new equipment.
What is the core strength/hallmark of Sandvik which separates you from the competition?
Sandvik strength can be summarized as: (i) Technologically and commercially leading in selected segments. (ii) Advanced and broad-based R&D activities, continuous readiness to invest in new developing areas and to streamline existing operations. (iii) High value-added products and high share of in-house manufacturing. (iv) More rapid processes – combining robust global procedures with expanded local mandates. (v) Close collaboration with customers and more distinct commercial focus. (vi) World-class manufacturing and logistics.
(vii) Most importantly we deliver more than what we promise to our customers in terms of product output. Our machines are truly of world-class delivering optimum value to our esteemed customers.
Strengthened sustainability program, both internally and in relation to customers and suppliers.
Sandvik always has a harmonized safety, corporate culture and strong core values that are our hallmark and distinct brand as an employer.
What advanced features are installed in your products line especially to reduce power consumption and ensure better operational efficiency?
At Sandvik, we strongly believe in giving back to the community! Our Construction Recycling Concept (SCRC) is a comprehensive service for used carbide enhanced drilling products and materials offered by Sandvik to all its customers.
In the light of increasing consumption of non-renewable raw materials, the economic management of dwindling resources is a duty owed by all manufacturers.
Our harder side is all about world-class equipment. We offer the broadest range of products, services and solutions. Our softer side is about caring for people and the environment!
NBMCW December 2014.....
Atlas Copco Focuses on Developing &...
"At Atlas Copco, we always believe in continuous process of innovation and product development. Developing new technology products and promoting our existing high quality ones by focusing on our global product portfolio enable us to offer world-class products for building world-class roads in India. Further, we have been working towards product localization with local features added in, and hope to manufacture most of our road construction equipment locally at our fully equipped Nasik plant in India," says Mr. Nitin Lall, General Manager, Atlas Copco (India) Ltd., Construction Technique in an interview with S.A.Faridi.
Would you like to pin point equipment with huge future biz potential in India?
Dynapac Compact Planers from Atlas Copco will set new benchmarks in cold planing in India.
The Dynapac PL350, PL500 and PL1000 are compact cold planers which have milling widths from 0.35 to 1m. Its well-proven design is based on accumulated experience and input from field operators and owners. Available as 4 wheeled units, these models are highly user friendly and offer high performance, excellent manoeuvrability, and an impressive level of reliability. Dynapac compact planers effortlessly achieve a depth of 200 to 300 mm.
In the near future as more and more state authorities are approving and mandating use of Recycled Asphalt (RAP) and with the scarcity of aggregate in some areas....Milling would be the future!
In the wake of new strong government and its initial initiatives, how do you see the market recovery for construction equipment in coming years?
Since the last couple of years, the demand in the road construction equipment segment for NHAI projects is experiencing stagnancy. This has been mainly due to NHAI projects getting embroiled in land clearance issues. State & rural roads have been showing marginal growth over last yearfor road construction equipment.
Recent surveys on road development in India, indicate that in developing markets like India, road infrastructure will be an extremely important component to support the growth opportunities.
With the new government in place, we now do believe that in the next 5 years and beyond, there will be a realization of the huge untapped potential in all product segments of the road equipment in India. Besides, compactors, pavers and tandem rollers, equipment such as planers, feeders, etc. will also get an opportunity to deliver higher quality roads in India.
The companies, who have long-term perspective, take slowdown as an opportunity to fine-tune their operations, do up-gradation and also come up with new product line. How does Atlas Copco put the perspective of challenges as long-term opportunityand what initiatives haveit taken in this tough economic time to stay ahead?
In Atlas Copco, we always believe in a continuous process of Innovation and Product Development. Even in tough economic times, we believe in upgrading our products to meet the market needs. By promoting our existing high quality products from our global product portfolio we are able to offer world class products at all times and be a part of making world class roads in India.
Further, we have been working towards product localization, with local features added in, and we hope to manufacture most of our road construction equipment locally at our fully equipped Nasik plant in India.
How do you see the equipment demand coming from the emerging rural roads and irrigation sector and initiatives your company is taking to tap this market?
Across India, there is a need for high quality roads and areas such as the North-eastern landscape have a need for better connectivity. Looking at current activities & projects, rural areas are a major focus area with plans in place by authorities and quick turnaround time for awarding projects. Today, demand for equipment is also increasing gradually from this part of India.
In the next 5 years and beyond, we do believe there will be a realization of the huge untapped potential in all product segments of the road equipment in these market segments. Backed by the strong experience of being world leaders in road construction equipment, we are ready to tap into the opportunity to deliver higher quality roads in India, with not just compactors, pavers and tandem rollers but will also set new benchmarks with innovative technology equipment such as compact planers, feeders, etc.
We as a customer focused company would aim to live up to the expectations of customers of all segments and will be prepared to cater to their needs. Our focus will be to increase our market presence with a strong service backup and a commitment to new product development and innovation.
What are the market responses to your recently introduced innovative series of pavers, portable generators, and Dynapac compact Planers?
All Dynapac machines are designed for toughest conditions and have several unique features. To name a few, lowest operating cost for the customers, most advanced compaction technique like high frequency for Asphalt rage rollers to achieve the end result in minimum passes, unique fully floating Screed for the Pavers to achieve excellent surface finish, Compact planers with milling widths from 0.35 to 1m have excellent manoeuvrability and effortlessly achieve a depth of 200 to 300 mm. Infact the small cutting radius of only 230 mm, unequalled in this class, makes the high performance Dynapac PL1000 compact planers very flexible for milling even around manholes and so on...
We offer Soil compactors from 4 Ton class to 27T class, Asphalt Compactors from 1 ton to 18ton, Pneumatic Tyred rollers 6 ton to 27 ton, Paver finishers 1.8 mts to 14 mts Paving width, Milling machines from 0.35mm to 2 mts cutting width, delivered from our state of the art manufacturing facilities in Sweden, Germany, Brazil, China and India.
Several models of our Dynapac range of road construction equipment are successfully deployed at various work sites across India and have built many satisfied experiences for its customers.
What initiatives are you taking to strengthen your after sales service, parts availability and after market, as these factors play big role while selecting equipment?
We strongly believe in strategically timed innovations based on genuine market needs/demand. Besides this our aftermarket support is also a key differentiator which offers us a competitive advantage. High quality parts & spares, extended warranty programs, toll free one number to register customer queries/complaints, regular equipment health checkup service camps as well as a highly skilled service team, enable Atlas Copco Construction Technique to enhance its offering to the end customer. We also organize frequent training for operators, dealers & our own team members to keep on improving the skill of operating the premium equipment of Atlas Copco Dynapac road construction equipment.
NBMCW December 2014.....
CASE Construction: Positive on Investme...
CASE India is extremely positive to increase its investments in India as it sees a huge biz opportunity in the country. "We have so far invested in excess of USD 50 mn in our Indian CE business arm, strengthening our assurance to the Indian market. We believe in the long-term story for India infrastructure development and the construction market. To enhance our product portfolio from among the world-class delivery of Case Construction Equipment, we have so far introduced to the Indian market Skid Steer Loaders, Motor Graders, Backhoe Loader, Wheel Loaders and Compactors. We do have a lot more plans in terms of adding other product lines in our portfolio which we will share with you in the coming months," says Mr. Abhijit Gupta, Managing Director, Case New Holland Construction Equipment (I) Pvt. Ltd. (Case India) in an interview with S.A.Faridi
How do you analyze the demand for road construction equipment in the wake of the government's announcement for awarding 8500 km roads projects in this fiscal?
After a relentless slowdown over the past 3 years, wherein almost 20 road projects worth nearly INR 27,000 crores have failed to get bids from the private sector in the last two fiscals, things seem to have started moving in the right direction. The new central government, backed by a development linked agenda seems like clearing all policy related hurdles on a fast track. Announcement of certain development oriented schemes such as 8,500 km of road projects in this fiscal is definitely a sweetener. Although only 2,150 km of projects have been awarded in H1 of this fiscal, the overall result still augurs well considering only 3,169 km of projects were awarded against a target of 9,500 km in last fiscal.
Despite the subdued demand expectation of road construction equipment in this fiscal, the green shoots are encouraging. Clear intention and positive movement showed by the new government in clearing policy related hurdles, we expect this to translate into real demand in the next fiscal. The greater transparency in project allotment through e-auctions, the flagship Swachh Bharat program including river cleaning, focus on more and better quality roads and highways is likely to translate into real industrial demand and employment generation opportunities in the road equipment sector in near future.
Apart from major infra or urban projects, there seems to be good demand coming in from rural roads and irrigation projects, what product placement and marketing strategies are you making to tap this new fast growing area?
Agriculture contributes 14% to India's economy and rural India supports half the population housing 800 million people. Developing the rural infrastructure, especially irrigation and roads, therefore is paramount to sustain the population's livelihood and to improve mobility and connectivity. Rural road flagship schemes such as PMGSY have yielded exceptional results over the past decade making rural India's growth exceed that of urban India for the first time in last 5 years. All of this, backed with 158,000 km of new roads planned in rural areas in the on-going 5 year plan, indicates strong growth prospects of construction equipment in rural India.
To prepare itself for this visible shift in demand, CASE has further spread out its dedicated and strong Dealer Network including branches with trained service engineers across rural India. This shall facilitate a much superior sales and after sales support experience to the valued customers of CASE in India. With a mission to increase customer's profitability through lowest machine downtime, resulting from service, spares, workshop and personal attention support our customers; the entire product range has been suitably upgraded with relevant features. The enhanced product range comprising Loader Backhoes, Vibratory Compactors, Skid Steers, Motor Graders, and Wheel Loaders makes CASE a one stop solution provider to cater to all our customer needs whether urban or rural.
To specifically cater to the rural requirements, our latest EX series Loader Backhoe with FPT engine, provides unparalleled fuel efficiency and operator comfort from probably the largest cabin on any backhoe in the industry. This facilitates in comforting the machine operator to work in the remotest of the locations without worrying too much about frequent re-fuelling or looking for a shelter space intermittently.
CASE has been a multi-product company; how do you rate its business performance for 2014 and your assessment for 2015?
Since April 2011, when Case acquired a 100% stake in its erstwhile joint venture company, we have delivered on our commitments made to the market, our customers, and to our stakeholders. We have so far invested in excess of USD 50 M in our Indian CE business arm, strengthening our assurance to the Indian market. We believe in the long term story for India infrastructure development and the construction market. We see a huge opportunity in that.
Business performance for 2014 has been consistent with our plans wherein we have increased our market share in the Compactor segment to remain the no. 1 player. We have also consolidated our strong position in the Loader Backhoe segment to remain top tier and have started selling our enhanced product range in the Indian market. 2015 is likely to follow the same track to make CASE emerge as an even stronger force to reckon with, in the Indian CE industry.
To enhance our product portfolio from among the worldclass delivery of Case Construction Equipment, we have so far introduced to the Indian market Skid Steer Loaders, Motor Graders and Wheel Loaders. We upgraded our bestselling Tandem Compactor, 752, to suit the evolving requirements of our customers. We topped it up with the launch of EX Series backhoe loaders and 1107 DX compactor in India at the start of 2014. We do have a lot more plans in terms of other product lines and other products in our portfolio which we will share with you in the coming months.
What have been the market response to your EX Series backhoe loaders and 1107 DX compactors which were launched last year? What innovative technologies are placed in your products which ensure maximum productivity and minimum operation cost/downtime?
CASE Construction takes pride in its 172 year heritage of providing the most robust, reliable and innovative product to its customers towards their mechanization needs. Extending its core philosophy of customer centricity and high proficiency in products, CASE furthered strengthened its two decade long no. 1 position in the Indian compactor segment by launching 1107DX Soil Compactor in 2014. This is the next generation Soil Compactor which supersedes the earlier bestselling model 1107 in the Indian road equipment space.
The new 1107DX with its superior drum shell thickness, wider drum span and higher operating weight provides unparalleled compaction efficiency to its customers in road building. The resulting requirement of lesser number of passes for a comparable job coupled with a highly fuel efficient water cooled turbo charged BS3 engine, brings down the operating cost to the lowest level among all comparable compactors in the Indian market. New styling for improved operator visibility and a superior operator platform with enhanced safety features makes 1107DX a clear winner.
With EX series, CASE Construction, which manufactured the first Loader Backhoe in the world, brought the strong and robust CASE DNA "S"tyled Backhoe boom in India for best reliability. EX series, which is available in 76 HP, 86 HP and 96 HP variants, also bring forth the power of world's most reliable and fuel efficient FIAT engines for the first time in the Indian CE industry. Several hundreds of thousand FIAT engines are successfully running in India in automobile and tractor segment and with the introduction in the Loader Backhoe segments it further strengthens our leadership position in the engine segment as well.
All of this coupled with the tiltable engine hood for easy servicing, heavy duty axles and perhaps the largest and most comfortable cabin on any Loader Backhoe in India, makes EX series a clear winner. The growing popularity of EX series since its launch exactly a year before making the fastest growing TLB model in India is a testimony to the increasing customer confidence in the overall value proposition of the EX series.
Productivity of equipment depends on how it's being used, operator skill and periodic and preventive maintenance. With 'Chalta Hai' attitude in India how would you like to ensure that if machines are being operated and looked after well then the owner will get value for money?
It is not difficult to do so if you do the right things. CASE is aware of those subtle ingredients and we are doing things right. We know that product plays a very big role along with cost. By cost we don't only mean equipment cost, we mean the overall operational and maintenance cost. We mean the value for money invested by the customer. We give due recognition to customer feedback as to implement whatever is needed to maintain our leadership position.
Apart from making our equipment fuel efficient, we have also worked on improving operator comfort and productivity, by providing EX series backhoes with the most spacious cabin in the market. Also in case of our Vibratory Compactors we have isolated the operator cabin from the vibrations to make it more comfortable. This coupled with minimalistic maintenance intervention in CASE machines, be it from regular maintenance point of view (reliability) or longer oil change periods point of view, makes them absolutely trouble free. All of these on a holistic scale of owning and operating cost of the CASE machines, make them the highest value for money offering in the Indian CE market space.
CASE India has been importing and marketing its products such as grader, skid-steer loader, and wheel loader from its parent company. Are these products being modified/customized as per Indian job site requirements before importing? Is there any plan to manufacture them locally in near future?
The product livery from the stable of CASE from the best manufacturing set-ups worldwide have been started to be offered to our discerning customers in India. Skid Steers from USA, Graders from Brazil and Wheel Loaders from Italy represent the best of the best product offerings to Indian clientele. With the offering of these state of the art equipment to our Indian buyers the interest level in owning one of these equipment is palpable. These equipment have undergone suitable homologation to match Indian requirements. The specifications and operating instructions are also rendered suitably to match the sensibilities of the Indian customers.
Of course, the high level of quality emerging from superior workmanship on these equipment couples with high import duty structure make these premium machines in the reach of only the crème de la crème of Indian CE buyers. With the growing appreciation and acceptability of these machines, CASE India is actively evaluating the possibilities of localizing these models which also goes in sync with the "Make In India" philosophy of the incumbent government at the Center.
What is your take on the government's 'Make in India' programme and mission motivating industry to participate in it? Will this help construction equipment sector to improve its technological status and competitiveness in the global market?
Like I mentioned in response to your previous question, we as CASE India are extremely positive to increase our investments in India. As a part of CNH Industrial group, we have taken a long term position on the India growth story and the potential thereof. We already have more than two decade old presence in the CE sector with a manufacturing plant at Pithampur and more than a decade old presence in Agriculture sector with a tractor manufacturing plant at Greater Noida under the brand name of "New Holland". We have recently strengthened our manufacturing presence in India with a new plant at Pune.
The government's 'Make In India' campaign is surely going to garner more interest in the Indian manufacturing sector with concomitant rise in the employability of the masses. CE industry also going to follow suit and we are hopeful of various MNCs to start routing greater investment in India to be a part of the growth story.
CASE India has already taken a cue from this to start transforming our Pithampur plant as a manufacturing hub to cater to our global demands. The new products such as the EX series in Loader Backhoes and the DX series on Compactors are export ready machine built with the finest global manufacturing standards. This is set to benefit the Indian customers due to availability of products with world class quality and reliability.
What is the progress of CASE decision to invest Rs.40 crores in this fiscal to strengthen its brand in the country?
For a product oriented organization such as CNHI, with worldwide investment in Research & Development to the tune of INR 7,500 crore in 2013, India follows the same approach, with heavy investment in our products over past few years. The result of this has been the EX series on Loader Backhoe and the DX series on the Compactors which has been exceptionally well received by our customers.
To supplement our superior products we are committed to the investment in the brand promise which CASE delivers and to sensitise the customers to our 172 year old heritage of delivering superior customer experiences in everything we do. We have already launched a major brand building program in India touching the entire spectrum of agencies associated in the Indian CE market from the machine operators to customers to financiers to our dealers. A program of a scale as large as this will take a couple of years to truly exhibit the outcome, however the directionality is right and we remain firm on our commitment to continue to invest assertively in our overall brand experience for all stakeholders in 2014 and beyond.
NBMCW December 2014.....
JCB Offers 'One Global Quality' Across ...
"JCB is a pioneer in CE industry and in the past few years, we have launched machines which are known for their performance, productivity, cutting-edge technology, and versatility," says Mr. Vipin Sondhi, MD & CEO, JCB India Ltd. to S.A.Faridi adding, "All our products are manufactured keeping the company's philosophy of 'One Global Quality' in view which means the equipment we manufacture in India can be used in any part of the world. Apart from these, we, at JCB, believe in customizing our product range to meet the key customer demands of high fuel efficiency and more specialist machinery. Today, we offer the widest range of machines in the industry – 25 products in 7 product lines. We recently launched two new product line – the Indian made Telehandler (Loadall 530-70 & 530-110) and Skid Steer Loaders (Robot 135-155).
How confident are you on the government's announcement of awarding 8500 km roads projects in this fiscal? What are the other initiatives that, you think, could help the ailing industry to recover at a brisk pace?
Recent announcements like awarding 8500 km road projects, rolling out infrastructure projects worth Rs.2 Lakh crore etc. have definitely created a mood of great optimism within the country – and great opportunities for leading construction equipment OEMs such as JCB.
Moreover, the major Indian government investment in building infrastructure, coupled with pledges of billions of dollars investment from foreign governments, including Japan's investment towards India's development, would create a strong demand for construction equipment across the country. However, the real progress can only be measured once projects are executed on ground. The need of the hour is to identify 20 projects of national importance and ensure they are implemented expeditiously.
Other than that, various projects like Swachh Bharat, Clean Ganga etc. launched by our Government will create a huge opportunity for the Construction Equipment Manufacturers.
The key lies in quick execution of projects to get the momentum going.
How do you analyze the CE sector growth in 2015-16 and beyond in the wake of the government's strong initiatives and commitments?
In my view, the Indian Construction Equipment sector is slated for positive growth in the coming years. Especially with the Government's "Make in India" campaign, the Indian Infrastructure sector will get a major boost in the coming years and so will the Indian Construction Equipment sector.
India needs $250 billion in 20 years to put in place a basic urban infrastructure relating to transport, water supply, sanitation, solid waste management etc. This alone presents an enormous opportunity for the Construction Equipment sector however, as I mentioned earlier, the Government needs to kick start on the ground movement.
In the next couple of years, projects like building of 100 smart cities, airports in tier 1 and tier 2 cities, Delhi-Mumbai Industrial Corridor, building of 1800-km highway along China border in Arunachal, energy (thermal and hydroelectric power plants), telecommunications, water & sanitation etc. will primarily drive the demand for Construction Equipment.
Yet again, I would reiterate the need for quick execution of projects.
Foreseeing the stable sentiment in the market, what marketing strategies are you reorienting knowing that despite marginal recovery, there would be stiff competition? What is the progress on Livelink you showcased during last Excon?
JCB is a pioneer in the industry and our machines are known for their performance, productivity, cutting-edge technology, and versatility. JCB machines always set new benchmarks when it comes to technologically advanced features. All JCB products are manufactured keeping the company philosophy of "One Global Quality". This means the equipment we manufacture in India can be used in any part of the world.
At JCB, we believe in customizing our product range to meet the key customer demands of high fuel efficiency and more specialist machinery. Today, we offer the widest range of machines in the industry – 25 products in 7 product lines.
Moreover, JCB has the largest and strongest distribution network in the country. We currently have 60 dealers and 600 outlets in India. Strategic investments have been made by our dealers in establishing world class infrastructure/ facilities, which are at par with global standards. Currently, our dealers employ over 6000 people in India out of which, a majority look after 'after sales support' and are regularly trained by JCB India to ensure they are always abreast with the latest in the industry.
On the technology front also, JCB is the front runner. We have recently introduced an advanced telematics technology called Livelink. It is an innovative technology which allows the user to remotely monitor the machine. JCB Livelink provides alerts on real time location, maintenance alerts, machine and fleet hours etc. putting the user in entire control of the machine from any location. It can assist in ensuring that the machines are operated at correct times and helps to protect them from theft.
What is the progress of JCB's Rajasthan plant? What are the distinctive engineering and manufacturing capabilities of this new facility?
Our two new world-class facilities are now operational which were recently inaugurated. Initially, we will start with the manufacturing of the Fabrications and then we will move on to JCB range of products.
Broadly speaking amongst other things, Jaipur will certainly produce the products that hold a promise for the future.
The Jaipur facilities will set many benchmarks in the Construction Equipment industry – innovative green initiatives, safety and security, process and production layout.
At JCB, safety is of prime importance and therefore, all our facilities are designed keeping safety as core. Like our Ballabgarh facility, our new Jaipur facilities will have forklift free manufacturing floor. We have flexible and automated linear product lines.
In the Green initiatives, we have constructed a large water body which will act as a rain water reservoir. Some other notable features are:
- Daylight utilization in factory, use of daylight saving system & occupancy sensor
- Water Management (Recycling, conservation, Rain water harvesting, zero discharge facility)
- Solar Water Heaters for hot water and solar panels for electricity
The demand for Backhoes in India is still strong and successful because of their versatility. However, the market is also moving towards more specialist equipment like Excavators, Wheeled Loaders and Compactors, as projects grow in size. We are seeing a particular increase in demand for our Compactors, because of urban renewal and lighter projects.
There is also a growing requirement for safe material handling equipment, such as Skid Steers and our Telehandlers called Loadalls. We have recently launched two Skid Steers and two Loadalls country wide and I think the rise in their popularity will, like with the backhoes, bring revolutionary change to the market. India's urban waste management programme offers ideal work for Loadalls and Skid Steers.
NBMCW December 2014.....
'Make in India' Campaign will Push Poli...
"With the new Government rolling out the much needed reforms, we are hopeful to see some growth in the coming months. We need to have a mechanism in place which will streamline the on-ground execution thereby ensuring a long-term demand for all construction equipment. We do hope as an industry body, that the "Make in India" Campaign will push for necessary policy reforms which will make it easier for prospective investors (domestic and international) to explore India as a business destination particularly for infrastructure building equipment," says Mr. Amit Gossain, President – ICEMA in an interview with S.A.Faridi.
In his first ever interview to NBM&CW after taking over the charge of Ministry, Honorable Minister for Road Transport & Highways, Mr. Nitin Ghadkari has assured the stakeholders of the sector to construct 30 km roads per day in two years after resolving all issues. As an ICEMA Chairman what is your take on this or how confident is CE industry on the government's announcement?
Due to the overall economic slowdown, we have been seeing a slowdown in the infrastructure sector for almost 3 years which has led to a slowdown in the Indian construction industry. However, with the new Government rolling out the much needed reforms, we are hopeful to see some growth in the coming months and roads is one of the key sectors to drive demand in the Construction Equipment sector.
Moreover, the recent announcement from Mr. Nitin Ghadkari definitely sets a positive tone for the industry. The budgetary allocations of Rs.37,800 crore to National Highways Authority of India for Road sector and Rs.14,000 crore for Rural Roads have shown that road (urban as well as rural) is a major focus area for the government.
However, the demand will pick up once projects start getting executed. The need of the hour is to identify major projects of national importance and ensure they are implemented expeditiously. We need to have a mechanism in place which will streamline the on-ground execution thus, ensuring a long-term demand for all Construction Equipment.
How do you see the government's 'Make in India' programme and mission motivating industry to participate in it? Will this help construction equipment sector to improve its technological status and competitiveness in the global market?
'Make in India' campaign is one of the major national programs which have been designed to facilitate investment and establish India as a global manufacturing hub.
We do hope as an industry body, that the "Make in Campaign" will push for necessary policy reforms which will make it easier for prospective investors (domestic and international) to explore India as a business destination particularly for infrastructure building equipment. Moreover, it will foster innovation, create employment opportunities and will protect the intellectual property right.
Foreseeing the government's strong commitment and stable sentiments in the market, how do you evaluate the growth of CE sector in the coming years?
Given our Government's focus on infrastructure, the Construction Equipment is slated for positive growth in the coming years.
The new Indian Government has shown strong intent towards infrastructural development since the beginning and we see notable reforms from the Government like Swachh Bharat, Clean Ganga which presents a huge opportunity for Construction Equipment Manufacturers.
According to the latest report released by A T Kearney, the Construction Equipment market is expected to grow by a healthy 20–25% over the next few years to reach 330,000–450,000 units sold in 2020, from current levels of about 76,000 units. This would imply a market of $16–$21 billion, up from today's $3 billion.
This will be positive only if government plans are implemented on ground.
There is still no certification body or industry authority for tracked equipment to certify productivity, safety, and emission. What is ICEMA doing in this direction to safeguard the interests of serious OEMs efforts to produce productive, reliable, and energy efficient equipment?
ICEMA has been interacting with the Department of Heavy Industry (DHI) for the approval of the Test Centre for the Construction equipment Industry on a regular basis. ICEMA has already submitted a detailed proposal on setting up of a 'Testing and Certification centre' for construction equipment industry.
Understanding the need for the same, the Cabinet Committee on Economic Affairs has approved the "Testing and Certification Centre" for Earthmoving machineries. The Department of Heavy Industries has played a major role in this important initiative and as an industry body we are thankful to them.
What is the progress in ICEMA's proposal to NSDC for setting up sector skill council for CE industry? If this proposal has already been accepted, how is ICEMA taking it forward for setting up centre for training and skill development?
ICEMA's proposal for Sector Skill Council has been approved by NSDC. The council has recently been renamed as Infrastructure Equipment Skill Council (IESC). The Governing Body of the Council includes representatives from equipment manufacturers, construction companies / associations, Department of Heavy Industry, and NSDC.
IESC has already started its operation with the support of ICEMA, by which the council will spearhead the skill development initiative of the industry.
The council would work towards developing National Occupational Standards and Curriculum for operator training. Existing training centers of ICEMA members would be affiliated to IESC for conducting trainings. IESC would also engage with other concerned training centers for conducting training of the operator.
This is a great initiative & will lead to employability in our sector, which is the need of the hour.
What is the theme and agenda of ICEMA conference coinciding with bC India 2014?
The theme of the Conference would be 'Adopting Speed, Scale and Skill in Infrastructure Development and Project Implementation'. The conference will also focus on Swachh Bharat and ways & means to help the Government in building smart cities. Financing of equipment will be a big part of the conference.
The conference is aimed to provide a platform to the equipment manufacturers, users, consultants, project authorities, concerned government organizations, technical experts, etc. to deliberate on the present trends on applications of construction equipment in the users industry sectors, performance of specific equipment in projects, requirement of state-of-the-art technology, consumers' view point and case study on applications of equipment, etc.
NBMCW December 2014.....
Mtandt Launching the World’s Largest ...
"With the new government at the centre, sentiment is back but not the business, however, when one sees all right actions are in place to pace our growth, we hope business also will not be far away. We consider next 5 years very important for Access Equipment business in India and towards this goal, we are taking all preparation. We are connected with World leading companies, who are continuously upgrading their products technologically in line with ever increasing demand of market and safety regulation. We are a part of this growth as their partner in India. During bC India, we will launch World's Largest Tele-handler in 5T Class MAGNI 5.35, which has got high reach possibility of 35 meter," says Mr. Subhamoy Ghosh, President, Mtandt Group.
How do you see the market potential for Access equipment in India in the coming years?
Although, it will be too early to say; there is light at the end of every tunnel, but certainly we can say that indication are very clear that we are moving in right direction and in good pace to see the end of tunnel. We all are hopeful about the turnaround possibility to economic situation, which has been in stagnant and sometime de-growth situation for the last 2 financial years. However, we would like to express our optimism with cautious approach.
It is true, that sentiment is back but not the business. However, when one sees all right actions are in place to pace our growth, we hope business also will not be far away.
Success of Access Platform will largely depend on changing our mentality about safety. In this country, we still consider "safety" as an added cost to our business and thus it becomes the last priority for investment in most cases. Obviously, there is some exceptional companies, where "safety first" is not just another signboard, but considered as "religion."
We will have to believe and understand safe working environment increases productivity and quality of work and thus safe practices can "save" substantial cost and can help in improving bottom line.
Also, as a matter of fact, in our country new application areas are being created. Overhead metro projects, flyover construction, new airports and shopping malls with high atriums, factory shades with high roofing is creating new opportunity of access platform business.
We consider next 5 years very important for Access Equipment business in India and towards this goal, we are making all preparation.
What according to you, should be done to address the safety related issues in the country?
In general, concern and respect for safety is improving in every level. However, as I mentioned earlier, unless we relate safety with productivity, people will not be enough motivated to invest on equipment related to safety.
We will also require Government to bring up right regulation and implementation process for working with safe man and materials handling equipment, which can really enforce companies to change their mindset.
Do you think that the Indian operators are skilled enough to operate latest and advanced technology products offered by Mtandt in India?
Firstly, we will have to understand the equipment, which we are labeling as "advanced" here, are already in existence in world market for the last 40-50 years. On the side, some of our so called "new generation" machines produced in India, cannot be found even in smaller economies like Bangladesh, Sri Lanka etc.
So, I would certainly not consider our offering as "advanced", but will rather say these are "progressive" equipment and a necessity for our current scenario.
We have seen some big construction and project companies are emphasizing on the right practices and methodology. Although, a lot of these initiatives get diluted in ground scenario, but concern of safe practices in Construction Industry is ever increasing.
Once, India comes back to the second phase of growth story, it will be quite important to complete our projects much faster than we have been doing earlier. We have lost substantial number of years in taking our infrastructure to world standard.
With demand of improved speed, need of such "progressive" equipment will be indeed felt. One good sign for us, people who have invested in these equipment do find them extremely useful and productive for their business environment and this motivated them for repeat buying already.
How do you see the equipment demand coming for your range of products in India?
In our Product pyramid, we expect volume sales through products like Vertical Lifts (solution for 5m – 14 m) and Scissor Lifts. There is big latent market of these products and we would like to create more easy connectivity between our potential buyers and our sales network to capitalize on the volume business opportunity.
We also see big growth opportunity for Truck Mounted Solution for Work Platform and Cranes, as mobility and productivity becomes an issue for faster execution of projects. Demand of Truck Mounted Access Platform (for insulated solution) will also come in a big way in India, as Power companies cannot afford shutdown for maintenance work anymore.
We are also very confident about future of Tele-handlers as the Multi-functional Materials Handling Solution in Indian industries. Our offering of Rotating Tele-handlers offers 360 degree Pick-N-Carry solution for users. Loaded with highest Safety features in the industry, these high value equipment can be handled by even lesser educated Operators, as the machine is intelligent for self control.
We heavily rely on Construction Industry, Big Projects and Plants, Electricity Distribution Companies and Municipalities for acceptance of our Truck Mounted AWP and Crane solution and Telehandlers.
On the higher side of our Product Pyramid for access platform, we have possibility of sales of Self-propelled Boom Lifts, Crawlers and Trailer Mounted Access Platform for utilization in new Airports, Shopping Malls, IT and Business Parks, Big Hospitals and certainly to the Rental and Façade Cleaning people.
A word about the scope of rental business in Access equipment?
There is huge opportunity of growth for Rental Companies for Access Platform business. However, currently the Rental Industry is facing enormous challenge due to poor payment flow from their organization, post contract negotiation for closing of long standing overdue.
Unless transparency is established between the Rental companies and their customers, the growth will not be sustainable at either end.
While we relate business of Rental companies to possibility of Sales of Access Platform, there is another scenario.
In all other developed markets, Rental companies are biggest contributor of growth of sales of access equipment. However, as of today a large portion of demand of these equipment are catered by uncontrolled import of second hand equipment. Regulation on second hand import and their usage can be a booster for the Sales of Access Platform. But, it is also important from the point of view of Rental Companies, as there has to be some incentive from the end user for deployment of new machines.
To what extent Mtandt has geared up to meet the expected demand in terms of capacity, upgradation of products and technologies, soft solutions and service back up support?
We are connected with World leading companies, who are continuously upgrading their product technologically in line with ever increasing demand of market and safety regulation. We are a part of this growth as their partner in India.
In terms with capacity, we do not foresee any challenge with any of our Business Partners overseas. They are all geared up to enter into this big developing market together with us.
What is the USP of your initiatives that you think is placing you ahead of your competitors?
As long as, we are able to communicate our value addition to customers, in terms of product knowledge and after sales support, we believe, we will remain market leader. Our main focus area is to build product range and we are now really in a strong position.
In a big country like India, coexistence of different brand is quite possible. The winner will be the one who reaches maximum possible customers and able to convince worth of their offering technically and commercially.
So enhancement of coverage is our key strategy to win new customer and market.
Mtandt along with IPAF initiated steps to set up an association for access equipment last year. How this association is working and progress it achieved so far?
The India council of IPAF is now formed and Mtandt is on Governing body of this council. We expect, with support of international IPAF Body and contribution of active IPAF Members in India, we will be able to make right representation to the policy makers of country for strict implementation of safe practices for work in height.
What are your plans of participation at bC India trade fair? Do you want to add more products to your portfolio?
The brand Mtandt is quite established in the business of Access Platform, we would like to utilize our presence in bC India to improve our image to our potential customer base.
Another big agenda for us is to announce our partnership with various world's leading companies during this show.
We will launch World's Largest Tele-handler in 5T Class MAGNI 5.35, which has got high reach possibility of 35 meter.
We are looking forward to upcoming show with great enthusiasm.
NBMCW December 2014.....
GMMCO: To Tap Emerging Opportunities at...
GMMCO dominates the Wheel loaders, Track Type Tractors, Motor Graders, Dumpers & Shovels segment in the Indian CE market. "Our strategy is to enhance the customer experience by adding value with differentiated offerings. We at GMMCO, believe in consultative approach, lifetime value proposition and one-stop solution. Through our bC India participation, we plan to reach out to our existing customers and tap prospective customers showing our technical and engineering capabilities," says Mr. Tanmay Majumdar, Associate Vice President – Construction Equipment, GMMCO Ltd in an interview with Maria R.
"What is your company's plan to participate in bC India 2014? What is the key message you are planning?
For us, bC India 2014 is a good opportunity to showcase our products, product support, expertise and our technical and engineering capabilities. We expect to reach out to our existing customers and tap prospective customers. Our representatives present there are at visitor's service at stall no. 423 (Outdoor).
The message for bC India is BUILT FOR IT™.
What are the products and services proposed to be launched and displayed at the show?
At bC India 2014 Gmmco along with Caterpillar and TIPL will display CAT machines and CAT engines. Our product portfolio includes the indigenously manufactured Cat 320D Series 2 Hydraulic Excavator, Hindustan 2021 wheel loader, New Cat 424B Backhoe Loader, Skid Steer Loader and the other large machines Cat 950 GC Wheel Loader, Cat 120K Series 2 Motor grader, A C32 Generator Set and Cat work tools complement the earthmoving machines display. Apart from the products display we have service related solutions like Product support offerings and rental solutions.
What is the USP of your products?
We believe in giving customers best Product and unmatched Product Support. We have solutions which help the customers better returns by way of effective and productive utilization of assets. We provide our customers various Product Support Programs like CSA (Customer Support Agreement), MARC (Maintenance and Repair Contract) and value based services like SOS (Scheduled Oil Sampling).
We provide Training in world-class Training centre of Chennai and have component Rebuild Centre in Nagpur & machine Rebuild Centre in Butibori. The product once sold remains in our radar for the life time and thereafter we again help the customers in Re-sale of high value asset. Our workshops and Parts warehouses are maintained in a contamination-free environment. We have strategically located our establishments and facilities to cater to the need of our customers across our territory. Our Infrastructure and experience, built thoroughly over the years, offer a great deal of real-value support.
A brief on GMMCO's technical products support services and operators' training offered by the company.
Gmmco conduct on-site trainings in regular frequent for all customer operators to enhance their knowledge in operation and maintenance and skill level in different CAT machines.
We provide technical and MAPS training for customer operation and maintenance staff on maintenance and troubleshooting aspects. MAPS training helps customers to understand the application and use, the right machine for right application.
Also, we have our CDI operators trained by Caterpillar experts, who are well trained in operations and maintenance of various CAT machines. We regularly conduct onsite trainings for all customer operators, to enhance their knowledge in operation and maintenance and skill level in different CAT machines. This helps operators for optimum utilisation of various features of the machine. These trainings help customer to get better performance, productivity, and lesser downtime and reduce operating cost of the machines.
Financing small and medium contractors is really becoming difficult these days as the banks as well as the financing companies are become very selective in their financing approach. How can financing to the genuine buyers be eased and ensured?
Construction equipment financing market is dominated by NBFCs and Banks. The limitation is that the majority of branches are present in Tier 1 and Tier 2 cities, so it is challenging for contractors to get finance if they are present in Tier 3 or Tier 4 Cities or villages.
Secondly, the financing amount is also dependent on the machine population, so Majority of the CAT products are categorized as Level 1 products, so the funding for them is high. Additionally, Gmmco's continued association with the financers ensures that our machines get good financing deals.
A word about the rental business from GMMCO-CAT Rental stores, its impact in providing tailor made rental solutions to meet diverse customer requirements.
GMMCO provides rental solution (machines and engines) through its rental stores located all across its territory in India. This offers customers the option of going for world-class equipment at a fraction of the cost of investing into new equipment, a boon to small contractors.
Gmmco differentiates its Rental services by providing a very young fleet to its customers, offering high productivity & low downtime thereby making businesses more profitable for its customers.
What is your overview on the growth of construction equipment industry in general and your company business? What is Gmmco strategy to increase the market share in the CE product range?
After the 2011 spike in the industry, all the manufacturers ramped up their manufacturing capabilities to be able to feed the market demand. Subsequently, the industry shrunk across all the product segments with backhoe loader itself witnessing a steep decline in 2014 compared to 2011 industry numbers. At this time, there is an oversupply in the industry. Gmmco operates in the 10 states of Central, Western, and Southern India and dominates in the Wheel loaders, Track Type Tractors, Motor Graders, Dumpers & Shovels segment in the Indian market.
Our strategy is to enhance the customer experience by adding value with differentiated offerings. We at GMMCO believe in consultative approach, lifetime value proposition and one stop solution. Our customers are our partners for mutual success.
NBMCW December 2014.....
Nawa Engineers Upbeat on Growth Prospec...
"The new government is taking a series of reform measures to boost infrastructure projects and the industry expects that impact of this will be reflected in time to be seen in FY 2015-16," says Mr. G.N Raju, Managing Director, Nawa Engineers in an interview with Maria R. He is of the view that with the initiatives of the government in road sector, the aggregates crusher manufacturers are happy with their revival and growth plans to cope with the inevitable boom in infrastructure construction projects (freight corridors, industrial corridors, highways, railways, sea port projects, airports, etc) and are also gearing up to regain their lost ground.
How do you find the demand trends of crushing & screening equipment in the wake of government's strong initiative and commitment on Infra development?
Since 2011, large chunks of the economy have been under severe strain due to what is termed by the expert analysts as 'Policy Paralysis' on the part of the then government. The investments into infrastructure construction and mining sector have come down drastically. The equipment demand for quarry & crushing-screening, both for aggregates processing and mineral sizing too has gone down as the economy has slowed down. The new government under the leadership of Mr. Narendra Modi, has been taking steps to break the logjam with a series of initiatives. The core sector ministries have been tasked with reviving the stalled infrastructure projects such as roads, power, ports, coalmines, and telecom by March 2015. For road sector, the PM has set a target of awarding projects by end of March 215 for 8,500 km of highways. The highway sector is the principal source for quarry & crushing-screening equipment as the crushed stone, called as aggregates, is one of the key raw materials for road construction. The highway ministry has already indentified and announced plans to revive in the FY 2014-15 as many as 34 highway projects worth over Rs.26,000 crores (a total stretch of over 4,000 km) by restructuring them from present PPP mode to EPC mode, as private sector investment in the highway sector has had a setback. The quarry & crushing-screening industry believes that the worst is behind it and the recovery is real. The industry is reported to be seeing already some stable recovery and a progressive increase in demand for aggregates processing plant & equipment from 2015 onwards.
What is the impact of revoking of 214 mining licenses on the crushing and screening equipment market?
At the outset, it was shocking to those coalmine owners already operating the opencast mines allotted to them. It has dampened the companies engaged in mine planning & development and mining equipment manufacturers. Fortunately, the aggregates processing equipment companies are not the key players in coal sizing and processing equipment. With the initiatives of the present government in road sector, the aggregates crusher manufacturers are upbeat with their revival and growth plans to cope with the inevitable boom in infrastructure construction projects – freight corridors, industrial corridors, highways, railways, sea port projects, airports, etc.
The good news is that the government has swiftly moved and formulated an e-auction tender processing of all the cancelled allotments as well as new coal blocks. It is reported that the e-auction norms are under finalization, and the government is taking quick action to make these cancelled coal blocks to go into production so as to bridge the fuel shortage of the existing power (thermal), steel and cement industries, the growth of which is critical for the faster economic growth.
What is the core strength of Nawa? What advanced technology and features are incorporated in your product line which not only reduce power consumption but also ensure better productivity and operational efficiency?
NAWA since its inception in 1998 has demonstrated its proven technologies in crushing-screening-material handling-aggregates plants. We have supplied over 800 crushing plants to various infrastructure construction projects and aggregates industry. Our engineering skills combined with manufacturing, infrastructure and quality programs ensure a world-class equipment delivery. Our well-engineered and well-built plants got overwhelming recognition for their high productivity and delivering high quality aggregates meeting the varied specifications of concrete and asphalt mixes for various construction processes. Our secondary/tertiary cone crushers are now fitted with Hydraulic Rotary Feeders (HRF), a high-tech feature developed by us for a uniform crusher-feed. Our cone crushers with HRF have demonstrated to give out increased wear life of manganese, increased throughput capacities and reduced cost per ton of aggregates produced.
Our Duracone SRM series flat-head cone crushers with patented hydrostatic thrust bearing are power savers per ton of aggregates. All our equipment have been designed and developed with emphasis on increased productivity at optimum efficiency levels.
Nawa forged a JV with a company McLanahan Nawa Engineers (P) Ltd last year. How is this JV partnership working and what new dimension has it added to your range of high performance crushing applications?
McLanahan-NAWA offers a wide range of high-performance mineral processing equipment manufactured in India to McLanahan's technology and global standards. They specialize in crushing materials such as petroleum coke, coal, gypsum & limestone and beneficiation equipment for mineral ores. The JV Company has already bagged prestigious orders from Indian customers against global & domestic competition for supply of a crusher equipment package for petroleum coke crushing for an oil refinery major and a 14'x37' rotary scrubber for iron ore beneficiation for a leading integrated steel mill. These equipment are being manufactured indigenously to McLanahan's global standards. McLanahan foresees a great market for its products in Indian mining sector and taking steps to consolidate its presence in India.
NAWA has acquired technical knowhow and global manufacturing rights of DURACONE range of crushers sometimes back. So far, what has the market response been to DURACONE SRM cone crushers?
Duracone SRM is the creation of Louis Johnson (who invented and developed the first all roller bearing cone crusher), after several years of design and field-testing and proven performance in crushing hardest of the hard rocks. NAWA has acquired the technical know how and worldwide manufacturing rights of 'Duracone SRM' cone crushers. With this addition to our product portfolio, NAWA has the full range of high performance cone crushers to process hard stone or mineral ores up to 800 TPH crushing capacity.
We have successfully launched SRM 400 and SRM 500 models and the performance has been found to be far exceeding over conventional flat head cones built with bush bearings. They are energy savers with a lowest kW per ton of aggregates produced.
What is the progress in Nawa's plan to add new products like track mounted plants, concrete batching machinery, cranes, loaders and related construction equipment to its portfolio?
New equipment development process is a continuous process in NAWA. In the last two years, we have successfully developed a variety of high technology products for crushing & screening plants and material handling systems.
Our new products: 1) Hydraulic Radial Stacker 2) Track-Belt 3) Hydraulic Rotary Feeder for Cone-Feed and 4) TRIPLEKS series Horizontal Screens are meant to enhance operational efficiency and productivity in aggregates plants and associated material handling functions. These equipment have already been commercialized successfully and the customers-feedback established that they add value to their enterprise.
We have also firm plans to get into allied construction equipment manufacture and waiting for the market to attain stability.
Economic downturn has put quite a big pressure on the profitability due to stiff competition on one hand, while on the other hand, it also leads to brand substitution. How are you managing this difficult phase while maintaining Nawa's quality standards?
The manufacturing sector as a whole serving the infrastructure development has been under pressure due to economic downturn, especially the roadblocks in construction sector since 2011. We, at NAWA, have taken steps to keep our workshops busy by taking up heavy machine fabrication works for EPC contractors of cement, steel, power and mining sector. Our manufacturing and quality systems are so set that we are able to mend them to deliver made-to-order machines to the exacting standards of these customers. In NAWA, we have set our quality assurance programs that are automatically followed for any heavy machine fabrication to the international standards.
What is your assessment of the business performance of Nawa in 2015?
The quarry & crushing-screening sector suffered since 2011 as the economy has slowed down and it has badly affected the manufacturing companies like us who are centered on infrastructure construction. The performance for FY 2014-15 continues to be under strain. After 3 worst years of down cycle, the industry is seeing a surge in the market starting from 2015 with reform measures to boost infrastructure projects already showing signs of recovery. The industry expects that impact of this will be reflected in time to be seen in FY 2015-16. We have thrived in this difficult period, and along with other players in crushing & screening machinery manufacturing are gearing up to be ready to regain the lost ground.
NBMCW December 2014.....
ElectroMech Expects Bright Biz Prospect...
Electromech is enjoying the distinction of being the largest industrial cranes manufacturer in the Indian market. Its tie-ups with international majors like ABUS, STHAL, and Zoomlion, coupled with ElectroMech's indigenous domain knowledge makes its position strong in the industry. Sharing his views with S.A.Faridi on the prospect of CE market in India, Mr. Tushar Mehendale, Managing Director, ElectroMech, seems optimistic on the growth prospects of Indian economy. According to him, "Development of infrastructure is vital for the growth of a country and our 12th five-year plan reiterates this fact, as an estimated amount of over $1 trillion is to be spent during this period on development of infrastructure in India. This will certainly give a boost to the construction equipment sector. Moreover, considering the government stated intentions on revival of the manufacturing and industrial sectors, we expect the sector to grow at 20 – 25% annually over the next few years."
What has been the demand supply scenario for industrial cranes this year and how do you see market growth in 2015?
After a lackluster start in the year, the Indian economy now looks to be on the path of recovery. With the new government in place, a renewed push is expected in the infrastructure projects and allied areas. Development of infrastructure is vital for the growth of India and the 12th 5-Year Plan reiterates this fact, estimating over $1 trillion to be spent on development of infrastructure in India. This will certainly give a boost to the construction equipment sector. ElectroMech expects the sector to grow at 20 – 25% annually over the next few years. With the government's stated intentions on revival of the manufacturing and industrial sectors, ElectroMech is expecting an upswing in the coming months and 2015. Demand is also expected to rise as there will be a pent-up demand for cranes from various sectors.
Over the past couple of months, we have seen some movement in the demand for material handling equipment coming from the market. Some of the projects which were stalled seem to be getting back on track. Customers have started discussions on expansion plans which had been shelved for a long time. As a result, there is a definite buildup of action in the industry. Our reading of the market is that the economy is slowly turning around, fuelled by the positive sentiments created by a seemingly stable, growth oriented government at the center. We expect this to become more pronounced in the coming year and are eagerly looking forward to it.
What is the USPs of Electromech's strategy which kept its business afloat in the tough economic condition?
The company's focus now is to make sure that we are ready to take on the expected new demand as well as pent-up demand, as the positive sentiment in the economy trickles down to spending in the capital equipment sector. The company's current installed capacity is enough to cater to the requirements of its growth strategy in the Indian and global markets.
As a group, ElectroMech is well-placed to handle a diverse range of requirements from a diverse set of clients spread across different industries and geographies. Be it Automotive or Metals, Construction or Power, Heavy Engineering or General Engineering, ElectroMech has products to cater to all their requirements. Tie-ups with international majors like ABUS, STHAL and Zoomlion, which cater to the niche requirements in the materials handling space, coupled with ElectroMech's indigenous domain knowledge makes its position strong in the industry. The company has enjoyed the distinction of being the largest industrial cranes manufacturer in the Indian market and will keep maintaining this leadership position even in the future.
How does Electromech see itself as total solution provider in industrial cranes segment? What is the latest offering of the company in the segment?
ElectroMech offers precise material handling solutions for wide-ranging applications in manufacturing plants and infrastructure projects. ElectroMech manufactures a diverse range of Cranes and Hoists for a variety of applications across numerous industry verticals. These include Single Girder & Double Girder Cranes, EOT Cranes, Gantry and Semi-Gantry Cranes, Jib Cranes, Wall-Travelling Cranes, Light Weight Cranes, Goliath Cranes, Explosion-Protected Cranes, and Underslung Cranes. The company also manufactures Special Purpose Cranes such as Stacker Cranes and Tunnel Mucking Systems that are used for specialized applications in various sectors and industries. Our products are supplied to diverse industries including Automobile, Construction, General Engineering, Heavy Engineering, Oil & Gas, Power, Railways, Shipbuilding and Steel.
ElectroMech is the exclusive India partner for Germany-based ABUS Crane Systems for their entire range of standardized Hoists and Cranes. The company also has a tie-up with Stahl CraneSystems GmbH, Germany, which is the world leader in Explosion-Protection Technology for providing Explosion-Protected Cranes and Hoists in India for the Oil & Gas segment.
Our Joint Venture with China-based Zoomlion, a Fortune 500 company and the 6th largest construction equipment manufacturer in the world and the world leader in Tower Cranes allows us to expand our offerings to the growing demands of the construction sector.
What initiatives are you taking to strengthen your after sales service, parts availability, as these factors play a big role while selecting equipment?
Material Handling is a critical part of any production process in any industry. Thus, any unexpected breakdowns of Cranes, Hoists, Winches and other Material Handling Equipment, totally distort the production process and delivery schedules. In order to reduce, and almost eliminate, the variability of such unscheduled breakdowns, it is recommended to have a proper maintenance carried out by trained professionals having a "crane-specific" expertise.
In the industrial cranes sector, sadly there is a lack of organized after-sales service offerings. Majority of the manufacturers' involvement ends once the commissioning of the equipment is done, and generally, it is left to the end-user to service and maintain the crane. ElectroMech believes in a solution approach to selling and has addressed the huge vacuum in after sales service space through a separate business unit – Cranedge that caters exclusively to the after-sales service requirements of its clients.
Through Cranedge, ElectroMech offers dedicated services for all industrial cranes irrespective of its makes and ensures that its clients get the maximum return on their investments. These services are made available through a team of well-trained and skilled team of engineers and technicians. Cranedge, offers Spares Support, Repairs, Services and Overhauling, Annual Maintenance Contracts, Crane Health Checks, Modifications and Retrofits, Relocation of cranes and Crane Safety Certification.
Cranedge's services are available for all brands of cranes, anywhere in India. It pursues the concepts of offering 'Service at your Doorstep', to reach 'Zero Downtime' and build 'Lifetime Relationships'. As a specialist service provider, it is equipped and backed by resources which are essential pre-requisites to excel in service and ensure a high level of customer satisfaction.
Electromech has a number of tie-ups and joint ventures with global brands to provide its customers with world-class products and services. Are you vying for any other such collaboration?
ElectroMech has always aimed at tying up with the best-in-class companies across the globe with a focus to offer solutions and services that satisfy the needs of its customers. Our association with ABUS of Germany helps us in providing top quality standardized equipment for the blue chip companies. Our association with Stahl of Germany for the EX ranges of products enables us to offer highly safe and reliable products for the hazardous area industries like oil & gas. Our association with Zoomlion enables us to provide a diverse range of tower cranes to the construction industry. Apart from this, our in-house expertise of crafting solutions and customizing equipment ensures that we can cater to any customer requirement.
Going forward, the company plans to explore newer product categories in the crane business depending on the market scenario and its clients' requirements
What are your plans of participation at bC India trade fair to be held in Greater Noida? Do you have any plan to add more products to your portfolio or services at the show?
We look forward to this bC India, which seems to be timed just when the infra construction industry is expected to pick up. Trade shows like this give us a platform to reach a large number of people from our target audience over a short time span and in an efficient manner.
Launching products at such shows certainly makes sense for a focused introduction to the relevant users. Choosing whether to launch a product at a trade show also depends on timing - which may not match the readiness of a new product to be introduced to the market. That said, if the timing is right we are happy to use a trade show to introduce a new product.
At ElectroMech and our group companies, we always innovate and bring new products and solutions to our customers. Regarding this edition of bc india, watch this space for exciting announcements!
NBMCW December 2014.....
Wirtgen’s Introduction of Kleeman Cru...
Wirtgen group is a 65 years old Germany based family owned company, with brands of Wirtgen, Vogele, Hamm, Kleemann which are more than 130 years old. The group's picturesque plants at Goppingen and Tirschenreuth are among the major production centers producing crushers and road equipment. The plants experienced a major congregation of Wirtgen's global customers, participating at 'Wirtgen Technology Days' event from 23-29 September 2014. The event was marked by major live technical presentations through its brand of newly launched road construction equipment along with showcasing the production facility of Goppingen plant producing tracked crushers. It was essentially a mega marketing exercise, global in its entirety by the Wirtgen Group and saw participation of 4,500 customer representatives along with entourage of Indian customers representing the road contractors fraternity. P.P. Basistha had an opportunity to interact with Mr. Stefan Wirtgen: President and Managing Partner- Wirtgen Group, learning on the new acquisition of asphalt batching plant manufacturing entity Bennighoven, business plans on India, reason for extended entry into the crushing and screening sector and plans to position the company as a total road construction and mineral processing solution provider in near future: Excerpts:
Business plans for crushers and screens in India:
The Indian market has big appetite for road equipment and mineral processing products led by the expansion of road construction sector and coal processing. Based on the firm demand fundamentals from the mineral processing industry we will introduce Kleeman screens in the Indian crushing sector followed by our entire range of Jaw and Cone crushing solutions with adequate service back up. We have hired experienced personnel to provide effective service support and also to promote the crushing business in India. We will target special projects through our Kleeman brand of crushing equipment. Our crushing products will be standardized according to the requirements of the emerging markets. We will customize the crushing technology keeping the requirements of the Indian markets in view. Considering the increased ongoing activities and projected higher future growth, we are expanding and further strengthening our Indian team.
Reason for extended entry into Indian crushing and screening sector. What will be the tentative schedule for launching the entire range of Mobile tracked crushers?
Indian crushing and screening market is highly competitive from the product placement and also the pricing point of view. Given the high potential of business, we will introduce Kleeman range of Mobicat, Mobicone and Mobirex crushers in phases. Initially, it will be the screens, followed by stage wise introduction of other range. However, our initial focus will be on the medium and smaller capacity tracked units and we want to do justice to the service requirements of the customers maintaining right focus.
What are the segments you will compete with and how do you propose to make the products competitive as the units are being equipped with high end Scania engines?
Aimed at larger capacity quarry owners and operators, we will compete with the premium product segment. Once planned for the Indian market, we will equip the units with Deutz and Cummins engines, facilitating easier services.
Acquisition of asphalt batching plant manufacturer Benninghoven and plans to introduce the product for the global and Indian market:
Benninghoven was acquired from Niko of Japan based on our future business strategy to be a total solutions provider in road construction business. This acquisition has strengthened our position, as now we are in a position to offer solutions across the entire vertical of road construction comprising crushing and batching on one end and milling-recycling-mixing-paving and finally compacting on the other end. In order to have specialization on all the ends, we have demarcated the functioning of our subsidiaries, with mineral technology being represented by Kleeman brand aligned with a subdivision taking care of Wirtgen surface miners, and road technology represented by Wirtgen, Vogele and Hamm. With a view to have quality specialization in all the segments and availability of the products, we are making sizeable investments in our operations. We will keep strengthening our research and development appointing almost 400 people this year.
We do not intend to introduce Benninghoven range of asphalt batching plants in the global markets in the next 2-3 years, rather our focus will be to integrate the entity into Wirtgen making the solutions attuned to meet the requirements of the European, Middle East, and African markets. The integration will essentially involve making of solutions attuned to the local operating conditions backed with adequate service and product support. Regular investments in our production, R&D and support facilities have enabled us to retain our strong share in road construction in China, and also in the USA.
NBMCW December 2014.....
Puzzolana Prioritises on Delivering Cos...
"Puzzolana is working towards the goal of becoming a "Solution Partner" by providing complete services to its customers so that they can start focusing on their main business of building Road/Dam projects with a CAP on the crushing costs. We have a widespread network of 10 Dealers and stockists covering the Indian market with their sales and service teams and stock points. Our current focus is on giving the cost-effective solutions to our customers by way of saving energy and natural resources," says Mr. Abhijeet Pai, Managing Director, Puzzolana in an interview with S.A.Faridi.
What has been the market response to your game changing hybrid technology introduced last year?
As you are aware, we always do extensive type of tests before the launch of new product in the market. We are field testing this product and will launch it by next year.
How will this technology help quarry owners to bring down per ton cost?
This model is without bearing on the top and also of floating design. This will improve the capacity of machine and optimize the power/ton of production.
You are an Indian manufacturer competing with many MNCs, as they come with their developed world experience and proven technologies. What is your core strength/competence which gives you a competitive edge?
We have developed the design and manufacturing practices of our machinery to suit to Indian ores, which are hard and tough to crush as compared to European ores. We also have more numbers of plants (over 1800) compared to the total population of the MNCs supplied plants.
We have the knowledge and expertise on all Indian quarries as we supply plants to every corner of India. Our focus is on India and 85% of our production is for it.
We have in-house facilities right from Engineering, foundry, machining, assembly, and testing in India.
We have distributors and stock points for spares and services.
While selecting a plant, operators training, after sales service, spare parts availability, and after market are the main factors that play a big role. What initiatives are you taking to strengthen these areas?
Puzzolana has a widespread network of 10 dealers & stockiest covering the Indian market with their sales and service teams and stock points.
We have more than 25 teams for erection and commissioning of the Crushing plants and specialized service teams in addition to the dealers with our own offices in Hyderabad and Gurgaon.
As explained Puzzolana is working towards the goal of becoming a "Solution Partner" by providing following services to our customers so that they can start focusing on their main business of making Road/ Dam project with a CAP on the crushing costs:
A. Parts Contract
B. Maintenance Contract
C. Operation & Maintenance Contract.
We also support Major Equipment of the Plant–under the program of "life-cycle support" wherein.
1. we depute our service team for periodic study of the plant
2. we decide the time say 6-7 years for major overhauls of crushers at our factory or at our other workshops in India.
Despite slowdown in the infrastructure sector, Puzzolana has maintained its position in the crushing business. How do you rate your performance in this tough time?
Our focus in this period is to give the cost-effective solution to our customers by way of energy saving, environment-friendly and saving of natural resources like water and green belt.
Given the intent or resolve of the government, how do you see the infrastructure construction equipment market growing in the coming years?
We see a positive move and in view of the slowdown and financial crisis of Infra companies and infrastructure projects, the revival will be only by second or third quarter of the year 2015.
What would be the focus of your participation in the bC India international trade fair to be held first time in Delhi? Do you have any plan to add more products to your portfolio or services at the show?
We are participating in IMME and bC India and have improvised the technology of mining of soft ores – continuous miners, feeder breakers for 100mm coal and secondary sizers in IMME.
We are participating at bC India to mark our presence in North India and North–East. Our focus will be on quality sand, aggregate and Railway Ballast for the goods corridor projects and for high speed trains.
NBMCW December 2014.....
Quality Assurance is Zoomlion’s Forte
"In Zoomlion, quality assurance is a major priority and we never compromise with it. Our philosophy, 'Less Breakdown More Productivity,' makes our products very sustainable. All our products including Cranes, Concrete and Earthmoving Machineries are very efficient in terms of engine power utilization, fuel-efficiency and minimum cost of operation and are finding wider acceptance in the Indian market. We are planning to introduce a new product 'Rough Terrain crane' in the Indian market very shortly," affirms Mr. Owen Yang, Managing Director of Middle East and South Asia Region, Zoomlion in an interview with S.A.Faridi.
How do you view the global construction industry in general and potential of Indian construction sector in particular?
This is really a big question and not easy to answer. But generally speaking, most of the overseas markets for global construction industry are growing up except China in comparison to last year.
Zoomlion has its presence in the Indian market since 2003. How has your business been shaping up in the country since then?
We've gone through 3 stages with different business models in the 11-year history of our marketing development in India. Firstly, we entered into Indian market with local distribution in 2003, when tower crane was almost not known to the Indian construction market. However we had to change our strategy to make direct sales with focus on corporate customers, when our distributors decided to start their own production of the same product in 2009. In order to be more competitive and gain more confidence from the market, we implemented our localization strategy and formed a Joint Venture company with India's leading industrial crane manufacturer M/s. Electromech Material Handling System India Pvt. Ltd. in 2012. With localized staff, production, supply of crane, service and spare parts, we are now ready to cater to any requirement with right product solution and fast response.
The new government in India has initiated multi-pronged strategies in its first budget by focusing on infrastructure especially on port, power, railways and road sectors. How do you see business opportunities in the next two-three years for Zoomlion and what strategies are you adopting to reap maximum benefits?
Well, we are keeping a close eye on the said budget. We will keep optimizing the general use of our equipment so as to match the exact requirement of customers. Meanwhile, we are confident of our R&D capacity and special purpose tower cranes. We did some of the world's most challenging works, so we will still have a focus on core infrastructure projects such as power, refinery, cementation, ports etc.
What are your products which are getting wider acceptance in the country? Are you planning to introduce some new products in India?
India, being one of the fastest growing economies with huge requirement of building infrastructure projects, has wider acceptance & demand of Zoomlion products such as Tower Cranes, Crawler Cranes, Truck Cranes, Concrete Machineries and Earthmoving Machineries, among of which, tower cranes are available from our Indian joint venture, i.e., Electromech Ltd. In recent years, Zoomlion has been a leader in supplying projects with cranes and other specific equipment, catering to needs of major EPC companies such as BHEL, Reliance Industries, L&T and many more corporate as well as retail clients. As far as new products are concerned, yes, we are planning and doing market viability research to ascertain whether it's right time to introduce Rough Terrain crane to this market.
How sustainable are your products in terms of productivity, fuel efficiency, and affordability?
In Zoomlion, quality assurance is major priority and we never compromise with it. Following ISO 9001 and other major quality standards, we use high quality components of international brands in our equipment assuring long life of each part of the machine. Our philosophy, Less breakdown More Productivity, makes our products very sustainable. Our equipment meet the latest international norms of emission and are very efficient in terms of engine power utilization, always reducing consumption of fuel and cost of operation. Our products are at par in terms of quality and price among other major competitors.
In India, equipment are used for longer time and in quite hostile working conditions. Are you doing India specific R&D?
In some countries including India, the working condition is very hostile. To adapt to those tough conditions like hot, humid weather etc., Zoomlion invests a big portion of yearly budget on R&D. Our team has done a detailed research on Indian working conditions and also carried out required modification in Zoomlion machines to make them fit for rough and tough operations, e.g., modifying the cooling system to protect engine in hot weather, enhancing painting procedure to anti-corrode in humid area, which is one of the key reasons why customers chose and are choosing Zoomlion products.
With subsidiaries in over 40 countries, how Zoomlion thinks that Indian market is different from other countries and what is its strategy to capture major share of this market?
Well, India's population rises to 1.2 billion with vibrant economic growth, specifically it has very much potential in urbanization and infrastructure, where we have opportunities. Secondly, price plays more important role than other factors in this market. To capture a major market share we need the most suitable solution rather than the best one, so we will be more market oriented in our strategy.
Do you have any investment plan or looking for further JV and marketing tie-ups in the country?
Yes we do, we will invest more in our phase II of the JV plant.