Puzzolana Machinery Fabricators Plan fo...

Puzzolana Machinery Fabricators Plan for Diversification
"Puzzolana Machinery Fabricators are planning for diversification in the field of crushing and screening products by introducing mineral sizers," says Mr. Prakash Pai, Managing Partner, Puzzolana Machinery Fabricators in an interview with SKK. Under Prakash Pai's dynamic leadership, and enterpreneurship, the company has grown with a turnover of Rs. 252 crore (45 million Euros) in 2006-07. New avenues like Crushing, Grinding and Screening fields have been developed thus making the company as one of the front leaders in the market infrastructure development. It plans to exhibit all together new products diversified from its existing crushing activity at Excon 2007.

Please tell us something about Puzzolana Machinery Fabricators, and its market share.

Puzzolana Machinery Fabricators is a 2nd generation company specialized in execution of turnkey projects in the field of crushing and screening and bulk material handling systems. It has supplied more than 400 Nos. crushing plants and 1000 Nos. individual crushers handling aggregates, Iron ore, Limestone and other minerals.

Presently, company's turnover is Rs 252 crore (45 million Euro) exclusively in crushing and screening activity with a major share of around 40% in 100 TPH and above in Indian Industry.

What are Company's achievements?

Puzzolana Machinery Fabricators Plan for Diversification
The major achievements in the current financial year are that Puzzolana for the first time supplied 3 Nos. aggregate crushing plants of 550 TPH capacity which are under execution. Our largest capacity of Crushing plant so far was upto 500 TPH. It manufactures the biggest Horizontal Impactor (Size: 2000 mm ö x 2200 mm L) first time in India for limestone crushing, including stackers, and reclaimers.

How is the Company positioning itself for the future?

Due to tremendous growth of infrastructural development related to road projects, irrigation projects, SEZ commercial projects, RMC projects and Airports development, the Company is well– poised to meet the greater demand. Adopting quality and service is its Motto, to serve the customer with the quality of next generation products and services.

In view of major demand for higher capacity crushing plants of 500 TPH and above, the company has decided to develop jaw crushers of 800 TPH / 1000 TPH and cone crushers of 500 TPH and above.

The Company believes in setting up high standards of designs and engineering services at par with global technical advances and stabilizing and upgrading the present manufacturing facilities to obtain highest quality standards ultimately resulting in high performance and ultimate satisfaction of the clients.

The Company is aggressively planning for diversifications in the field of crushing and screening product range by introducing mineral sizers etc.

What is the importance of Exhibition like Excon 2007 and Company’s plans to participate in this?

The Company views EXCON–2007 as the major platform of constructions equipment in Indian Industry and it plans to exhibit all together new products diversified from the existing crushing activity.

NBMCW November 2007


Smallest & Biggest VSI from Proman ...

Proman will be launching the smallest and the biggest VSI in Excon 2007. "We have recently moved to a new state-of-the-art spacious manufacturing facility to cater to the growing demand for our products. Our focus in Excon'07 is to showcase our skills to provide total crushing solutions for producing the best quality finished products catering to any of the standards in the world," says Mr. R.S. Raghavan, Managing Director, Proman, in an interview with SKK.

Proman is an important player in providing crushing, screening, and grinding solutions to the construction sector projects. How does it look at the future demand of these products and what projects will create demand pull for these products?

Proman has always provided unique solutions to its customers and is fully capable of upgrading an existing plant by offering solutions to the customer based on his precise requirement. Our ranges of products are unique as compared to what is available in the market. Our product range and mix has made us to operate in usual as well as niche markets. Proman provides solutions that can upgrade existing crushing plants to help produce good quality specification aggregate and crushed sand as well.

We foresee good demand in big capacity rock plants and sand plants.

Tell us something about Proman, its growth since 2001, its business areas and product range and important construction projects on which these products and services have successfully been deployed?

Proman Infrastructure Services Pvt Ltd was formed in 2001, wherein a group of professionals with extensive experience in crushing, screening, and heavy equipment came together. The challenge to many quarry owners is to obtain the right quality of the aggregates at the right price and this can only be achieved by having a total control on the equipment, process, after sales and spares.

Keeping this in mind, Proman was formed and it has a unique alternative approach in this field to help contractors and quarry owners.

Proman started with REMco Vertical Shaft Impact Crushers in 2001.

We have successfully deployed the same in the biggest rock plants and sand plants. The Proman range now includes state-of-the-art jaw crushers, cone crushers, vertical shaft impact crushers and Ortner washing systems as well as vibratory screens and feeders.

There is a shift in the requirements of crushers in favor of higher output machines with advanced automated features. How is Proman positioning itself to this shift with robust technical features added to its machines?

Proman REMco makes the widest range of VSI’s in the world, from 50 HP to 1500 HP. For very big primary and secondary machines, we have strategic associates with whom we offer total turnkey solutions to every kind of customer. We offer advanced monitoring and diagnostic systems for our machines.

We understand that Proman is participating in Excon–2007 at Bangalore. What will be focus of its participation in this Mega event?

Proman will be launching the smallest and the biggest VSI in Excon 2007. We have recently moved to a new state-of the- art spacious manufacturing facility to cater to the growing demand for our products.

Our focus in Excon 07 is to showcase our skills to provide total crushing solutions for producing the best quality finished products catering to any of the standards in the world.

What are Proman’s important marketing and after sales, project management and technical services and how these are being strengthened?

Proman has an in-house technical and design team for executing its projects and our equipment is backed by the design and expertise of our foreign collaborators like REMco, ORTNER, and Finedoor.

In every sale at Proman, aftersales service is the key. Proman with its team of highly experienced engineers provides prompt and efficient aftersales service. Our service engineers are well-trained on the application side thereby providing total solutions to our customers.

How is Proman making its product range price competitive on a sustainable basis with cost of production going up and what policy support from the Government the equipment sector expects to rationalize the rising cost of production?

Balancing the cost with the right quality is an ongoing process and to this end, Proman works proactively with our vendors and associates.

The Government, on its part, has to come out with incentives for capital equipment manufacturers for exports against factors like rupee appreciation, and also ensure a level playing field in terms of taxes and duties when we compete with imported equipment.

NBMCW November 2007


NAWA Launching High Capacity Mobile Cru...

NAWA Launching High Capacity Mobile Crushing System at Excon 2007
To meet the high aggregate need of the present days time bound fast-track construction projects, Nawa Engineers will introduce its High Capacity Mobile Crushing System at Excon 2007. This was disclosed by Mr. G.N. Raju, Managing Director, Nawa Engineers in an interview with SKK.

Kindly mention about the fuel efficiency of your crushers and highlight the features of the engines which make the crushers fuel-efficient.

Mostly, the crushers by all global manufacturers are electric motor driven, and the electrical power to the motor either comes from dedicated diesel generator sets or from a state power grid.

Our range of crushers – single toggle jaw crushers, roller bearing cone crushers, and VSI crushers - are all energy efficient. They are designed with heavy-duty frictionless roller bearings to reduce power consumption. We have observed our crushers powered with same motors deliver 15-25% higher rated output resulting lesser per ton cost of power consumption.

Since the Indian market is witnessing demand of high capacity crushers at a range of 300 TPH and above, in lieu of the same what are the advanced technical features you are incorporating in your crushers for higher productivity? Provide details on the improved technology and higher capacity features for enhanced productivity.

NAWA Launching High Capacity Mobile Crushing System at Excon 2007
Nawa Engineers has already built high capacity aggregate crushing plants with its big crushers, namely, a 200-400 TPH 44"x32" jaw crusher, a long head gyratory secondary cone working in tandem with its roller bearing cone crusher for a throughput of 450 TPH, and a twin drive 400-550 TPH 2x200 kW VSI tertiary crusher in tertiary crushing. These combinations are already in successful operation at highway projects and commercial aggregate plants.

We are now launching High Capacity Mobile Crushing Systems at Excon’07 for capacities 300 TPH and above. These are unique configurations, designed with our big size crushers mounted on wheel chassis for quick setup and faster movement. They comprise a 3-axle primary jaw mobile with our 48"x36" single toggle jaw crusher of capacity 300-600 TPH, secondary twin-cone mobile with a long head and short head cone crushers on a 2-axle chassis and a tertiary twin-drive VSI mobile on 2-axle chassis.

The high capacity Nawa Mobile Stations are designed putting into them in-depth knowledge and experience, and in arranging them into a well balanced system, which would guarantee a plus 300 TPH of high quality end products meeting the high end fast track infrastructure projects, at the lowest cost per ton of aggregates or mineral ores.

Kindly mention about the automated features and the computerized control features in your crushers by giving the advanced automated features, please justify how the machines are capable of higher productivity/output.

A high degree of system automation and machine safety features have long been introduced into our system designs and machine operations. For example, all our hydraulic cone crushers are provided with double safety features for tramp iron release inbuilt into the electro hydraulic circuits.

These machine safety features are found to be of great help in reducing the shutdown time and contributing higher plant productivity.

Given the high capacity requirements for the market, what are the different ranges of high capacity crushers being planned by your company for launch in near future?

NAWA Launching High Capacity Mobile Crushing System at Excon 2007
The need of aggregates for the present day time bound fast-track construction projects–airports, SEZs, longer stretches of BoT expressways, large-scale commercial quarries–is increasing in terms of tons per hour production to meet the tight completion schedules.

The 200 TPH plants hitherto in great demand are not adequate to meet the aggregates needs of these high-end projects. The requirements are getting increased to 300 TPH and more. Nawa has already designed, manufactured and installed high capacity crushers. A 44"x32" primary jaw crusher of capacity 200-400 TPH, a 48"x36" primary jaw crusher of capacity 300-600 TPH, a long head secondary gyratory cone of capacity 200-350 TPH, a twin-drive VSI crusher of capacity 400-500 TPH are the additions to our crusher range, and have already been launched to meet the higher plant capacity requirements. Nawa also simultaneously undertook development of bigger screening equipment of sizes 2.1m wide x 6.0 m long two and three decks and a four deck screen of size 1.8 m wide x 4.8 m long, which would meet the product classification requirements Of these high capacity plants.

Since higher output/productivity of the crushers are based on maintaining the equipment at an appropriate order, what are the necessary information guidelines and manufacturers maintenance schedule you have at your end for the customers to maintain the equipment properly?

NAWA Launching High Capacity Mobile Crushing System at Excon 2007
Nawa always gives great importance to the proper maintenance and operation of the equipment it has supplied, as it is the key for maximizing the productivity. Nawa provides to the customers the operation and maintenance manuals that are prepared with great care and detail, which serve as bible for the operating crew of the customers. Nawa takes great pains to educate the plant crew as to how the plant productivity can be optimized for the benefit of the customers. Nawa’s expert engineers render on-the-job training to the operators at the time of commissioning and for extended periods, as may desired.

Our after-sales-service teams are battle-ready to reach site and guide the operating crew from small to complete care of the equipment. Nawa, however desires that the owner should deploy skilled and competent manpower for plant operation and maintenance to achieve the best production results. We also strongly recommend use of quality spare parts and wear liners, and strictly use all consumables like oils, grease, filtering elements etc as per specifications given in the equipment manuals. This aspect often gets neglected and leads to frequent breakdowns and loss of production.

Mention some high-end construction projects in the country where your crushers are in operation.

A few of our recent crusher plant installations include:
  • Hyderabad International Airport Project: 200 TPH 3-stage mobile crusher plant for M/s Robo-GMR.
  • NH 7 BoT Road Project, Bangalore: 270 TPH 2-stage mobile crusher plant for M/s Patel-KNR JV.
  • Reliance Petro-chemical Complex Expansion Project, Jamnagar: 200 TPH 3-stage mobile crusher plant for M/s Robo Silicone.
  • NH–7 BoT Road Project, Nagpur: 250 TPH 3-stage stationary crusher plant for M/s Atlanta Limited.
  • Chutak Hydro Electric Project, Kargil, J&K: 70 TPH 3-stage stationary crusher plant for M/s HCC Ltd.
  • NH–7 Karur-Nammakkal BoT Road Project: 200 TPH 3-stage mobile crusher plant for M/s Gannon Dunkerly & Co.
  • KNNL Canal Project, Karnataka: 200 TPH 2-stage mobile crusher plant for M/s IVRCL.
  • Budhil Hydo Electric Project, Himachal Pradesh: 70 TPH 3-stage stationary crusher plant for M/s Coastal Projects Pvt. Ltd.

NBMCW November 2007


Nawa Engineers. . . Engineering at its ...

Mr. Raju
"Making innovations in design and in critical operational features has been a constant Endeavour Of Hyderabad–based, crushers and screeners manufacturer – Nawa Engineers. The company has drawn up grandiose plans to take on the requirement by expanding production and through introducing new product ranges among other initiatives." During the 2007- 08, the company has targeted to produce 250- 260 machines that would go into 38-40 plants and equipment, doubling its production the next fiscal. This was spelt in an interview to Partha Pratim Basistha by Mr. Raju, Managing Director, Nawa Engineers.

How do you perceive the future demand of construction and altogether crushing and screening equipment?

The ongoing surge in construction activity would continue to spur demand of construction equipment and as a whole crushing and screening equipment in the country. Demand would come from development of roads, railways airports, ports, urban development, irrigation among others. Led by the continued up rush in construction activity, the estimated demand for equipment is expected to be in the range of Rs 105,000 crores over the next five years, divided between crushing and screening and earth moving equipment.

Precisely, which are the segments of construction projects that will create the demand pull for crushers?

The demand for aggregate crushers are steadily growing. The main segment for creating the demand would be roads, irrigation, hydro–power projects, ready–mix concrete industry, new airports and urban housing in major cities. SEZ project development also offers the potential for demand of crushers.

Given by the higher output requirement of construction projects and fixed project completion schedules, do you find the demand moving from light to heavy output crushers?

Yes it is. The demand is moving towards larger capacity of 300 Tonne per Hour (TPH) crusher plants and above from the present mid-size capacity of 150-200 TPH. The fast track urban development projects and the quarrying areas in major cities are going in for higher outputs ranging from 200- 300 TPH, especially the SEZ’s.

There has been a shift in the last two years towards mobile plants and continues to the hot item for highway construction. However, in the higher output range, the stationary plants are preferred in their flexibility in meeting the commercial aggregate requirements of the RMC’s and concrete products in the urban areas.

Are any change being witnessed towards demand of automated models with added technical features?

Nawa Engineers
More changes are happening in the system upgradation and automation rather than the basic crushing equipment. The quarry operators and contractors look for a well built plant, which would work non-stop for two shifts. The crushers from renowned manufacturers for hard rock crushing are any way robust enough. It is the system that is the material handling, which should be given more attention and requires robust automation for maximum output.

The most important maintenance need and the cost contributor in a crusher plant is wear parts. The foundries should work hand in hand with machinery suppliers for development of better metallurgy for longer life and shorter shutdowns.

Going by the change in demand shift requiring higher output machines with advanced technical features, how are Nawa machines christened to the same?

Making innovations in design and in critical operational features has been a constant endeavor for Nawa, so as to meet the ever changing market requirements. Going by the demand change as of now, requiring higher output machines, we have stationary plants at a range from 60 TPH to 250 TPH and mobiles from 120 TPH to 200 TPH.

Keeping with the trend of higher output machines, we are now geared up to introduce bigger jaw crusher of size 48"x36" and long head cones for secondary crushing. With different combinations of jaw-cone-cone or jaw-cone vertical shaft impactors,

Nawa can comfortably supply crusher plants upto 300/350 TPH and above combinations. This is the target for 2007-08 and I would like to mention that we picked couple of orders in this range as well for road and irrigation projects.

On new range of crushers to meet the market requirement, we launched the three stage and two stage wheel mounted mobile plants at Excon 2005 exposition. These compact, rugged and high performance units have been designed to be truly mobile and received immediate acceptance by the contractors of all segments.

Are you going in for brownfield expansion to meet the growing market demand?

Nawa Engineers
We have more or less completed our expansion of workshop facilities for increased number of crushers and screeners in our existing Hyderabad factory premises. In addition, we have created a large open yard mobile assembly facility in the vicinity of Hyderabad, where all our mobiles will be assembled and parked. We have geared up to make 20-22 machines per month starting from April 2007 to meet the target of manufacturing 15 mobile plants and 22 stationary plants and individual equipment sales in the year 2007-08. As a long term diversification strategy, we have plans to create entirely new facilities in the next two years in Hyderabad itself to meet the future demand.

What is your existing marketing and after sales service support structure? Are you planning to go in for expansion of the network in view of growing demand?

Our core marketing set up is centered at Hyderabad. We are finalizing our plans to widen our activities by positioning resident engineers at major cities and mining areas progressively in another six months time. These areas will be developed not only to widen our marketing base but will also act as our after sales service, spare parts centres. At the moment, we have business representatives at Mumbai and Delhi and a resident service engineer at Bangalore.

What is your existing number of vendors for manufacturers of components and spares? Are there plans to expand your vendors base?

We have over 15 major sub vendors as of now, who regularly do our jobs work. This number would be increased to 25 by the end of the first quarter in the next financial year 2007-08. I would like to say that the credit goes to our vendors for turning out quality machines backed by our quality control department at Nawa.

Are any new launches being planned?

New models in the sizes consisting of, Primary Jaw Crusher 48"x36," Long Head Cyclic Cone Crusher, 2.1mWx6.0M L Vibrating screens are already in the production line, which would be installed in the nearest future for selected customers.

Besides, we have also planned and in the designing stage of new models of mobile crusher units, with special features very nearer to those close to a stationary plant.

How are the products being made price competitive?

We are adopting advanced design soft wares to prune up the equipment weights, to reduce costs. Our equipment are totally indigenous, except some bearings and hydraulic components, which are imported. We are doing a lot of exercise to rationalize components and equipment sizes, to reduce inventory levels. Besides, we are emphasizing on quantum purchasing to get price advantage. Importantly, we also are undertaking some design innovations to bring down production costs so as to make the products price wise competitive.

What has been the total number of units sold by you in 2005-06 and what are your sales target for the 2007-08 fiscal?

In 2005-06, we have manufactured about 135 machines for our plants. This was sold to various customers spread all over India. During 2007-08, we have targeted to produce about 255-260 machines that would go into 38-40 plants and individual equipment sales requirements. This would be almost doubling our production in the next financial year 2007-08.

NBMCW May 2007


MQ India Showcases Its New Products

MQ India Showcases Its New Products
Demand for high quality and high productivity equipment is increasing day by day. imultaneously, Multiquip India business is also growing manifold to meet this. "At Excon 2007, Multiquip India is launching its new Light Tower Model that has been partly manufactured and assembled in India. This high quality model product would be more economical to that of MQ USA models," says Mr. Narinder Jit Singh, Chairman and Managing Director, Multiquip Construction Equipment (Pvt) Ltd., India, in an interview with S.A.Faridi.

How do you look at the current construction equipment market in India and how the Multiquip (MQ) is positioning itself to garner greater market share in this scenario?

Current construction market has grown significantly in last 3-4 years. Demand for high quality and high productivity equipment is increasing day by day. Multiquip India business has also grown manifold. Multiquip being one of the few companies in the world that offers a large variety of light and medium sized construction equipment under one brand is now positioning itself by offering economical prices and opening more service centres.

Worldwide MQ is known for its wide range of medium size equipment — what are the main equipment, MQ is promoting in India?

Multiquip is best known worldwide for its light and medium sized equipment. In India, Multiquip is offering selected models of most of its sections. Multiquip India’s thrust is mainly on Compaction equipment, Light Towers, Vibrators and Concrete finishing and ceiling equipment such as Trowels, Pavers and Saws.

Please share with us a few technical features of Multiquip Super Screed Fixed Form Paver and the projects where the Paver is deployed.

Multiquip Fixed Form Paver is a very high productivity and quality work equipment. It is a fully hydrostatic machine and has following important features that make it more efficient and user friendly.
  • For flatwork strikes off over 10,000 sq.ft per hour with exceptional F numbers
  • Instant forward-and reversescreeding action
  • Removable hydraulic power pack
  • Heavy duty jack stands allow movement around the job site
  • Requires only common fixed form for movement
  • Saves on labor, fuel and laying cost
Multiquip paver is deployed for concrete roads for state highways, city and rural roads, container freight stations, industrial flooring, airport runways, pavements and parking lots.

Currently, these are deployed in Gujarat, Maharashtra, Madhya Pradesh roads and Bihar, Goa, and at Pune airports.

How does Multiquip plan to have an efficient country-wide network of dealers, after sales and customer support system to meet the diverse requirements of its clients?

Multiquip has plans to open various regional sales and service centres in India. One step forward in this direction is Multiquip’s new sales and service centre in Hyderabad to cater to Andhra Pradesh and Tamil Nadu where we have good client base. This sales and service centre has started functioning from October 2007. We intend to start a similar setup in Kolkata and New Delhi in 2008.

What enabling policy provisions and support is needed from the Government to put the construction equipment sector on fast track?

Government is already doing a lot to reduce the import cost of construction equipment. Apart from certain benefits for infrastructure projects, I am sure lot more that needs to be done is being looked into by respective responsible government authorities.

Multiquip has been participating in various national and international exhibitions showcasing its equipment prowess. What are the plans for participation in Excon 2007 mega show and the focus of its participation and new launches—in view?

Yes, Multiquip participates in major shows like WOC, Con Expo, ARA and few others in USA. Recently, we participated in Bauma 2007, in Munich which was visited by a large number of Indian construction companies’ representatives. Multiquip is participating in Excon 2007 being held in Bangalore. Multiquip is launching its new Light Tower Model that has been partly manufactured and assembled in India. This model though is a very high quality product but would be more economical to that of MQ USA models.

With the introduction of these high quality equipment — is Multiquip also training the operating staff of clients?

Yes, Multiquip provides onsite training in operation and maintenance to its client’s engineers, operators, and maintenance staff. Especially for our Ride on Trowels and Fixed Form Pavers. We provide onsite exhaustic 5-10 days training to our clients.

Multiquip in near future will tie–up with certain approved and authorized government agencies to provide training to upcoming students and would provide these agencies students training at actual job sites on equipment operation, maintenance and services. This would provide a grass root level training and would create good operating and maintenance staff availability for our clients and users.

Multiquip also offers exhaustive training to its clients at Multiquip Training Centre in Los Angles. In this case, Multiquip bears all local boarding, lodging and transport expenses during training period.

NBMCW Novmber 2007


Kobelco Plans to Set up Manufacturing F...

Kobelco one of the top companies in the world, has entered India's construction equipment sector with definite plans to set up manufacturing facilities in the next 12-18 months. It aims at leadership role in India. It has brought one of the most advanced line of excavators into India with plans to introduce other type of equipment subsequently, say Vikram Sharma, President & CEO, and Kenji Sakamoto, Executive Director, Kobelco Construction Equipment India Private Limited in an interview with SKK.

Vikram Sharma, President & CEO, and Kenji Sakamoto, Executive Director, Kobelco

At the outset, it would be relevant to ask what prompted Japan’s Kobelco to make its entry into Indian construction equipment sector. What challenges it poses to a new entrant like Kobelco to market its products and services in the present competitive construction equipment business environment?

Kobelco is amongst the top companies in the world in the field of Hydraulic Excavators with a very strong presence all over Asia, Europe, and America through its joint venture partner New Holland. It is but natural therefore that Kobelco has entered India, due to the great potential that this market offers.The challenges that we face in India, are the ones faced by any new entrant, namely the existing brand loyality of our competition, development of an effective distribution channel, and creation of strong brand and presence, in a vast country like ours.

What is your overview of the technological developments worldwide in the construction equipment sector and how these developments in the products and services are being incorporated to turnout new improved versions to benefit users?

One of the most prominent focus area in technology development, is the requirement of Efficient Friendly Machines. The need of the hour is to produce machines, which give better production and productivity, and at the same time be economical in terms of fuel consumption. Such machines environmentally save natural resources such as hydro carbon fuels, as well as reduce polluting emissions. Kobelco hastaken the lead in bringing the Tier III Environment Compliant Engines, coupled with various technologically advanced control systems, which optimize the load on the engine and the system, so as to meet all these requirements. Our machines would be a great boon for the domestic users, since they will give increased output at much lesser fuel cost. Also consistently Kobelco machines provide the greatest comfort to the operators, and those who are working in the proximity of the machine through low sound emission.

These advantages are already being felt by users, to whom we have supplied these machines in India already. The segment of users are spread over Mining, Road Construction, Metro Rail Systems, Large Excavations etc.

In simple words, Kobelco has brought one of the most advanced line of Excavators into India.

What major segments of construction equipment are set to grow in the country in the wake of current infrastructure boom?

construction equipment from Kobelco
The current infrastructure boom in India is happening all across, in all major segments of earth moving, material handling and construction. Therefore, it is the most happening time for all types of construction equipment. However, in any of the projects a major parts of the work is in terms of earth handling, and therefore the Earth Moving equipment are likely to see the largest growth in terms of numbers and market penetration.

Please tell us something about Kobelco, its international presence and presence in India; Company’s product range and services and how these have an edge over others in terms of ease of operation, operational efficiency and overall cost effectiveness?

Kobelco Construction Machinery, Japan is a subsidiary of Kobe Steel and has its presence directly in all parts of the world. They are represented with New Holland in Europe and America, through a joint venture. As mentioned earlier, Kobelco is amongst the top few selling brands in the world due to its high focus on 3 E’s of Enhancement, Economy & Environment. The Indian, company, Kobelco Construction Equipment India Pvt. Ltd., is a joint venture between the two giants from Japan, Itochu Corporation and Kobelco Construction Machinery. Currently, we have launched the 20T & 35T Hydraulic Excavators, and are shortly going to bring other big excavators, followed by the Midi’s. Subsequently other type of construction equipment will also be planned.

In terms of cost effectiveness, we have done testing of our equipment with equivalent competiting range, both in Japan and India. I am very happy to inform that we have had much better Fuel Consumption (10-15% better than competing brands tested), along with an equal percentage of higher production and productivity. Our machines are provided with Air Conditioned Cabins and have a smooth response to the controls.

What market share your company is looking for in the next two-three years. Do you have plans to set up manufacturing facilities in India and use it as an export hub, apart from serving the domestic requirement?

We have very definite plans to setup manufacturing facilities in India, which we would take up within the next 12-18 months. Currently KCM, Japan is extremely busy with their 2nd Plant construction in Thailand. In terms of our market share plan in near future, we would certainly aim for leadership in the category that we operate.

India is a vast market—how your company plans to have an efficient countrywide distribution network of dealers, after sales and support systems to render your clients a comprehensive service?
construction equipment from Kobelco

We have established a very effective distribution network of Dealers, who are already operational in 21 States. Our Product Support is headed by a highly experienced Japanese Director, Mr. Yamakoshi who has a sizeable team of Service and Parts personnel located across the country. We are also headed by Mr. K. Sakamoto, Executive Director, who has had experience in Construction Equipment field in Africa, Middle East etc., supported by Mr. Akihara, Director Marketing. Through the vast combined experience of our team, Service and Parts support has the greatest focus.

Training also takes a very high priority, in the culture of Kobelco. We carry out Level – I, II III programs for our and Dealers technical personnel. It is also mandatory that adequate numbers. Of Dealers Technical Personnel get qualified upto Level – II. Also the Dealers have to stock until these 2 conditions are met, we do not start the sales activity in his territory.

Lot of churning is taking place in the industry to widen its business platform and product portfolio. How these developments would augur well for the further growth of the construction equipment sector and improvements of its technological status?

Yes, there is lot of churn taking a place in the industry, with many new international players entering the Indian market, as well as the existing ones increasing and improving the product range. These developments would catapult the Indian Construction Equipment Industry to the next generation of machines, which would benefit the customers immensely. The latter technology machines are certainly more productive, and would therefore enable projects to be completed faster, enabling new ones to be taken up.

What enabling policy provisions and support is needed from the Government to put the construction equipment sector on fast track?

One of the focus points of the government should be to some how restrict the entry of outdated and much used equipment. This has been taken up many times by our industry association, since we find that such machines are being regularly imported by many small traders, mostly through under invoicing, and also without any after sales product support facilities. Such equipment causes loss of productivity and finally money down the drain for users.

The other important factor to look at is that construction equipment generally form 15-25% of any project cost. The duty structure for imports as well as domestically, should be kept as low as possible. Currently, most of the states impose a 12.5% VAT on this equipment while only handfuls are at 4%. This should be uniformly reduced to 4% or lower, all across.

NBMCW September 2007


"SREI Understands Customer's Requi...

Sunil Kanoria
The business model of Srei Infrastructure Finance Ltd is much based on customized service support. This is quite vital as Mr. Sunil Kanoria, Director, Srei, claims owing to the long gestation of construction projects involved in the country requiring long-term finance. In an interview to P. P. Basistha, Mr. Kanoria also the Vice Chairman & Managing Director of Quipo Infrastructure Limited, an associate of Srei gave an insight of the company’s business model and details of the range of services offered by the company, so as to fit the “customized” tag.

Please provide an overview of the country’s construction equipment demand scenario?

The country’s construction equipment scenario is quite buoyant. The situation is well expected to continue in the coming years and further beyond. Demand for the equipment would be led by, as well known, through the sustained growth of the construction sector, which would continue to grow at a rate of 15 percent and above over the years on account of infrastructure development in the country.

But significantly, demand of equipment would be led owing to the supply-demand gap of equipment. The gap has started become noticeable in recent years. This is owing to the unprecedented boom that has come in the construction sector. Shortage of equipment is highly prevalent for higher tonnage earth moving, concrete and piling equipment.

Though shortage of equipment is owing to non-availability and supply constraints but it is also worth mentioning that there exists a wide potential for supply of equipment in the country’s construction sector and in turn make it comprehensively mechanized. This is through addressing the issues of “equipment availability,” “accessibility of equipment“ through addressing various logistics and interstate taxation issues, “dissemination of knowledge” for greater usage of equipment where projects are labor intensive and above all making equipment “affordable” between the end users for its mass use.

It is encouraging to know that the issues are being addressed to a very great extent by the equipment manufacturers. However, it would be important for the government to address the issues on a mass scale for greater availability, accessibility, and affordability of equipment.

Give an insight of the country’s infrastructure project finance situation? Would you describe the developments happening in the sector as encouraging?

It is positive to observe that government is laying emphasis on developing projects through the “PPP” route. This would make the infrastructure projects commercial viable and go on to address the issue of fund availability in the long run for the projects to be financed. To make the PPP route grow and flourish it would be imperative to identify bankable projects by the government at its end. Risks have to be collectively shared by the government and private participants while executing and commissioning the projects.

It is heartening to know that viability gap funding is picking up and government is addressing the issues of infrastructure finance through setting up of institutions like IIFCL and IIDFC.

But on the negative front, long-term funds are not available for infrastructure projects. This is much on contrary owing to the long gestation period involved in execution of the projects. Unfortunately, the issue is not getting addressed at an appropriate order by the government.

Srei maintains that the company’s product and services are “customized” to fit in the users requirements. Elaborate on the same both in respect of equipment and infrastructure project finance.

At Srei we understand the customer’s requirement better. This is based on our long experience of 18 years in the construction sector. Having the requisite experience enables us to judge and understand the requirement of the customer on the ground and provide him the customized service support.

For example, during monsoon, the cash flow of the construction companies becomes slow. This is owing to the tardy execution of work, hindered by rain. During the period, we reduce the installments apart from providing adequate room to the contractors for negotiation with us. This is so asto get finance to the contractors through a comfortable option.

On product support part we have got “ Quipo” as a construction equipment bank, with range of equipment at its disposal, to fit in the “customized” requirement of the contractors. The equipment support is provided with operator, spares and service support.

The “customized” character of Srei’s financial services can be further described taking account the company’s construction equipment finance support. At Srei we provide assistance for hire purchase, financial lease, operating lease etc to buyers of construction equipment as per their customized requirement.

With construction projects becoming highly mechanized, putting in demand of advanced equipment, what are Srei’s present and future plans to tie up with range of equipment manufacturers, so as to fit in market requirements.

Srei has got tie up with range of construction equipment manufacturers consisting, Volvo, Caterpillar, Komatsu, Mait, Terex to name a few. Through the tieups with construction equipment companies, we provide comprehensive and assorted equipment support to construction companies based on their requirement. With mechanization catching up we would be looking for further tie-ups with other foreign equipment manufacturers. We would be looking for tie-ups for sourcing cranes, tunnel boring, piling machines etc.

What about company’s infrastructure project finance. Is the company’s focus on built operate transfer (BoT) and bankable projects? Which are the infrastructure projects, Srei has led its financial support and what has been the model of financing?

Srei provides finance and equipment support bankable and BoT projects. There had been number of projects for which Srei has provided its support.

A number of state governments have been proactive in attempting to improve their road network along with key projects of NHAI. The steps taken include enabling legislation, the encouragement of private sector participation and funding from multilateral agencies to implement major road projects. We had supplied various kinds of road equipment, concrete equipment, and material handling equipment, to principal contractors as a part of infrastructure financing.

The projects have been at Bharatpur (UP), Mahua in Rajasthan, Neelamangla and Kumkur in Karnataka. We have also undertaken projects in Maharashtra and West Bengal.

The funding position of Srei for construction and construction projects finance is quite comfortable. The company has built up its financial reserves base through attracting investments from multilateral and international funding agencies comprising, IFCWashington, DEG–Germany, FMONetherlands, BIO-Belgium, Finfund –Finland, Swedfund-Sweden, US Exim all for infrastructure project finance. Today Srei has assets under management over US$1 billion.

The recent initiative of the company for construction finance has been through a joint 50:50 venture involving Rs 775 crore with BNP Paribas Lease Group, the leasing arm of BNP Paribas. The partnership is a strategic partnership for equipment finance in India.

Srei has financed NHAI and other significant projects and provided financial support to important construction companies.

Since Srei also provides techno-economic consultancy, what is the knowledge expertise of the company behind providing technoeconomic consultancy? Which are the projects Srei has provided its techno-economic consultancy support?

The knowledge expertise of Srei behind providing techno-economic consultancy support for construction projects is based on its good deal of business experience in the country’s construction sector. The expertise is based on the knowledge bank created through the experience.

Mention about the insurance service business of Srei.

Srei Insurance Services Ltd is a composite insurance broker licensed by the Insurance Regulatory Development Authority. At Srei insurance services, we have team of professionals with experience, with distinct expertise in niche markets involving, construction and manufacturing company’s liabilities and financial risks. Srei Insurance Services has necessary skills to cover all aspects of risks, to purchase insurance at minimum cost as well as to handle settlement of claims.

The services and responsibilities of Srei’s insurance services comprises evaluation of company’s risk profile based on the company’s business environment. Recommendation of the most cost effective, integrated insurance package, customized to fit in the companies risk profile.

What is the resource mobilization mechanism of the company? How far is the government policy conducive for the growth of construction equipment and infrastructure project finance industry?

The resource mechanism of the company is based both through tapping domestic and international financial markets. The company has gone through the global depository receipts route to tap finance. The government’s policy for infrastructure projects finance commands much reservation. This is as because it does not allow long term finance to come at home. This is absolutely paradoxical when it is well known that construction projects, especially the high end ones have large scale gestation periods.

NBMCW September 2007


JVR Forging on Growth Spree

JVR Forging on Growth Spree
"We are in the process of associating with many Indian and foreign customers who are looking for quality manufacturing units (we being TS 16949:2000 certified unit from UL Inc, USA) and on the other hand we are constantly upgrading our plants and machineries to meet the customers' demands. The Government support is essential in industry friendly policies, lower excise duties, transparent systems and quicker implementation of decisions of policy matters. We intend to tap the ever-growing earthmoving, transportation, highway engineering equipment market with supply of forged, casting, machined and fabricated assemblies. We plan to grow organically at 60% per annum for next three years, "says Mr. Jagdeep Singal, Managing Director, JVR Forgings Limited in his interview with SKK.

What is JVR's take on the current infrastructure development in the country and the role forging industry can play in promoting these developments?

Infrastructure is the buzzword and getting the serious attention from all spheres. JVR’s product range comprises a wide range of machined components besides forgings hence when we discuss about JVR, the engineering industry as a whole, which has been witnessing a rapid transformation. Today, the world is moving towards India for sourcing of consistent quality oriented high-tech engineering components. We too are setting up a high-tech plant in Ludhiana (Magma Mettcast Limited) for precision auto castings and related products.

How do you see the future prospects and problems of the Forging Industry in India, the support the industry looks to Government to put forging sector on fast track along with other developments?

The forging industry in India has been grappling with many problems viz forging quality steel, increasing competition within India and with China, low profitability, lack of captive resources in India viz nickel etc. At the same time the top 10- 12 forging companies have been doing very good, as their sales and profits are on increasing trends. So keeping a positive frame of mind, on one hand, we are in the process of associating with many Indian and foreign customers who are looking for quality manufacturing units (we being TS 16949:2000 certified unit from UL Inc, USA) and on the other hand we are constantly upgrading our plant and machinery to meet the customers’ demands. The Govt support is essential in industry friendly policies, lower excise duties, transparent systems and quicker implementation of decisions of policy matters.

How JVR proposes to integrate its activities into the present focus on infrastructure development and its recent initiatives to take advantage of the booming conditions?

In expansion plan, we are targeting to provide full range of structural items which will be helpful in Reducing the erection time for high-rise buildings. Further in we are targeting for heavy fabrication for construction equipment.

What are JVR's various manufacturing and fabrication facilities, their locations and its product range? How vital are these products to ensure quality construction work and at the same time ensure safety at construction sites?

JVR Forging on Growth Spree
We have the high definition plasma cutting, automatic welding machines and latest testing equipment (NDT) to ensure the safety of the product supplied. We have several welding machines of reputed make. The teams of trained and experienced engineers are equipped to deliver quality products. JVR has two manufacturing plants; one at Ludhiana and another one in Kandla SEZ. In these plants, we are manufacturing Scaffoldings and Auto components besides supplies to Railways and Defense.

Managing costs is increasingly becoming a challenging task for the organizations to sustain it in the present competitive business environments. How JVR proposes to deal the situation in view of increasing input costs and at the same time to ensure cost effectiveness of its product range and have an edge over others in the industry?

Increasing costs are indeed one of the major problems particularly when there is complete instability of prices. Many a times, we have to supply long term orders on losses due to sudden surge in prices. Most of the measures that we can undertake to make ourselves cost effective, have already been taken or are under the process. If we are compared with the plants of our size and capacities, we can certainly prove to be among the most cost effective ones and at the same time the best quality producers consistently. What is out of our hand is to control the raw materials prices, which do not show any sign of calming down even in future.

JVR is an ISO 9001:2000 certified company. What are various Quality Control systems placed at its end to ensure the standardization and testing from the word go to finish?

JVR Forgings Ltd has imbibed and institutionalized the TQM practices at all level. Through strict practice of PDCA, SDCA Cycle, Kaizen Culture and Quality Circle we have been able to delegate the organization’s vision from receipt to dispatch.

With world class testing facilities like Spectrometer, CMM, computerized UTM, Eddy Sorter machine, MPI, Spectra scope, profile projector, image analyser, in house calibration room and standard operating procedure, we ensure that our products are consistent and meet all the customer requirements.

Is there any expansion plan for the future? What are company’s targets for the future and its possible market share in the next two-three years?

Yes, we intend to tap the ever-growing earth– moving, transportation, highway engineering equipment market with supply of forged, casting, machined and fabricated assemblies.

We are expanding in decorative and fittings through stainless steel, aluminium die casting route. For all these, we have our plans to meet requirements pertaining to high-rise constructions with Impeccable safety.

We plan to grow organically at 60% per annum for next three years. We have massive expansion plan and grow our market share substantially.

NBMCW May 2008


JCB Geared to be a Multi Product Compan...

JCB Geared to be a Multi Product Company
"With the opening of the state–of–the–art new plants, JCB is geared to establish itself as a truly "multi product company." JCB India will be the Asia Hub and setting up the Pune plants is a step in that direction," says Mr. Vipin Sondhi, in an Interview with S.A.Faridi and SKK.

JCB is a fast becoming household name in the country with its machines at work in roads, construction sites, at rescue operation sites, garbage handling, and even in farm operations. Recently, the company launched 3 world–class machines. What are JCB’s future plans to strengthen this image through manufacture of more such versatile products through expansion to serve the national infrastructure and social needs?

JCB is the fastest growing construction equipment manufacturer in the country. We have always been credited with introducing new concepts in the construction equipment. In the late seventies, we introduced Backhoe to the Indian market and in the recent years we have introduced “Load all” in the market. Our investments in shape of setting up of two new plants in Pune and expansion project at Ballabgarh underlines our commitment to contribute in helping build India’s infrastructure.

Recently, JCB opened its new heavy line plants in Pune. What does it mean to widen JCB product portfolio, domestic market share and exports?

JCB Geared to be a Multi Product Company
The manufacturing facilities at Pune comprises two plants. Plant-1 is a component manufacturing and exportoriented which will cater to the needs of JCB factories both in overseas and partly in India (based on JCB's world-wide guidelines). Plant II is a heavy line manufacturing plant i.e. Excavators, Wheel Loading Shovel, and Compaction Equipment.

With the opening of these state–of– the–art new plants, JCB is geared to establish itself as a truly "multi product company." JCB India will be the Asia Hub and setting up the Pune plants is a step in that direction.

With advancement in technology, newer machines have come into construction sector. But skilled and unskilled professionals to handle these machines are becoming a rarity. What could be done at the macro and micro level to cope up with this situation? What are JCB's initiatives to tide over this problem at its end?

Construction equipment Industry is one of the largest employers. Industry estimates put the need for trained operators at 0.3 million by 2015. To bridge the requirement of trained manpower (technicians, operators), government and the industry need to join hands and work together to provide facilities and need based training to improve the skill level of manpower, it involves major investment in opening and upgrading our ITI and training institutes in rural and semi urban areas.

As industry leader JCB has been setting up operator training schools across the country. It is not only helping in generating employment but, also involved in skill enhancement as the operators get to know about the latest safety features, operation, and maintenance of the machine as well.

In a market like construction equipment where constant innovation and fierce competition are changing the rules of the game, what is the pricing policy at work at JCB to price its products right at the very first time. Does the company believe in the benefits of high volume, even at a lower per unit price, to build a wider customer base for its products and services?

India unlike the developed countries is still dominated by price focused and value focused customers. Even though the percentage of feature focused customers is increasing they will continue to be well below the world average of 50–60 percent. (Source: Mckinsey report). A sizeable number of customers are first time buyers and increased mechanisation is leading to increase in volumes. JCB is constantly providing customers with India specific products while conforming to world standards at best prices.

Construction equipment industry in the country has reached a stage where enabling policy provisions would help to put it on fast track. Is there a need to have an apex body of the industry to pursue such provisions at the policy and implementation level?

There are certain bodies like the CII – capital goods committee, CIDC, IECIAL, etc. which are involved in putting up the industry issues to the Government. This needs to be continued with greater emphasis so that the policies are framed keeping in mind the recommendations made by the industry.

What could be Wish List of the industry for the new Budget to take care of its problems relating to reforms in tax regime so as to rationalize the same?

The foremost thing which needs to be done is to rationalize the tax structure across the country. Manufacturing taxes across the country range between 21– 38 percent with an additional burden of sales tax up to 8 percent which is one of the highest in the world.

How do you look at a Forum like Excon to promote technology transfer, business and related collaboration? What was focus of JCB’s at this exposition in terms of new launches?

EXCON has become the showcase event for the construction equipment manufacturers in the country. New concepts are showcased by the original equipment manufacturers (OEMs). In addition to this, the conference organized on the sidelines allowed industry captains to discuss and share opportunities and threats faced by the industry. JCB also used this opportunity to showcase new products. In Excon 2007, we showcased the entire range with specific focus on our heavy range of equipment namely excavators and wheel loaders as well as the newly introduced soil compacters and asphalt rollers. We had a display of a dedicated parts and service area in the JCB pavilion where we promoted the usage and benefits of genuine parts and its impact on the longevity, productivity and performance of machines.

As the largest construction equipment manufacturer in India, we underlined our status as a one stop solution for all construction equipment needs.

What could be the impact of slump in the US construction market on the development of construction equipment market worldwide in general and on Indian construction equipment in particular?

The slowdown in the US construction equipment market has been offset by the growth of other markets. Even European and Latin American countries are projecting growth in double digits. On the other hand, the net impact of the crisis in US mortgage markets would be a contraction of credit by two trillion dollars in the global system. Infrastructure projects need large amounts of long-term debt that domestic markets cannot supply. If there is a problem with external borrowings, it is bound to have an adverse impact on infrastructure investment and capex plans. However, clarity is still to emerge.

NBMCW January 2008


HHI–Passionately Focused on Indian Co...

"We are highly focused and passionate about Indian construction equipment market. We will endeavor to make our strong presence felt amongst Indian customers. In line with our global vision, we aspire to become market leader in Hydraulic Excavator in India also. Our new factory coming up near Pune is shaping up well as per our plan and moving fast towards completion and we will roll out our first India made Excavator by Mid 2008. We will be offering the full products range to Indian customers," says Mr. Jong Sik Kim, Managing Director, Hyundai Heavy Industries in his Interview with SKK and S. A. Faridi.

Tell us something about Hyundai Heavy Industries (HHI) international operations, its important business areas with particular reference to construction equipment segment, company’s manufacturing facilities in different countries and its product range.

HHI is a 20,000 million US$ global organization with high focus one engineering product like ship building, construction equipment, engine & machinery etc. It started its ground breaking of shipyard construction in 1972 and today it is recognized as a market leader across the globe. Over a period of time HHI has diversified in related field like offshore & engineering, engine & machinery, construction equipment, electro & electric system and industrial plant. The success on each field is manifested by high stock value and HHI is considered as a preferred employer in South Korea with high employee satisfaction which in turn ensures customer’s satisfaction and social commitment.

Hyundai Construction Equipment Division started its journey in 1985 and within a short period Hyundai brand in Hydraulic Excavator has captured the major mind share of customers and various associates across the world. It has captured 7% market in the world for Excavator within 20 years of operation and countries like China which is considered as one of the biggest markets of Excavator. Hyundai is recognized as a topmost brand in this field. The wide acceptability of Hyundai brand is an expression of customer’s confidence on Hyundai's reliability, quality and after sales support to its customers and this is in congruence with the management vision to place this division amongst top five manufacturers in construction equipment by 2012.

Hyundai Construction Equipment Division produces the entire range of Excavators starting from 2T to 80T. In addition to this, it manufactures various capacity wheel loader, skid steer loader and Industrial forklift. As I mentioned earlier that Hyundai is having a long term vision to this business portfolio which is evident from its plan to diversify its product range to become a total solution.

What prompted Hyundai Heavy Industries to make its entry into Indian Construction Equipment sector? What challenges it poses to a new entrant like Hyundai to market its product and services in the present competitive construction equipment business environment?

India is a very potential country with respect to construction equipment and mining. The growth in the sector is 30%+ and contributing a major part in country’s GDP growth. The excavator is main equipment with respect to infrastructure and mining where machine with advance technology, backed up by quality support and competitive spares parts pricing make a project success. Hyundai construction equipment having superior features will offer value added service through its countrywide distribution network will certainly set a “new standard” in the industry.

Indian customers are becoming not only technology sensitive but also they want the best product at a very competitive price. Hence we will have to provide world–class equipment at an affordable price for mass segment. Meeting this requirement will be the biggest challenge for us in India in ensuing days.

How Hyundai’s new factory at Chakan, Pune is shaping up? What would be its products range and by what time its products would roll out into Indian construction equipment market? Will the new facility be an assembly line operation, through imported products or Actual manufacturing operation? What are the further plans to set up more factories in India, using the same as export Hubs, apart from meeting the domestic requirement?

Hyundai construction Equipment India has invested approximately Rs. 300 crores behind setting up a plant in Pune, Maharashtra and will roll out its first India make Excavator by mid 2008. Hyundai aspires to be the market leader in Hydraulic Excavator in India and as such looking for fast growth track of its operation. The factory is shaping up as per our plan and moving fast towards completion.

We will be offering the full products range to Indian customers. We will build advance 20T machine in Pune, India which will cater to the mass market. However, to cater to the need of high end customers of niche demand we will import high end excavators to India. In fact, we have launched globally 80T excavator to assist our customers to “excavate more at a time with lesser cost.”

What market share your company is looking for the next 2/3 years through your operations in India?

We are highly focused and passionate about Indian construction equipment market. We will endeavor to make our strong presence felt amongst Indian customers. In line with our global vision, we aspire to become market leader in Hydraulic Excavator in India also. However, we can assure you that we will do everything possible to take a sizable pie of Indian excavator industry in next 2/3 years.

India is a vast market for construction Equipment of heterogeneous nature and applications, how your company plans to have an efficient network of dealers, distributors, after sales services support system to render your client comprehensive services?

We will establish country wide multi dealers who are willing to grow with us and serve customers with passion and with a long term commitment. The dealers will be first interface for our customers and we at regional level as well as Pune level will provide all active support in terms of sales and marketing, spares, service, training etc to dealer to enable him to offer the desired delight to our clientele. We will leave no stone unturned to maximize customer’s satisfaction through our dealer to realize our vision.

We will have 3 tier support system with respect to parts and service. The dealer warehouse will be first level support system which will be assisted by Hyundai owned regional parts distribution system and it will be further supported by Hyundai Pune.

HHI reputation over the years has been wedded to technology advancement, commitment to research and development, training and reliable quality assurance system. What are various systems placed in the company under these heads and how these are proposed to be integrated in your Indian operation?

Hyundai believes that technology can realize the future we are dreaming of. HHI incorporates an efficient mixture of people and technology to meet the needs of global leader. The CE division of HHI has been widely recognized as an industrial leader for its use of advanced ergonomic engineering and technology. This is backed by highly advanced factory automation, zero tolerance quality control inspection system, and innovative engineering while offering a wide range of equipment like excavators, wheel loader etc. This strategy will be articulated in Indian context also as today’s Indian customers are more conscious towards technologically advanced product with world–class quality control system.

Hyundai also believes that Research and Development is an essential requirement for the improvement and advancement of modern technology. Hyundai’s commitment to R&D has been a motivating factor in the company’s many technical achievements and will be vital in its advance into 21st century. HHI operates four renowned in-house research institutes: This speaks the company’s high focus on R&D which will always keep abreast with latest product development with respect to customer’s need. We will articulate our R&D experience and integrate with Indian R&D talent which will enable us to produce product with desired India specific features as well as product with features required for overseas market. We are opening a wing of R&D in Indian operation also which speaks our commitment towards R&D against Indian context.

Hyundai’s policy is to actively meet all contract specifications and regulations, in addition to satisfying the needs of every client. HHI’s quality assurance systems are designed, organized and implemented to ensure HHI’s strict standards for quality. These systems are acknowledged worldwide by scores of national and international designing and manufacturing organizations. All of HHI’s divisions have received ISO9001 Quality Management System Certificates. Hyundai’s well developed resources for training enable HHI to continue providing its clients with high quality, reliable products and better services. Hyundai Construction Equipment India will also follow the same and integrate its operation with its global quality policy and will be awarded necessary certification.

Hyundai has established its credentials very well in India, first through its cars and now through construction equipment facilities in the country. What is next on radar–entering into other areas, particularly power generation and power equipment manufacturing sector, where there is a worldwide interest for market pie in India’s emerging power generation and power equipment manufacturing sector?

We are very hopeful about brand India and its future. That’s why Hyundai Motors had a successful venture in India and now it is time for its construction equipment division to create another success story. You are correct that power generation and power equipment will be another attractive area for investment however we would like to watch this market more in this part of the world and then decide about our strategy. But as we are venturing in India with construction equipment any kind of further entry with other business portfolio will be easier for us and we will have edge over others to serve our customers of India.

NBMCW March 2008


Graco Inc. Concentrating on Specialized...

Mike Westwood
Graco Inc. serving the Indian fluid handling equipment market with its extensive products range is to expand its distribution network and its technical services to offer total solution backed with highest warranty in the industry, tell Mr. Mike Westwood, Director–Sales & Marketing South East Asia & India and Mr. Denzil D'costa, Country Manager South Asia & India, Graco Inc. in their Interview with SKK.

Tell us something on Graco Inc global operations, its manufacturing facilities and locations and also highlight important business areas of the company.

Denzil D'costa
By way of introduction, Graco is a manufacturing company based in Minneapolis, Minnesota with 2006 gross revenues of over $800 million. Graco was established in 1926 and is today a world leader in the manufacturing and sale of fluid handling systems and components. Graco designs, manufacturers and market systems and equipment to move, measure, control, apply, dispense and spray fluid materials. Our products help customers solve difficult manufacturing problems, increase productivity, improve quality, conserve, save expensive material, control environmental emissions and reduce labor costs.

What are industrial segments being covered by Graco Fluid handling equipment and products in India?

Automotive OEM Paint Circulation, Lubrication After market, Mining, Protective Coating, Road Marking, Sealant & Adhesive Application, Paint Application for the contractor Industry, Industrial Paint Finishing, Process & Food & Sanitary pumps to move and dispense chemicals and liquid and semi-solid food ,and to refinish and repair automobiles.

How do you look at the Fluid handling equipment market in India, your market share and measures at hand to garner more market share in Indian market?

Expand distribution network and concentrate on Specialized application through specialized distribution.

India is a vast market—what is your distribution network to reach such an extensive market and your plans to strengthen the arrangements already?

Developing distribution is a continuous process and will continue.

What are various technical services available to your clients in terms of equipment operation and maintenance, product trouble– shooting and product application including a sustained campaign to create awareness about cost effective lubrication equipment and products to consolidate andstrengthen your very effective position in the market?

Our Distributors are trained to support equipment. Most specialized products are not sold unless the distributors selling them are trained to support them. We sell total solutions and a product that we back with the highest warranty in the Industry.

Is it possible to enumerate one or two success stories about the application Graco Fluid handling equipment and products that have made a significant contribution to the user?

Our success–story include project handled for various clients in India such as Runway marking with the Bangalore International Airport– Using Graco Airless Application to complete the line marking quickly. Using Automation system for sealant reduced material wastage for Maruti Udyog.

Other clients include:
  • Mahindras Tractors Converted for Air Spray to Electrostatic Guns reducing over spray and Saved Paint Wastage.
  • PSL Pipe Coating–Using Plural Component Painting Equipment to Mix Paint on demand reducing paint wastage, solvent used for flushing and down time.
  • Spectrum Deco Chennai Pvt. Ltd–Invested in Contractor Equipment and increased its output 10 fold of painting, this not only increased its turnover but also managed to pay its painters more.
  • Lube Systems for Cement Mills– Graco lube Pumps with its longest warranty in the industry continuously delivers coolant oil to lubricate and cool the bearing, this bearing if fails is not affordable to change or replace because of the continuous operation. Used in most cement plants and supplied by OEMS.

NBMCW March 2008


ECEL on Bigger Dreams!

Investing in its new manufacturing facilities to double its production

"Our initiatives on Lean sigma transformation will reduce the lead time in all operational activities and increase customer loyalty/market share and achieve growth in sales," Mr. Rajesh Sharma says in an exclusive interview with S.A.Faridi.

ECEL has an impeccable track record of 36 years of efficient and successful services to the industry. To induce further efficiencies enterprise-wide, it has introduced renowned Lean Sigma system. What does it mean to the employees in terms of new work culture and to the clients in terms of products and services value additions and how the system will enhance the organizational and technological status of ECEL?

ECEL on Bigger Dreams!
Lean Sigma transformation focuses on lead time reduction in all operational activities to increase customer loyalty/ market share, achieve growth in sales, sustain the competitive advantages, and therefore improving stakeholder value. A successful lean Sigma transformation at ECEL will therefore help in bringing about the physical transformation that improves responsiveness, quality, cost and customer service as well as Cultural Transformation that energizes the workforce, releases creativity and encourages teamwork to sustain the improvements.

The current focus on infrastructure development in the country is an important driver to pull the demand for construction equipment. What major segments of construction equipment and machinery are set to grow?

Over the past 3 years, the industry is growing 40% per annum and as a consequence all categories of construction equipment are witnessing a huge growth. However, there will always be some equipment categories which will grow faster than the industry and which, at any time, will be a derivative of the dominance profile of the projects in construction by type, scale and mechanization as well as the available park of an equipment category. Currently, equipment related to construction and development of Roads, Power plants, Real estate, urban infrastructure (Metro, MRTS, Airports etc.) and Industrial infrastructure (Steel Plants, Refineries) are particularly growing faster than the industry. The list includes: Compactors, Paver finishers, Excavators, Backhoe - Loaders, Lifting equipment, Pilers, Crushing, and concreting equipment.

How is ECEL positioning itself in this scenario to turnout improved version of equipment benchmarked to energy efficiency, eco-friendliness, quality up– gradation, and related operational attributes to meet the complex requirements of projects?

At ECEL, we always are improving the product offerings. "Product and application innovation” is our main strategy to remain the market leaders. All our equipment are engineered to meet standards on fuel efficiency, safety, quality, and eco-friendliness.

As far as operational attributes are concerned, we always take the lead in improving the offerings by technological innovations as a continuous on going process. Our new series (TRX ) of Pick and Carry cranes is going to redefine the technology datum in the industry. We have packaged the new series with scores of features to make it suitable for many applications, including heavy duty (and higher height) erection at Mega projects, ability to travel long distance for inter city movements as well as compactness/Maneuverability for intra city applications etc. The safety, operational ease and product utility aspects have been made to match the global standards. Going with our "global leader" status on Pick and carry cranes, TRX series also has the world’s largest articulated Pick and Carry crane as an offering in the range of 22-25 tonnes capacity. For Tandem rollers, we are the only company to offer an asphalt version along with a dual application version.

ECEL on Bigger Dreams!
Recently, we have partnered with the World leaders, such as IHI of Japan (for crawler cranes up to 280 Tonnes) and ALTEC of USA (for power/telecom transmission utility equipment), to market their products in India. Both these product lines are with the most technologically advanced operational attributes in the world in line with the complex requirements of the projects. We have also tied up with WEIHAI HUATA and ALFA for marketing their range of Tower cranes and with these two tie-ups; our offerings on Tower cranes will be the most comprehensive and innovative in the industry.

ECEL has spearheaded important technological developments in earthmoving equipment, in ontemporary range of ABC cranes and materials handling equipment. What is the complete range of ECEL products, its manufacturing facilities and new plans to ramp up its production capacity with state-of-the-art facilities?

The current product range includes:

Hydraulic Mobile Pick and Carry Cranes, Hydraulic Mobile 360 deg Slew Cranes (Rough, Yard and Truck types), Single drum Soil Vibratory Compactors, Tandem Vibratory Rollers for Dual (soil/asphalt) application as well as purely for Asphalt application, TVR for shoulder compaction, Articulated boom Cranes, Front end Loaders, Forklifts, Tower Cranes, Crawler Cranes and Power/Telecom transmission utility equipment.

Over the years, we have been ramping up our capacities. As our sales volumes kept growing (more than 8 times since 2000), we kept ramping our production capacities to meet the demand. Keeping in line with the expected growth in the current businesses as well as our plans of getting into new businesses, we are now investing Rs 60 crores in phase I expansion for creating new facilities at Ballabhgarh and Rudrapur which would double our capacities. The new state-of-the-art facility at Ballabhgarh will have approx. 25,000 square meter of the covered area. The production is slated to start in February 2008 at this plant. Rudrapur plant will go on stream a little earlier. More investment will follow in the coming years.

How is ECEL making its product range price competitive on a sustainable basis with cost of production going up? Apart from organisational measures to contain production costs, what policy measures are needed at Government's end to rationalize the rising production costs?

While it is true that the input costs are growing, the competition is also growing with the same pace every year. Every new entrant uses the price as a tool to gain acceptance in the market. Therefore, it is important for us to keep working towards cost cutting by eliminating the waste and lead times in the operations. Our initiatives on Lean Sigma transformation are in this direction. However, our emphasis is not just alone on cutting the cost by making the operations more efficient; we also work towards improving the VFM (value for money) proposition by adding more customer benefiting attributes and improving the performance capabilities of our equipment.

The government support is required to provide some mechanism to augment R&D activities further to improve the technology and to bring down the costs of the equipment. Government should also play a role in developing human resource with operation and maintenance skill sets for which industry is already facing an acute shortage. This is very important for making the manufacturing operations efficient. Today the workers in India may be cheaper in the terms of wages alone (compared to the developed economies) but viewed in terms of productivity/efficiency they do not compare favorably. There is also a need for an emphasized differentiation in the custom duty structure applicable to imports of components for manufacturing vis-à-vis CBU’s/old equipment imports. This will make local manufacturing more cost effective.

How does ECEL plan to have an efficient country-wide network of dealers, after sales and customer support system to meet the diverse requirements of its clients?

We were the first company to start marketing the construction equipment through a network of dealerships in 1971. Today, after 36 years, our network for product support, spanning over 70 locations, remains probably the most extensive and efficient network in the Indian construction and material handling equipment industry. Over the past three decades, during which it was nurtured and developed, the network has proven its effectiveness to the owners of over 20,000 installations across the country. We have supported our dealerships in developing suitable infrastructure (like workshop facilities), in putting their quality and other management systems in place and by providing training to their manpower. We have two training centers at Bangalore and Faridabad where along with classroom training we also provide practical training on our machines for operation and maintenance. These facilities are used for our customers as well as for our dealerships.

What is the existing market share of the company and what targets are being set for it for the next 3-4 years, having embarked its Lean Journey to operational excellence?

The company has maintained leadership positions in all the product lines it handles. ECEL is not only India’s but the world's largest manufacturer of Pick and carry types of Hydraulic mobile cranes. The company enjoys over 60% market share in value terms. With introduction of new (TRX) pick and carry cranes, increased production capacities and operational excellence, we will increase our market share to 65-67% in next 2 years. For Compaction equipment, we have already emerged as one of the top three manufacturers in the country and are quickly gaining momentum to be at the top in the next few years. ECEL is likely to achieve a market share of 28% in compaction equipment in the current financial year. The company is the largest supplier of the LPG–based forklifts with over 90% market share. The company has plans to achieve leadership in diesel forklifts as well in the next 3 years.

NBMCW January 2008


Dana Corporation Committed to Innovatio...

Rick Honeyager
In an interview with S. A. Faridi, Rick Honeyager, Product Director, Dana Off–Highway Systems, explains how Dana is committed to on–going innovation, and how it is gearing itself up to meet India off–Highway OEM needs.

Much technological advancement has taken place since Dana Corporation started. How have these technological changes been assimilated in Dana’s drive systems?

As a leading international source for off - highway products, systems, and technologies – including axles, driveshafts, transmissions, and electronic controls—Dana is committed to ongoing innovation and the integration of added value into all product and system designs. From variable-reach rough-terrain lift trucks and agricultural tractors to riding mowers and golf cars, Dana’s off- Highway Systems group provides a single source for the cuttingedge technology and unsurpassed service that the world has come to expect.

The company’s years long research and development experience has resulted in the creation of complete drivetrain solutions, including innovations in torque converters, power shift transmissions , driveshafts, single reduction and planetaryreduction axles. Employing VA/VE principles, technological advancements have been realized across all Dana components, resulting in the most design-efficient and manufacturable products to meet customer requirements.

For OEMs, Dana offers onestop shopping, and can meet all drivetrain needs through a single source – meaning one account manager, one logistics system and one set of commercial terms. An ability to offer a complete range of drivetrain solutions translates to enhanced efficiency for Dana’s customers. As an added benefit, Dana is able to optimize transmission, axle and driveshaft specifications in an integrated manner, allowing for the best performance and highest value solutions for OEMs.

Please tell us about Dana Corporation’s operations, manufacturing facilities, and technical centers that serve the company.

Dana’s Off-Highway Systems group includes worldwide research/ development and manufacturing operations in Belgium, Brazil, China, Hungary, India, Italy, Mexico, the United Kingdom, and the United States. Dana’s Off- Highway System serves more than 1,000 vehicle assembly and manufacturing facilities in 30 countries. It has also two global distribution centers and more than 50 authorized service center locations serving in excess of 100 countries.

The company’s experience in automotive axle engineering has also successfully translated into the development of products and systems specifically for offhighway vehicle applications.

Other worldwide production capabilities include:
  • Pune, India – compact planetary axle production to address region-specific OEM needs
  • Wuxi, China – production of integrated mechanical transaxles for lawn tractors, and planetary gear axles for small agriculture front-drive applications.
In addition to manufacturing and assembly facilities, Dana has several technical centers focusing on a broad range of product and system development.

How do Dana's drive systems relate to the requirements of construction and infrastructure sectors and their important technical features in terms of ease of operation, ergonomical design, durability, emissions, and fuel efficiency as benchmarked on world-wide standards?

The off-highway applications addressed by Dana’s products and systems have very specific requirements regarding tractive effort and speed, as well as installation parameters. Dana provides modular solutions that result in platforms being adaptable to a variety of vehicle applications, such as 3-, 4-, 6- and 8-speed power shift transmission requirements, and differing torque converter options across vehicle applications. With respect to fuel economy, the number of speeds and torque converter match are becoming ever-increasing considerations in new vehicle applications.

Dana also provides lock-up and free-wheel features on its torque converters, which lead to increased efficiency. The company’s transmission designs typically provide two-system pump drives within the converter assembly, which provide a convenient location to mount OEM hydraulic pumps for vehicle system functions. To deliver optimum tractive effort, vehicle speed and drive efficiency for vehicles, planetary axles with overall ratios of 12:1 through 33:1 are offered. Dana also provides an industry-leading range of flangeto- flange axle widths to accommodate varying vehicle tread width requirements. The company delivers world-leading brake technology for pressure-applied or spring-applied applications. Lastly, Dana offers a variety of torquebiasing differentials to provide traction in adverse ground conditions.

Commitment to quality standards and focus on R & D for innovation in advanced drive systems are the hallmarks of Dana’s operation. What is being done to meet the changing needs of global customers and what are your recent important initiatives?

Backed by global research and development centers, Dana’s state of- the-art design techniques and on- and off-road test tracks ensure robust designs for final products relative to their applications. Whether increasing the life of bearings, sealing products, gears, and shafts, or designing and delivering a completely balanced drivetrain system, Dana is committed to ongoing improvement of processes, products, and systems.

Dana has a formal product planning and new product development process with defined project reviews and stage gate requirements, which ensures that products will meet customer and market needs. Internal lab and field testing are also employed to assure production success. Virtually all of Dana’s manufacturing facilities are ISO 9000 certified with preproduction component inspection and sign-off, as well as production SPC statistical process control. These ensure all quality requirements are being met at Dana facilities around the globe.

Of late, India is emerging fast as a growing market for innovative drivetrain systems. With exciting opportunities in this region, what are Dana Corporation’s plans to participate in the growing Indian market? Furthermore, how is Dana meeting the continued growing needs of China?

Dana’s India Technology Center in Pune, is a shared resource with the company’s Commercial Vehicle Systems group. However, to address this growing segment of the international marketplace, the Off-Highway Systems group is in the final construction phases of a stand-alone facility to meet increasing Indian off-highway OEM needs. These facilities will primarily address product demand indigenous to the country of India. In China, Dana is responding to similarly escalating manufacturing needs from large, global OEMs in this region. With more OEMs moving vehicle manufacturing to China, Dana is correspondingly shifting production location to address their in-country component needs.

NBMCW September 2007


Craning Up High…..

Chowgule cranes have met with good deal of success in popularising truck and tractor mounted telescopic cranes in the country's construction sector. The increasing acceptance of these cranes is being attributed to its ability to undertake multipurpose lifting applications. In an interview to P.P. Basistha and S.A Faridi, Mr. Arjun Chowgule elaborates on the unique selling point of these cranes and Chowgule's future business plans.

Perception on future demand of truck mounted cranes and its application advantage in construction…

Craning Up High…..
The demand potential of truck-mounted cranes in the country is expected to be quite encouraging. The demand so far has been quite robust and would continue to grow on the backdrop of the growth of the country’s construction sector. Heightened activity both in core and industrial construction would lead to the demand of truck-mounted cranes.

Chowgule Unic's truck mounted cranes have been finding increasing demand owing to its multipurpose applications. The cranes are placed on a truck as an entire unit. Positioning of the cranes on the truck enables it to lift and carry the load. This in turn goes on to minimize cost of operation on the backdrop of minimal manual involvement. The positioning of the crane as a truckmounted unit comes with an added advantage of enabling quicker turn round of the machinery, leading to enhanced productivity. Higher productivity of the cranes is based on its telescopic character synthesized with its operational feature of higher maneuverability.

With order books being full, most of the construction companies, the product finds it application advantage owing to its ability to get redeployed in various construction sites.

Some of the customers using the cranes…

Customers using our truck-mounted cranes are quite assorted, ranging from big to medium range construction companies. To name a few, our customers include: Larsen & Toubro Ltd, Hindustan Construction Co, Simplex Infrastructure Pvt. Ltd, Patel Engineering Ltd, B.Seeniah & Co, and many others.

On collaboration with Furukawa

Our collaboration with Furukawa is more of a marketing and distribution tie up for selling the cranes. However, the strong marketing tie up is based on the fact on our engineering skills. This is much essential for appropriate sales and service to the end users. We would lay emphasis to strengthen our tie up based on our engineering skills.

I would like to inform that Chowgule has essentially been known as an engineering company and we would continue to lay emphasis in positioning it as an engineering company.

Attuning product to the Indian construction industry requirement…?

To make the products increasingly gel with Indian requirement, we are laying emphasis on strengthening our relationship with existing customers. The strengthening of relationship would enable to create knowledge pool. This would enable us to produce India specific handling and lifting solutions. The knowledge pool, would help us to further synchronise our tie up with the parent company, which would go all the way in creating products much suited to Indian construction industry requirements.

We are contemplating in providing attachments with the telescopic truck mounted cranes for enhanced and assorted productivity. Our future product positioning for the market would be in line of our existing product portfolio. Emphasis would be laid in providing holistic lifting solutions. Tractor Mounted Hydraulic cranes finds their increasing application in rural electrification projects. Other areas are being identified, where it can find applications.

After sales service and strengthening of support

We provide service support within 24 hours across the country. Pre selling the product, we make the demonstration of the products two days to the operator.

We have a spares hub at Goa to provide the component support. This is logistically well linked across the country.

To strengthen our back up support, we are working to attain economies of scale in our operations. Our focuses have been on operator’s level training for optimum productivity of the machinery. We undertake regular project training at an appropriate level for the operators. For proper functioning of the machinery, we undertake regular maintenance checks.

NBMCW January 2008


"Caterpillar's Presence in India i...

Rodney C. Beeler
"Caterpillar’s presence in India is stronger than ever. We currently employ nearly 3,000 people in India and we are investing in our operations across India to support our growing customer base. We help our existing customer base in India to succeed and grow, and our experience around the world tells us that other contractors and potential customers in India will seek to benefit from the value that Caterpillar and its dealers bring to market," said Mr. Rodney C. Beeler, President, Asia Pacific Marketing, Caterpillar Asia Pte Ltd, in an exclusive interview with SKK and S. A. Faridi.

Due to slump in the US construction market, some of the established construction equipment majors are under utmost pressure. Nevertheless, some have done very well as strong demand from Asia and Europe has offset the fall in the US market. How is Caterpillar coping up with this situation?

Looking at our most recent quarterly financial results for the third quarter of 2007, Team Caterpillar is performing remarkably well. It was our best quarter ever for sales and revenues with the $11.4 billion setting a new mark. Profit of $927 million and $1.40 per share also set a new high as the best third quarter in our history. As you noted, our sales and revenues for North America were down by 11 percent for the third quarter, but this was more than offset by booming Demand around the world.Sales in Asia Pacific climbed 30% while sales in Europe, Africa and the Middle–East rose 36% for the quarter. Sales in Latin America also increased with a 20% gain. These impressive gains demonstrate the strength of Caterpillar’s global business model and investment over the years to support customers in emerging markets outside the U.S.

Lot of churning is taking place in Indian construction equipment market and companies are set to widen their business platform, and product portfolios. What are Caterpillar’s plans on this front?

Caterpillar recognizes the importance of the Indian market, and as the Indian business platform evolves, we want to assist our customers through that evolution. In response to market challenges and to address rapidly expanding construction industry needs, Caterpillar, in conjunction with its dealers, has initiated a network of Cat Rental Stores across India. The goal is to establish 12 Cat Rental Stores by year’s end and a network of 75 by 2010. The stores will feature a comprehensive range of Caterpillar and allied brand tools and equipment to help meet Indian customers’ jobsite needs. Together with Indian dealers, TIL Ltd, and GMMCO Ltd, Caterpillar has established an innovative Contractor’s College to educate machine owners and users in the construction, mining and power systems market. Contractor College was one of a number of customer-focused programs Caterpillar and its Indian dealers initiated to assist Cat customers as they achieve improved productivity in their businesses. At Excon in Bangalore we displayed a Hydraulic Excavator Simulator, one of the many tools for the Contractor College. Operators can improve their skills through this simulator, which impacts productivity and profitability of our customers. Working closely with our dealers, we understand the challenges facing the Indian market and what we are able to do to help our customers improve their business and enjoy greater success. In addition, Caterpillar continues to invest in its manufacturing, logistics and technology operations based in India.

What are the perils in pricing in a market like construction equipment where innovation and fierce competition are changing the rules of the game. Do you believe in the benefits of high volume even at a lower per unit price to build and widen customer base?

For over 80 years, Caterpillar’s business philosophy has remained the same—to provide our customers with the best and most competitive products, and along with our dealer network, to provide unsurpassed support for those products. This global business model focuses on providing value to our customers as we enable them to do their jobs in the most efficient and economical manner. As Team Caterpillar helps these customers to complete projects in the most cost effective and timely manner, those customers will become more profitable and they will be able to grow their businesses. By providing our customers high quality and reliable equipment and unmatched customer service, we will help them to be successful. Caterpillar has followed this business model for more than 80 years, and Caterpillar’s global leadership position in the industry today is a testament to our mutual success with our customers.

How Caterpillar looks India as a big chunk of market for its products and services. What market share the company is looking to garner in the next 3-4 years in view of tremendous infrastructure spending. Do you plan to set up more manufacturing facilities or upgrade existing ones in India near future?

Caterpillar’s presence in India is stronger than ever. We currently employ nearly 3,000 people in India and we are investing in our operations across India to support our growing customer base in India. In 2002, Caterpillar established an Engineering Design Center in Chennai to provide engineering support to the enterprise in product design and development. Caterpillar manufacturing operations located in India produce mining and earthmoving equipment, engines, engine components and generator sets. These products primarily support customers in the domestic Indian market and in the wider Asia Pacific region. As a general policy, Caterpillar does not discuss market share, but we believe our continued investment in India as well as the investments our dealers are making in this market will lead to continued success for our customers in India. Additionally, as we help our existing customer base in India succeed and grow our experience around the world tells us that other contractors and potential customers in India will seek to benefit from the value that Caterpillar and its dealers bring to market.

What major segments of construction equipment in India are set to grow and which segment Caterpillar would be focusing on?

The Indian Government recognizes the need for more roads, power, ports, airports etc. Naturally, the result is a construction and mining industry that is growing rapidly and quite naturally fits perfectly for the focus of the broad range of Caterpillar products being offered to Indian contractors. For decades all around the world, Caterpillar customers have used Cat machines and engines to make progress possible. The current plans for development and modernization in India, and the need for products to support those plans means that India is among a handful of developing nations in the world where there is tremendous potential for Caterpillar to support current and future customers who will play an important role in the development of India’s economy. This development will help to improve the standard of living for millions of people living in India and Caterpillar and its dealers are proud to help play a role in this positive development.

What enabling policy provisions Caterpillar looks to Government to further facilitate its business operations in India?

To allow the flow of goods and services throughout India freely and without the encumbrance of permits and multi-taxations would improve business operations. To allow OEM’s like Caterpillar to provide customers remanufactured products. Being one of Caterpillar core competences, REMAN Products provide customers a cost-effective way to maintain and repair equipment, as well as to promote sustainable development in business.

NBMCW March 2008


Indian Experience Taking Vermeer to Gre...

Indian Experience Taking Vermeer
"Our journey in India is full of experiences in helping us become a better organization during its course, starting in 1997 as a one man team to multiple teams taking Vermeer to greater heights. Our future plans include aggressive marketing of the trenching and surface mining products from Vermeer. India is definitely on our radar for opening our factories," says Mr. Navneet Mathur, CEO, Worldwide Machinery Solutions in his interview with S.K.Khanna.

Please tell us something about Vermeer Corporation, how over the years it has grown from a one person operation to its present stature of an international organization manufacturing agriculture, construction, environmental and industrial equipment.

Vermeer recently celebrated its 60thAnniversary as manufacturer of infrastructure development equipment. Vermeer started from a small town called Pella in the state of Iowa in the mid west United States, and was established by a young enterprising farmer by the name of Gary Vermeer. Since 1980’s his children Mary Vermeer Andringa and Bob Vermeer have taken over the management and have grown the company to its current size and transforming the manufacturing facility to a global enterprise, with sales from North America to Africa and Japan.

What are Vermeer’s important business areas and its products range to serve the industrial market? Where are its manufacturing facilities located and manner it operates worldwide?

Vermeer currently manufactures a wide range of Trenchless Technology Equipment, Environ– mental Equipment, Surface Mining Equipment, and Trenching equipment that are useful in installing the pipelines in the ground. Each range of machinery has several models depending on the type of project that needs to be successfully executed. In Trenchless Technology, we offer solutions from small machines that are used for Fiber to Home applications all the way upto large machines that can install a 48" steel pipeline for more than 2 Kilometers in a single stretch. When it comes to installing Kilometers of pipeline in hard rock, Vermeer trenchers have been the most proven solution for past several years, ensuring the job is done efficiently and economically. Vermeer range of Environmental Products are now assisting the Bio Mass and Land Clearing applications in India and worldwide, making the renewable energy electricity production a growing industry. Vermeer Surface miners in past four years have created a revolution in the mining sector. Vermeer Terrain Levellers have been successfully deployed worldwide in mining applications to ensure the most environment friendly excavation of the minerals without blasting.

Vermeer has two production facilities as of now. Vermeer’s state of the art and over a mile long manufacturing facility is located in Pella, IA, United States where we produce the finest and most innovative machines in the world. Also about a year ago, Vermeer established a small manufacturing facility in China to produce the low cost Directional Drills, Trenchless Technology machines for the Asian market. This manufacturing facility currently manufactures two models for Drilling Machines only.

Vermeer has been successfully operating in India through its exclusive arrangement since 1997 with its sales and service outfit in Ajmer. What are Indian exclusive outfit’s dealership, sales and services facilities?

We started in 1997 as exclusive dealers for Vermeer and since then it has been a journey full of experiences helping us become a better organization during its course. We started as a one man company and today we successfully employ a team that has taken the name of Vermeer to greater heights with exceptional customer service and after sales support to its clients, who have been more demanding than ever. We currently operate from Ajmer, New Delhi, Kolkata and Banglore, and also with sales people strategically located in various parts of the country. Ajmer is our largest hub and is equipped with a highly sophisticated workshop and spare parts distribution center. Our regional offices are doing the sales follow-up and we have service technician located out of these offices respectively, which are available on one call to the customer on 24x7 basis. We have been identified as the best service dealer in our field of business and that has resulted in the repeated orders from our valuable customer’s throughout these years. We have been consistently adding the service team members to our organizational chart and the single objective behind this is customer care. We believe if the machine are up and running all the time, there is no doubt in anyone’s mind that the next purchase order from our customer will have Vermeer name in it.

Based on its successful operation so far in India, what are company's future plans to serve the growing infrastructure market for construction and mining equipment. How do you look at increasing your market share through new plans for the next three-four years?

Indian construction Industry has been on an upward growth curve for many years now and we are anticipating the same upward curve for atleast another decade, beyond which it is very difficult to speculate the future. For the Trenchless Technology and Trenching machines Vermeer has been the number one in sales in India and we will have to work harder and smarter to continue to hold the top spot, we are facing very stiff price competition from very poor quality low cost manufacturer’s from China and Indian government must look in the details of these very low priced manufacturers as they are ignoring the important environmental and safety issues, Indian buyer is price sensitive and hence at times they get in the trap of such products and eventually pay the heavy price at some point or the other. We have to protect such buyers by implementing and enforcing strong quality norms, especially for products from China.

Indian Experience Taking Vermeer
Our future plans include aggressive marketing and demonstrations of the Trenching and Surface Mining from Vermeer. We have imported a few strategic models for these ranges of products to ensure that we get access to the opening markets of pipelines and mining sector. In addition to this, we are already expanding our geographical reach for the trenchless products and have started to notice the larger growth in this segment is coming from smaller towns; hence our focus is now on areas that are growing fast like, Lucknow, Kanpur and similar level cities. Market share is something that we have been looking for a long time now and are determined to improve our numbers through consistent demonstrations and product awareness. We work in some very niche areas that unlike general construction equipment, we serve clients who have very specific job requirement. We are very excited about our future plans and are paying very careful attention to the need of evergrowing demands of our customers and in general customer expectation. We would be expanding our team strength in the mining sector with a dedicated regional office for the mining customers. Other than this, we also have significant amounts allocated for the advertising and marketing promotions, we are hopeful and expect to get favorable response from the market.

Are there plans to have Vermeer manufacturing facilities in India with the rich experience gained through sales and services network forged so far since 1997?

At this point of time the focus of Vermeer for manufacturing facilities is on the Chinese setup, and we are working hard to deliver the same quality and reliability to our products from the Beijing factory. As you know China has a wide variety in quality and we have decided to place ourselves at the topmost bracket of quality. India is definitely on the radar and we are carefully considering our options and when the time is right we will take the decision.

NBMCW October 2008


Volvo - All Set to Have a Larger Presen...

Mr. Eberhard Wedekind, the President Region Asia, Volvo Construction Equipment and Mr. Patrick Olney, President, Road Machinery BusinessLine, Road Machinery, Volvo, the iconic brand in construction equipment worldwide is all set to have a larger presence in Asia and India.

For Volvo, the Indian market is vital in terms of serving the increasing demand in the domestic market and also to utilize unique strength of the country in product engineering, development, and global supply of components for markets elsewhere. The strategy is to cater to the expanding domestic market due to present and future boom in infrastructure development in these regions and utilize the same as a sourcing base for exports.

"We are in the process of consolidating and strengthening our presence in India in a big way as India is becoming a big market for both domestic and exports, they said in their interaction with SKK and S. A. Faridi on the sidelines of Excon 2007 at Bangalore.

Recent acquisition of Ingersoll Rand, has been the first major initiative to complement, enlarge and expand the range of Volvo products and services.

The acquisition has helped us expand our expertise to leverage our position across synergies, they said. Through such initiatives, Volvo brings to the markets the finest products and services and simultaneously meets its energy conservation and fuel efficiency, environmental protection obligation with better emission and fuel efficiency standards in line with its corporate responsibility on these fronts. Having changed the concept from the lowest ownership cost to the lowest cost per tonne, Volvo has the world's most efficient engines and technology that is unmatched in the industry. We believe in acquiring the most suitable companies in the world, having acquired companies in the US, Germany, China, and India to deliver the best to our emerging markets. These gains have to be consolidated to serve the global market effectively and in better ways. Volvo has plans for manufacturing and expanding specific products for the Indian market, depending on the opportunities. In a style typical to Volvo operations, Volvo India has been introducing the latest series of machines in India coinciding with their global launches all resulting in high productivity and machine uptime. These products are supported by a strong distribution network located across the country, said Mr. Eberhard Wedekind.

The construction equipment industry in India has much to look forward, said Mr. Patrick Olney. But the pace of growth is conditioned by many important factors, skilled manpower crunch, being one of them. There is a need to initiate suitable measures to bridge the big gap in the area of trained manpower. Volvo places great store on the need for trained personnel to operate its machines for better performance and higher productivity. This would be the focus area and would call for extensive training of Volvo and dealers personnel. Volvo has plans to allocate more funds to train the operators including upgrading training facilities at RASTA, which helps to train road building entrepreneurs in road construction and the use of latest technology.

Tax and import duty regime need to be rationalized. As a matter of fact, this was discussed at great length at the CEOs meeting at Excon. There was a broad agreement at this meeting urging the removal of various distortions which will augur well for the future for the growth of construction Equipment industry, added Mr. Olney.


At Excon, Mr. Eberhard Wedekind launched Volvo CE’s new series of Wheel Loaders. The Indian market has accepted our equipment very well and the encouraging response from the sub-continent has led us to launch our latest series in India, he said at the launch ceremony. Mr. Patrick Olney launched the PT 220 RH Pneumatic Roller. Post Volvo acquisition of Ingersoll Rand’s Road Machinery Division, this is the first time that road machinery has been launched in Volvo colors. The machine has been designed to suit the quality needs of the Indian roads giving it a quality at par with global standards. The road machinery is certainly going to roads, giving it the quality at par with global standards, said Mr. Olney.

NBMCW January 2008


Key is Localization...

Sanjay Passary
Taurian Engineering Pvt, Ltd, a group company of Taurian Iron and Steel, started operations in February 2005 has made rapid strides in the Indian crushing and screening industry by making good in roads in business during the fiscal years 2006-07. From a small turnover of Rs 3 crores in 2005-06, Taurian completed the year with a turnover of Rs 25 crores. The heightened business growth of the company has been on the backdrop of increased demand of crushing and screening equipment due to new NHAI projects, steel boom in steel sector etc. In an interview with P. P Basistha, Mr. Sanjay Passary shared how the company has been able to expand its business and what is in store to cash on the boom, through new product offerings.

Behind Taurian’s edge in the crushing industry...

The fact that makes Taurian enjoy a competitive in the Indian crushing industry is based on the fact that its products are cent percent localized. The positioning also comes from the fact that Taurian offers host of crushing and screening products with range of capacity. This ranges from 50 tonnes per hour (tph) colt series mobile screening plants to 500 tph Jumbo series mobile and crushing plants. This is coupled with the fact that all the crushers come with advanced technology comprising semi and fully hydraulic design. Besides, the crushers at Taurian also have advanced features, comprising both roller bearing and bush bearing design, all leading to optimum productivity.

Induction of advanced features and making them suit as per the Indian working conditions; have enabled us to carve a well–defined position for Taurian. I would like to point out that the foreign manufacturers and the foreign companies claim to have advanced features in their products to suit wide range of working conditions, but much paradoxically the features of the equipment have a standard built up. We have been away from this, at Taurian, we have tried to make the equipment much customized for the Indian working conditions.

Further Basis Behind Edge...

Increased localization supported by adequate research & development has enabled us to make our products much price competitive, at the range of 40 percent less than our foreign competitors. Localization and R&D to make the products gel with the Indian working conditions have been supported by our knowledge input.

We own iron ore mines. Possessing iron ore, mines have enabled us to gain knowledge the crushing and screening conditions Indian mines have and how equipment should be customised to fit in those mining requirements. All these have made us make products, which conforms to the Indian working conditions, all enabling us to have a niche for our products.

Machines Sold

Taurian has so far sold around 36 crushing and screening plants to various segments like aggregate, iron ore, limestone etc. Taurian Engineering has exported screen plants to Mozambique for its rail projects.

Manufacturing Capabilities and Collaborations

Taurian has a standard state–of–the–art unit at Roorkee. Producing six plants per month and backed by CNC machines shop, press brake and profile cutting machines backed by skilled work force. The unit has a full fledged spares department. The engineering control department of the unit is being upgraded and by the end of 2007, we would be going in for ISO-certification.

Taurian Engineering is backed up by Astec group of USA and Shensui of China for its continuous development in crushing and screening plants.

Plans to Diversify

We have plans to diversify with the boom in construction equipment sector. Taurian Engineering is setting up a new factory for developing loaders, excavators engines and associated equipment near Roorkee and Pune. Technical and manufacturing collaborations are already under scrutiny and the new development products are expected to be launched by the end of 2007.

New Launches

At Excon 2007, we have launched Panther series track mounted screening plants. This is a unique product in the Indian crushing and screening market. The prime features of these screening plants are, they have high production capacities upto 600 tph of screened material with three on board stacking conveyors which allow for three salable products to be processed at one time.The machine is versatile having double deck screen for multiple material separation wide side tensioned top deck screen and extended bottom deck screen.

The most unique feature of this machine is its ease of use with nil requirement of operator which in turn reduces operating costs and increases profits.

We plan to launch track mounted jaw crushers and track mounted cone crushers and also track mounted vertical shaft impactors. The new product line would enable us further to consolidate our position in the crushers and screeners market. All the products would be launched very shortly. Moreover, we would be increasing our presence in the construction aggregates industry at par with the mining industry through the product mix.

Strengthening after Sales Network

Strengthening of sales and service network is a continuous process at Taurian. The company has a 24X7 service back up support. Initiatives are further being taken to strengthen the present support systems.

NBMCW January 2008


Indian Market: A Strong Opportunity for...

Indian Market: A Strong Opportunity for Sany
Sany Heavy Industry India Pvt. Ltd. the Subsidiary of Sany Heavy Industry Limited, China, has a mission to support the tremendous opportunities in India's Infrastructure Development, said Mr. Sen He, the CEO & Managing Director and Brahmanand Pandey Chief Marketing Officer in their interaction with SKK.

Speaking about the emerging boost in construction equipment market in India, he said that India is witnessing a boom in real estate, both in residential & commercial segments apart from Govt. projects. This has accelerated the demand of modern constructions & improvement in infrastructure. There is an urge to cut the lead time of projects as a result, the builders & contractors have started looking out for modern equipment to enhance the productivity.

Here is where, Sany finds a strong opportunity to offer to the industry.

In today's context major equipment for the Indian infrastructure projects as seen by Sany are Truck mounted Concrete pumps, Trailer Mounted Concrete Pumps, Concrete Placing Boom, Concrete Batching plant, Asphalt Batching plant, Asphalt Paver, Soil Compactors, Asphalt Compactors, Pneumatic Tyre Roller, Motor Grader,Excavators, Rotary Drilling Rig & Hydraulic Crawler Crane, he added.

He disclosed that at present Sany is importing these products for their valuable clients. The company has aquired 80 acre land in Chakan near Pune, Maharashtra and with investment plan of US $60 million important products will be manufactured in India itself. Sany has already established major offices, parts depots, and warehouses in Metro and other bigger cities to support the customers. The Company is also setting up network of branch offices across country and is giving best product Support in the industry. The training to customers' operators and mechanics is an ongoing process. Sany also has large rental fleet to support customer's needs.

Sany has impressive reference list of valuable leading Construction and Infrastructure companies using their product range. With expansion of network and coverage, they are adding regularly new names to their fold with the help of excellent track record and ambitious commitments.

To the question, how the company is planning new launches, he said new equipment will be Launched based on the need of customers. Now the customer demands for 6 CUM Transits mixer. On top most priority, we will be launching Transit Mixers. The Imported equipment like High Capacity Concrete Pumps, Boom Pumps, Crawler cranes, are being offered to our customers for their specific requirements.

Indian Market: A Strong Opportunity for Sany
Giving the historical background of the parent company, he said, company's Chairman Mr. Liang Wengen and his associates eastablished the Organisation in 1989 with "Three First Class" concept. Today Sany Heavy Industry Company Limited, China is a Construction equipment giant with Annual turnover touching $1.5 billion in 2007. Sany has won many prestigious awards. Sany ranks as one of the top 10 companies of China. Company philosphy was to establish first class enterprise, to cultivate first class talent No1 (World Class) talent, to make first class contribution.

Speaking about Sany Heavy Industry India Pvt. Ltd he said. Sany has built a strong team of employees in India.

The company's Marketing is handled by Mr. Brahmanand Pandey, Chief Marketing Officer who brings with him rich experience of 23 years in Indian Earthmoving Industry. Sany India's team of highly experienced professionals is working towards making their Indian subsidiary as a Top class enterprise attracting top talent and completing the Marketing Network across the country.

Sany offers large Rental fleet to support customer's needs. Productive and large fleet of 100 machines have been deployed on customer's site giving them rental Solutions.

Sany is committed to give best product support in the industry. Detailed trainings to operators and mechanics are ongoing and are integral part of Sany's endeavor to provide customer delight, said Sany CEO and Managing Director, Sen He.

NBMCW November 2007


Value Addition and Fine Tuning at Sandv...

Sandvik Asia Ltd, subsidiary of Swedish company Sandvik AB, commenced its operations in India Way back in 1960. Ever since its inception, the endeavor of Swedish construction and mining equipment major has been to lay emphasis on adding value to its product line at par with its global standards. Focuses have also been in integrating its global engineering skills with that of Indian operation.

Now, with demand of the Indian construction industry for quality equipment with less operation costs at all time high, Sandvik Asia is bracing itself up to further integrate its global skills for advanced product output in tune with changing demand pattern for advanced products in India.

P.P Basistha had an opportunity to have a round table discussion with top echelons of Sandvik Asia during Excon 2007 to learn more about the company's new operation strategy in India and its business development plans. The top brass on the discussion table consisted, Mr. Hakan Kingstedt, Managing Director & President, Sandvik Asia Ltd, Dr. Thomas Schulz, President Construction, Sandvik Mining & Construction, G.V.R. Murthy, Vice President-Construction Segment, Asia Pacific, Sandvik Asia Ltd and Mr. V. Venkataramana, Vice President- Construction Segment, Sandvik Mining & Construction for Sandvik Asia Limited. Excerpts of the Discussion

Products Customisation

Value Addition & Fine Tuning at Sandvik
Demand of the Indian construction industry is at its full for quality products on the back drop of steady mechanisation of construction activities. Demand of quality equipment is also to bring down costs of operation as margins are under acute pressure brought by competition. On account of this, our renewed endeavor would be to develop customised construction and mining products, which would essentially involve less operation costs. To develop products, involving less operating costs, we are involving the customer more and more for developing the equipment.

Operating Cost

Our experience in India says that the customer is very intelligent in calculating cost per ton involving the utilization of the product. We would lay greater focus in utilizing the knowledge input of the customers. This would be further dovetailed with our global engineering and knowledge pool to develop products involving low operating costs. Knowledge input of the customers would be derived from the conduits involving our sales and distribution channel and also very much from the end users.

Engineering Integration

Value Addition & Fine Tuning at Sandvik
The engineering integration would be done through strong focus on research and development, synthesised with the inputs derived from the customers. We would like to point out that Sandvik already have global products for global customers. The products have certain set standards, which can be well used by customers across the globe. However, to further reorient the construction and mining products as per Indian requirement, we would inculcate our global engineering skills into our Indian operation.

Sandvik operates across the globe. There is a continuous interchange of engineering and R&D skills within our centres of operation again supported by a strong global network. The global skills in place would be utilised in developing products for the Indian market.


To develop advanced products based on global expertise our top most priority would be to develop human resource skills. Our engineers are being trained as per our global standards. It would be important to point out that at Sandvik training is being imparted to the engineers at various levels of construction and mining equipment. This is to make the engineers much well accustomed with every part of the machine, involving the hydraulics, mechanical system, safety components etc in the course of its manufacturing process.

Making the engineers understand every working parts of the machinery would enable them to impart training at operator's level. This is very muchprerequisite as because in India the paradox is machines are not utilised as per their potential. Through proper training the issue would be addressed at our end. We would like to inform that we have started our mining and construction academy at Pune to create diploma engineers to address the issue of shortage of skilled manpower in the country.

Price Sensitivity

We are very encouraged to see that there is a paradigm shift in perception of the Indian construction industry fraternity in paying a higher price for a quality product. No more the industry is skeptical in paying more for an advanced product. Notwithstanding, to iron out any skepticism, we are carrying out our marketing by saying our prospective customers that they should look drilling and crushing as an integrated process. By looking into drilling and crushing as an integrated process customers would be able to well perceive that the machines are able to produce output at the lowest cost per tonne.

This would drive down the idea well that the investment costs could be higher but the machines have low operating and running costs owing to its rugged features involving its drilling rigs in the rock drilling machines. However, to add that to make our products price competitive, we are focusing on increased localization but of course strictly adhering to global standards.

Equipment Availability

The issue of equipment availability is being addressed by developing human skills on a continuous basis so as to ensure proper service support to the machine for its smooth operation. Emphasis on annual maintenance contracts are also being laid in an increasing order. On finance to ensure physical availability of the equipment Sandvik is on a lookout for an increasing tie-up with banking and financial institutions.

Future Plans

Sandvik is planning to open a new manufacturing facility very shortly in India. This will be the sixth such initiative by our company that already has manufacturing facilities at Pune (cemented carbide & hss tools, rock tools, rock processing equipment design center for material handling), Hosur (kanthal heating elements) Mehsana (stainless steel extruded tubes) Hyderabad (rock tools) and Chiplun (cobalt powder).

The new project is already on line with Sandvik Mining and Construction looking for a suitable location-proximity to port and ease of logistics-for land acquisition. The new plant will mainly target the fast pace of growth in mining and construction segment. The new plant will not only add capacity but also new products.

In Pune, Sandvik is setting up a high speed steel taps plant under Sandvik tooling division at a cost of Rs 45 crore. Products being manufactured in India have expanded to now include high precision tooling products are less than five years old and are being manufactured in India.

Apart from these, Sandvik is focusing on engineering design and training that can soon become important part of global operations. Sandvik has established training academy for service engineers for mining and construction equipment at Pune-first in India.

Sandvik's Business Area in Mining & Construction

Rock drilling and rock crushing machinery, haulers, Loaders, and other range of material handling equipment and rock drilling and cutting tools cover the product range of this business area.

NBMCW January 2008


Integrated Road Solutions...

Asit Patel
After carving a niche in road construction equipment market at home and abroad, Gujarat Apollo Industries Ltd is on a fast track in redefining road construction equipment further, through incorporation of advanced technologies in its machineries, supported by adequate service backup. P. P. Basistha & S. A. Faridi learnt during their interaction with Mr. Asit Patel at Excon 2007.

Offering integrated solutions for road construction has been the key for Gujarat Apollo. The company wants to drive the business model further.

According to Mr. Asit Patel, “the model to offer wholesome solution, has become much imperative based on the present day working requirement of the country’s road construction sector.” He elaborates saying, "today’s road construction demands quality, based on the specification set by project implementing agencies and quality, can be attained through equipment having advanced working features. We at Gujarat Apollo, have always striven to offer the same through our wide range of road construction equipment consisting of asphalt pavers, asphalt plant and compactors” having advanced features.


Mr. Patel informed that fundamental features in road construction equipment have remained the same. However, components, which form the crux of the machinery, have gone through changes. Components are being made advanced for greater efficiency, accuracy in projects and for safety.

One of the prime instances in components is installation of programme logic control in pavers for greater accuracy in the road construction projects. Through improvement in components, products are further being made eco–friendly and intelligent. He mentioned, Gujarat Apollo’s initiative towards making the products advanced for high output has been holistic. Cares have also been taken to make the products customised as far as possible.

He pointed out that the company has been undertaking its own research and development and carried on sustained foreign collaborations for making technological advancements in its products.

Apollo’s Technological Initiation

Road Solution
Mr. Patel mentioned that Apollo has over forty years of experience in design manufacture in road construction equipment. It has consistently brought in world–class technology to suit customer requirements better. With state–of–the–art manufacturing facilities, high quality raw materials, ISO–certified manufacturing process, Apollo have been delivering quality products and services.

According to Mr. Patel, Apollo’s batch type asphalt mixing plant consisting its ANP Series (60-240 tonne per hour) conforms to reliability in operation with high levels of productivity. The machinery is fuel efficient and adheres to stringent environmental norms. While the drum type asphalt mixing plants DM series (30-150 tph) is equipped with latest controls, has technology to minimize cost of operations. Apollo’s mobile drum mix plants MDM series (20-60 tph) equally offers optimum utilization of the plant site. The plants meet the transportation requirements for remote areas.

Mr. Patel highlighted that improvements have been made in its asphalt plants, to minimize furnace oil consumption.

Apollo’s asphalt pavers have technology comprising advanced hydraulics and controls. Its AP series asphalt pavers claim to have advanced paving capabilities, backed by superior power backup, conforming to specified laying norms. An important technological edge, Apollo’s pavers claim to have is hydraulically extendable screed as compared to a fixed mechanical screed. The hydraulic screed enables the pavers to operate with varied widths.

Back up Support

To provide adequate back up support, Apollo has 8 branch offices at Bangalore, Bhubaneswar, Chennai, Hyderabad, Mumbai, Ahmedabad, Delhi and Kolkata and these branches claims provide support within 24 hours. The branch offices provide support within 24 hours. However, in addition to provide adequate back up support Apollo, aims at making its machinery get optimally utilized. In accordance with this, it lays emphasis in providing training to operators to enhance their operating skills.

Gujarat Apollo, which have wide scale presence in the country’s road construction equipment market as a sole Indian company have carried out installations globally in countries consisting, Algeria, Australia, Afghanistan, Bangladesh, Dubai, Eithopia, Iraq, Kosovo, Middle East countries, and Tanzania to name a few.

NBMCW January 2008


Changlin All Set to Showcase Its Streng...

The 46 years old Chinese stateowned construction equipment company, producing a wide range of products is all set to showcase its technical strength at the Excon 2007. The company has been participating in international exhibitions like Bauma in Germany, China, USA, and in India. As matter of fact, during its participation in Excon 2005, it discovered India as its prime market.

Wice Li
In an interview with SKK, Mr. Wice Li Executive Director, Changlin India, explained that Changlin Engineering Services India Pvt. Ltd, has been established for supplying premium Chinese machinery and providing after sale service provider in all Indian market. As general after sale service and spare parts for Changlin Company Limited, Changlin India set up its first commercial, service, and spare parts center in Hyderabad, which will be the headquarter for all Changlin business in India. Changlin India is opening its second office in Kolkata and third in Delhi and fourth in Mumbai at the beginning of next year. Meanwhile, its sub-dealer network is also expanding. We forecast our sound turnover in 2007 and amazing development in the next year, he said.

Besides marketing, main products as Wheel Loader, Motor Grader, Soil Compactor, PTR, and Paver from Changlin Company Limited. Changlin India introduced Bulldozer, Tower Crane, Building Hoist, Truck-mounted Crane, Pipelayer, and other machinery from China. All type of its Wheel Loaders working in India giving lower fuel consumption and operation cost, advantages which greatly satisfy its customers and win repeated orders for us. Its Motor Graders are developed from Komatsu platform and upgraded with Cummins or CAT engine as well as ZF technology transmission, which ensures high reliability and convenient and easy inter-exchangeable spare parts from Indian market. Changlin Soil compactor and Pneumatic Type Roller provides economical solution to Indian customer while supreme specification rare to find. Changlin could provide combo solution for Customer which is very attractive for customer to know our machines engines, transmission, and others could be same at Loader, Grader, and Rollers. Beyond Changlin series, our tower cranes are special designed for India market which ensure the Outstanding safety, comfortable operation, and long-term reliability which are not available by others so far now, etc, explained, Mr. Li.

Mr. Li, is optimistic that Changlin India will grow concretely and fast, we expect more and more people come to know us. Our aim is to build Changlin India as the top construction machinery solution provider in India.

Established in 1961, Changlin Company Limited is one of the important Chinese construction machinery manufacturers operating under Chinese Central Government now. In 1995 and 1996, Changlin has set up Joint Venture with Hundai and Komatsu for the manufacture of Excavators, Wheel Loaders and Motor Graders. It also cooperates with Dynapac in manufacturing Soil Compactor with the strong ability in R&D and manufacturing, we even do some OEM manufacturing for world top construction company like IR. The turnover of Changlin Group will exceed Rs. 5,300 crore in 2007, which is ranked No. 2 in Chinese construction machinery field. Since 2004, Changlin overseas selling has been doubling every year, and its products are found working world wide.

NBMCW November 2007


GUJARAT APOLLO: A Customer Friendly and...

GUJARAT APOLLO: A Customer Friendly and Market Sensitive Company
"Commitment to quality, the urge to offer products at competitive prices with a keen eye on total customer satisfaction has given Apollo the status of pioneer in many product lines," says Asit A. Patel, in an interview with S. A. Faridi.

Tell us something about your Company and its manufacturing facilities.

Gujarat Apollo Equipments Limited, the flagship company of Apollo Group of companies is the fastest growing and highest exporting construction equipment manufacturing company in India. From a modest beginning in the year 1972, the group today offers almost the entire range of equipment that lend themselves admirably to the bituminous road building industry in India and abroad. Apollo Group has four modern manufacturing facilities at Mehsana, Gujarat with a turnover in excess of Rs 150 crores.

Gujarat Apollo is an ISO 9001:2000 certified company and a Star Export House. Qualified professionals with rich experience in the industry run the operations of the Company.

Commitment to quality, the urge to offer products at competitive prices with a keen eye on total customer satisfaction has given Apollo the status of pioneer in many product lines.

Tell us something about your Company having overseas technical collaboration.

We were successful in closing a technical collaboration agreement with Barber Green of USA in 1987, a pioneering company in the industry world over. That was when we introduced the electronic drum-mix plant in the Indian market. It was like the next generation of equipment for Indian industry from using old inefficient and polluting plants. Earlier the mechanical paver was used, and the quality of output was highly dependent on the skills of the operator. With the introduction of the sensor paver you just had to set up the road the way you wanted to build and as the machine traveled, it adjusted the slope and gradient, thereby doing away with the human element. Successful adaptation of this in Indian market laid a foundation for several other products through the technology transfer route. Few of these are Bitumen Pressure Distributor from Max Pietch GmBH, Germany during 1992, Asphalt Batchmix plant technology from Niigata Engineering, Japan in 2000 and recently Paver finishers from Cedar Rapids in 2003.

What is Company product range, its market share, domestic and export and Company’s outlook for the future?

We manufacture almost perfect product range with best suited solutions for Asphalt Mixing and paving. We manufacture hydrostatic sensor pavers ranging from 2.5 m to 9 m. The recent technical collaboration with Cedarapids of US, a Terex Group company, for making 9 m pavers has greatly enhanced our range which already has over 500 machines in the field. We manufacture complete range of Asphalt plants from drum mix plants to modern and high-tech Batch mix plants. Combined population of such plants would be over 800 units. Our product line also includes Wet Mix Macadam Plants (upto 300 Tph), Bitumen Pressure Distributors, Road Marking Paint Applicators, and Concrete Kerb laying Machines, Asphalt Milling Machines etc.

Apollo group has retained a leadership position with the state-of-the-art equipment, commitment to quality and competitive pricing. We share about 65% of the domestic market sales. We have about 35% of our sales turnover coming from exports and we envisage about 50% in the coming two years, thanks to higher degree of repeat business and customer loyalty. International acceptance is also significant and which is evident from supply of 5 plants to Saudi Arabia in last financial year alone.

For the future, we are likely to extend our position as a formidable machinery manufacturing country. We will approach exports through dealer network. Currently, we have dealers in Bangladesh, Australia, Bulgaria, Hungary, Turkey, and South Africa. In the Gulf, we have dealers in Doha and Dubai, and are working with two trading houses. In South Africa we have tied up withSouth African company and they will look after our sales there.

What has been market response to your premier products such as Asphalt Batchmix and Drum mix plants, and Sensor Paver Finishers and How these are being upgraded to the requirements of your clients?

Our premier products like 160 TPH Asphalt Batch Mix Plants are robust plant of international quality at a competitive price. We are enjoying higher degree of repeat business and customer loyalty. Customer focused design technology has been Apollo’s propelling force for over 35 years. For domestic clients these plants have been customized to withstand the Indian terrain and resources like unwashed aggregates, etc. Similarly, we have state-of-the-art advancements fed into the electronic controls etc. which has significant International acceptance.

Our Asphalt Sensor Paver Finishers of 5.5 m width are also one of the premier selling equipment in our fleet. Both these products are helping to reduce our country’s import dependency and keeping import prices in check. We have a continuous upgradation and improvements in our products and processes in enhancing our product quality that meets the exacting quality standards in India and Internationally.

What are your technical services for the benefit of users of your products?

We conduct training programs for many of our customers who have multiple equipment. We have conducted training for DGBR, who had 30 to 40 of our equipment. We conduct on-site training and a comprehensive operation and maintenance training program with a lot of audio visual presentations. We have conducted this for our corporate customers, where their operators and maintenance crew come over and learn about the bestadopted practices for operation and maintenance.

Other technical services that we provide to our valued customers are the Annual Maintenance Contracts for their equipment wherein the customers have trouble free operations and owing.

Your company has a strong distribution network in India and abroad. How it is being strengthened further, particularly abroad where you have a sizeable presence?

We have three tier S & D network. Almost all major metros and important cities are equipped with full fledge branch offices. These cities are Delhi, Mumbai, Ahmedabad, Hyderabad, Bangalore, Chennai, and Bhubaneshwer to take care of the sales and service requirements of the customers in the region. Whereas, cities like Jaipur, Gauhati, Srinagar, Raipur and Nagpur have our dealers. Other smaller but key cities have resident engineers. Apart from this, we have eight international dealers mainly in Iran, Saudi Arabia, UAE, Algeria, Bangladesh, Sri Lanka, Serbia, and Syria providing spares and service support. We have advanced online support systems for our abroad clients coordinated by our international dealers to achieve minimum breakdown equation for the equipment.

How your Company views the current Budget as related to construction equipment sector and your wish list to put the sector on fast track?

This was overall a positive budget. It reflects a long term and well-planned thrust to infrastructure development projects by the government.

It is likely to reduce cost of imported components which will make us more competitive. Other than that, budget outlined politics free agenda by the central government for the real growth in infrastructure. This calls for capital expenditure to enhance output and launch more products.

To put this sector in a fast track, the excise procedures for the domestic and exports sales should be improved and brought at par with very liberal and well defined imports and customs procedures. Indian manufacturers are not afraid of imports but, easier procedures would boost their competitiveness even further.

Domestic manufacturers must be provided level playing field in terms of easier procedures and better clarity of the subject. Government still continues to allow duty free equipment import even though, these equipment are being produced in India with the international quality.

Competition in the construction equipment sector is hotting up. How Gujarat Apollo is equipping itself to take on the competition?

We are customer friendly and market sensitive company. We understand the importance of quality products and the best after-sales service. We are very sensitive to market needs and we deliver what is needed. Be it a simple machine or a high-tech tool. We empower our customers to grow without much of worry on the equipment side. Unlike companies manufacturing loaders and earth moving equipment, which are used for road building, mining, large excavation projects, large mining projects etc. While we focus only on equipment for asphalt roads.

At Apollo a sale is just the beginning of a long–standing business relationship, one more step in achieving our objective of Customer Delight.

NBMCW May 2006


LiuGong Set to Make its Presence Felt i...

Zeng Guangan
"LiuGong Set to Make its Presence Felt in India"... Says Mr Zeng Guang’an, in his interaction with SKK of NBMCW.

How do you look at the emerging construction equipment market in India and your plans to integrate your Company proactively into the Indian market?

We look very positively at the emerging construction equipment market in India. India is perceived as one of the most important global markets, and becoming established, and this is of great long-term importance. With more players and more investment pouring in there will be more demand for quality equipment that is going in for timely completion of projects. This is very good for the manufacturers and suppliers, as well as good for the Indian economy as it continues to emerge and grow to its full potential.

We on our parts, would like to take advantage of this emerging market scenario and seeking to set up a unit here to capitalized on the growing demands for the equipment. In just four years of its entry into the Indian market, the Company through its representative office in the country has managed to sell nearly 300 construction machinery units. With more orders in the pipeline, we are set to make our presence felt in the competitive market.

What has been the response of your participation in the recently held IIFT 2006 in Delhi?

There has been a very good response of our participation in the recently held IIFT. Liugong was among the top Chinese companies participating in the Fair under the umbrella of China’s Commerce Ministry to give greater push to our economic ties through introduction of high-tech quality products for various sectors of industry including construction equipment and related machineries sector. Happy at the encouraging response of the visitors to our Stall at the Fair, we are broadening our product line.

Tell us something about Guangxi Liugong Machinery Company, its product range. How its product range has an edge over others in terms of technical operation,efficiency, ease of operation, and overall cost effectiveness?

Liugong is one of the leading construction machinery manufacturer, established in 1958 in China. The company deals in developing, manufacturing, marketing, supplying maintenance technical services for the machinery and equipment. Its product range includes Wheel loader series, bucket capacity from 0.81 to 5.4 M3; Hydraulic crawler excavator series, bucket capacity from 0.4 to 1.2 m3; Vibrator roller, motor grader, paver and other road equipment series; skid steer, backhoe loader, concrete equipment and fork lift trucks, etc.

The company is well reputed for its large-scale production capabilities with an annual output of 20,000 units for all kinds of construction machinery and equipment and possesses many inhouse technical facilities such as large-scale processing centres, automatic robot welding lines, resin and boxless mounting lines and assembly lines. The Company has been introducing worlds’ advanced technology in its product range and has built the nation biggest wheel loader CLG899. To keep its product line advanced, the Company has established a joint venture with Germany’s ZF Corporation to manufacture transmission and axles to equip its products.

What is the size of market the Company commands in China and Company’s export promotion measures to capture market overseas?

In China, the loaders market size is around 100,000, and excavators market size is around 40,000. Soon, India will grow to that kind of size. To capture the market in overseas like India, we have to be the local supplier both for machines and services. Close to customer to offer the cost-efficient solution is the only way.

What systems are placed in your Company to ensure manufacturing and supply of products of international quality standards?

Liugong has in place a perfect quality control system to ensure production and supply of international standard and to the requirement of its clients as per their specifications. The Company has been awarded the certificate of ISO 9001. The Company has won the distinction as National Enterprise to Customers Satisfaction, National Service to Customers’ Satisfaction etc. Thus winning the confidence and trust of its customers. To support its growing market, the Company has started a training programme and currently has around 100 engineers to provide support services to customers with focus on India.

Taking the largest share in China’s market, the Company is exploring overseas markets and looking for partners to create sound position in the overseas market.

NBMCW January 2007


Dynapac– Using Latest Technology

Manoj Garg
"We use latest and contemporary technology to manufacture quality and superior products. We see more investment and expansion by acquiring and setting up new Greenfield project to manufacture rollers and pavers. That is our roadmap over the next five years," says Manoj Garg, in his interview with S. A. Faridi.

How do you look at the present market scenario of the Indian Construction Equipment Industry and its future growth in view of current focus on infrastructure development?

The present market scenario is very good and conducive for business. It is growing at the rate of 15%–20% per annum. The rate of growth in the construction equipment sector is expected to ontinue in next four to five years. The industry growth rate is directly linked to the economic growth of the developing country, which in turn is a factor for infrastructure growth. Major factors influencing the growth of the industry include the amount of road works, irrigation, and power projects including construction of dams, bank interest rates, the mining sector growth (coal, iron ore, etc)and the rural sector development. With the present emphasis on creating physical infrastructure, massive investment was planned during the 10th Plan.

For instance, Rs 1400 crore was provided for four-laning of Golden Quadrilateral project of National Highways Authority of India, the outlay for national highways development was increased to Rs. 9320 crore for 2005–06. With the Government of India’s sustained budgetary allocation and more funding by allocation and funding by international and multilateral development financial institutions for infrastructure development, it will indirectly result in increased demand for construction equipment.

Tell us about your company and product range offered to the Indian market.

We manufacture Rollers, Compactors, and Asphalt Pavers of all sizes. We also manufacture milling machines and concrete equipment. Dynapac offers planners and a full range of pavers, vibratory and static rollers, trench and duplex rollers, vibratory plate, rammers and concrete equipment. We cover the entire compaction and paving field from top to bottom.

Whether you are backfilling a trench, building a new highway, resurfacing a street or laying a new bridge deck, we will help you get to the bottom of things by ensuring that you use the very best equipment on top.

What is the technical USP of Dynapac?

We use latest and contemperory technology to manufacture quality and superior products. We give priority to research which is carried out in cooperation with universities in several ountries, whereas a major part of the tests are performed at our unique in-doors compaction test facilities in Karlskrona. Here, we are able to perform tests all around the year under equal Circumstances. We also have a laboratory equipped to analyse the materials we work with, be hey soil, concrete or asphalt´s. All tests are carefully monitored and follow standardised methods to produce results with a good statistical assurance. Naturally, a lot of the experienceon machine performance is gathered in the field on various work-sites around the world. This will make our future very good in India.

Are you offering compactors fitted with intelligent compaction systems in India? What are the benefits of this technology?

Yes we are offering intelligent compaction systems here. We are offering compaction meter, compaction analyzer, asphalt temperature systems, etc. The benefits are that your real times monitor the compaction being done by machines. It is very commonly used outside India.

Keeping in pace with the demand of your products—how are you sprucing up your distribution network and after sales back up support?

We have our own sales team and three sales dealers. Major parts warehouses are located outside Delhi. We have our service teams at Chennai, Bangalore, Assam, Delhi, Kolkata, Ahemadabad Mumbai, etc. We also establish our service teams and offices at new sites but it is based on the size of fleet and customers at that place.

What is your roadmap over the next five years?

We see more investments and expansion by acquiring a company and setting up new green field project to manufacture rollers and pavers. This will cater to Dynapac factories in Europe by supplying components and assemblies.

NBMCW May 2006


DOZCO — Promoting Varied Sales

DOZCO — Promoting Varied Sales
Though much better acknowledged by the construction fraternity as the national distributors of DOOSAN-DAEWOO hydraulic excavators and loaders—Kolkata based DOZCO India Pvt. Ltd. also has its position for being authorised disributor of array of components for construction, earthmoving, and mining equipment and much more. This was learnt by Partha Pratim Basistha during an interview with Mr. O.P Bangur. In course of conversation, Mr. Bangur brought to fore that much in sync with the Company’s extravagant showcasing of DOOSAN-DAEWOO excavators at Excon—2005—construction equipment exposition held at Bangalore, DOZCO has framed a well knit plan to promote larger sales of DOOSANDAEWOO excavators in the country.

What was the reason that DOOSAN-DAEWOO appointed DOZCO as the national distributor For its excavators and loaders?

The reason behind this being appointed by DOOSAN-DAEWOO as the national distributor, has been primarily the long standing, large scale reputation enjoyed by us for being efficient distributor of components to the construction, earthmoving, and mining industry, beginning from the year 1983 when the company had its origin.

When we were appointed by DOOSAN-DAEWOO as the distributors in November 2004, the company much precisely judged the competence possessed by us both in terms of customer portfolio and customer reach. Based on its evaluation, DOOSAN-DAEWOO found that we have a wide customer base which is supported by a much efficient distribution network, through our warehouses in most parts of the country, for providing components as a service back up support to the equipment users. Outrightly, DOOSAN-DAEWOO decided to cash on this, paving way for us to gain the position of being the national distributors of DOOSANDAEWOO excavators and loaders.

Provide certain details about your warehouses and the facilities possessed by them. How the warehouses really support the wellknit distribution arrangement as claimed by you?

The well spread establishment of our warehouses supports our distribution network. Our warehouses along with wellestablished branches are based in Kolkata, Ahmedabad, Bilaspur, Chennai, Nagpur, Satna, Udaipur, and Vishakapatnam. The warehouses with their wide reach enjoy a commendable market presence and a dedicated client base. Among the warehouses mentioned, Vizag happens to be the mother warehouse. It acts as a pivotal point in terms of importing materials and distributing to other branches and customers as well. The motherwarehouse at Vizag stores an inventory of 23,000 plus components. The warehouse is equipped with modern facilities, a fully functional workshop, and a training centre.

Which are the foreign components manufacturer for whom DOZCO is the authorised distributor and stockists in India? Name couple of original equipment manufacturers (OEM) for whom DOZCO can make components available through import.

DOZCO represents host of components manufacturers from abroad in the country. This consists of ITAL TRACTOR ITM spa. The company is a global expert in making undercarriage products for all type of excavators, crawler cranes, road builders, trenchers, drilling rigs, bucket wheel loaders, and other special purpose machines. The under carriage parts made available through ITAL TRACTOR ITM spa suits to different set of excavators belonging to Telco, Hitachi, L&T/Poclain and Komatsu, BEML,Volvo, DOOSAN-DAEWOO, Caterpillar,Hyundai, and, so on.

This apart, DOZCO also stores ground engaging tools and wear parts from Italricambi. The product line of Italricambri includes, forged tips and teeth, forged adapters, cutting edges, and end bits, customer design cast parts. Italricambi’s wide range of ground engaging and wear parts can be used for Caterpillar, Komatsu, Fiat –Hitachi, Esco, Bofors, Liebherr, Cnh group, BEML, and JCB.

DOZCO also distributes undercarriage parts, comprising track chains, track roller and segments, engine parts and forging parts belonging to DCF, South Korea. DCF’s components can again much be used in the original equipment mentioned.

Other products distributed by DOZCO comprises trackand carrier rollers, from Taiheiyo Seiki K.K, Japan, sealing systems for mining equipment from Hallite Seals U.K., hydraulic, swing motors and pump parts from Tong Myung Korea, fasteners from Ajax fasteners, Korea. In addition, DOZCO also stocks and distributes slew bearings from Shin –IL, Korea, floating seals from Officine Meccaniche Italy and engine parts from Federal Mogul, USA.

But most importantly, DOZCO has its repute for being distributors of rock breakers and parts belonging to Soosan Heavy Industries, Korea and also for being the authorised distributors of bulldozers and other construction equipment belonging to Shantui Construction Machinery Co. Shantui is the largest manufacturer and exporter of construction machinery such as bulldozers and compactors in China.

How are DOOSAN-DAEWOO excavators and loaders imported by DOZCO are competitive in their market positioning?

I would mention that the cost of the excavators, those belonging to DOOSAN-DAEWOO and its counterparts may be the same. But definitely the cost of components is cheaper for the DOOSAN-DAEWOO excavators. This provides the equipment with the desired operational efficiency. DOOSAN-DAEWOO excavators are fuel efficient, Euro-3 compliant. Besides, the excavators have computerized controls that provide operational efficiency and thereby competitive strength to the product in terms of market positioning.

Moreover, DOOSAN-DAEWOO excavators are able to derive their competitive strength on the basis of their components. This is as because, the components are being directly sourced from Korea both pertaining to the 20, 30, 40, and 50 tonnes excavators. Furthermore, attachments made available to the excavators depending on the customised requirements of the clients as that for coal mining, granite mining, or construction. This also by and large provides added competitive strength to the DOOSAN-DAEWOO excavators and better market positioning.

What is the range of DOOSAN-DAEWOO excavators that DOZCO presently engaged in distributing in the country? What is the sales and marketing strategy that has been adapted by the company to promote the distribution of the excavators? Is the company targeting volume or niche markets?

At present, we are distributing excavators belonging to the 20 and 30 tonnes segment. This is being carried out in sync with the market demand scenario, which is seeing requirement of excavators getting graduated from 6–8 tonnes to 10–12 tonnes and even much further. The distribution of 20–30 ton excavator is being undertaken at par with the strategy adapted by our counterparts synchronized with the strategy towards promoting sales of higher capacity excavators, in tune with market demand.

At present, for promoting the products—we are not targeting volume markets in a large way but niche markets. Though, of course, we are targeting the construction market by making goals of our sales aimed at small and medium contractors. But largely, we are targeting the user segments who would operate the equipment under much severe conditions as for example, granite, marble, iron ore, and coal mining industry. But nevertheless, construction industry would be our focus area at par with mining industry.

To promote larger sales of the excavators we are in the process of opening DOZCO branches in other parts of the country. Simultaneously, we are looking for tie-ups with dealers and service agents for promoting the products. Tie ups is being carried out in Hyderabad, Pune, Delhi, and Bhuvaneshwar. In addition to this, we are also looking for possible tie ups with financial companies and banks to finance the product so as to ensure its larger sales. With diverse promotional strategy adapted, we have sold 120 units so far in the country.

NBMCW May 2006


PROMAN All Set to Deliver Multiproduct ...

R S Raghavan
"Proman is geared to deliver quality multiproduct crushing and screening range. It will be launching newer models of Jaws and Cones," says, R. S. Raghavan, Managing Director, Proman in his interview with Mariya Rasheeda.

Tell us about your manufacturing facility, existing products range, and their technical features and also about new product being planned by the company to introduce shortly.

PROMAN has a hybrid approach of sourcing inhouse as well as outsourcing. We are geared up to deliver our multiproduct crushing and screening range with a proper balance of inhouse and external resources. We will be launching newer models of Jaws and Cones.

As the demand of the Indian crushing and screening market matures day by day and has shifted towards high capacity crushers, how Proman is positioning itself to this demand requirement?

PROMAN is the authorized distributor of Lippmann Milwaukee Jaws and Impactors. Lipmann makes the widest range of Jaws and also the most rugged machines in the industry. PROMAN’s own range of Jaws the PROJaws are from small to medium range and for bigger Jaws we offer Lippmann Jaws. For the cones, VSIs and Screens, we have the widest range to handle any capacity.

Kindly highlight the features of your crushers which make them energy-efficient? Also brief how Proman manages to provide innovative crushing solutions at the lowest cost per ton?

Crushing and Screening Options
Our VSIs deliver lowest power cost per ton due to multiport technology. Our cones have higher capacity with low power installation. Our crushers are flexible to maximize the quality, range of products or quantity with minimum or no investment for varying needs of a contractor or quarry owner.

PROMAN has supplied a lot of installations to commercial producers and the commercial producers are always looking at lowering their operation cost. This is the proof to our claim of providing innovative crushing solutions at lowest cost per ton.

What are the sales and after-sales services being provided by the company to its customers? Is the company imparting training to its customers/ end–users?

We have factory trained team of sales and service engineers. We conduct regular training sessions inhouse for our own team members and we also train our customers and operators in our factory and in the site.

Proman crushers are backed up by the expertise of its foreign collaborators. How these collaborations have strengthened the company’s position and market value? Is the company looking for any new collaboration?

PROMAN has collaborations for its various products with the best of the manufacturer in the world. Our collaborators like REMco, Finedoor, AEI-Ortner, have given us tremendous support and the proof is we build international quality machines in India at a very competitive price.

NBMCW October 2008


India Offers a Significant Opportunity ...

Mr. Rodney C. Beeler, President, Asia Pacific Marketing, Caterpillar Asia Pte Ltd, Singapore. “Caterpillar is committed to achieve long-term market leadership in India. We will continue to explore and develop products that will meet Indian market requirements and leverage regional and global product strategies to allow synergies with our Indian strategies,” says Mr. Rodney C. Beeler, in an exclusive E-mail interview with SKK of NBM&CW. They had earlier met at Chennai at the launch of 424B Backhoe Loader redesigned to meet the current market requirement in India.

How does Caterpillar look at the emerging construction and mining equipment market scenario in Asia in general and in India in particular?

No other region of the world can match the growth opportunities that Asia presents for Caterpillar and its dealers. In particular, the enormous plans for infrastructure development in China and India represent a tremendous opportunity to serve existing customers and potential new customers. For mining, Asia also represents opportunities to support long-term mining industry customers who are investing in their operations to support the growing demand for natural resources. This includes mature mining operations in South-East Asia and Australia as well growing new mining operations in China and India where significant coal reserves and other deposits remain untapped.

For the general construction market in India, the Backhoe Loader dominates the machinery industry and is valued for its versatility and mobility. However, increasingly India is employing the concept of the “right tool for the right job.” It is in this context, that Caterpillar dealers are in an excellent position to provide sound advice; value analysis, work tools and a world-class range of CAT construction equipment that can provide customers the opportunity to gain efficiencies, increase productivity and improve safety of workers by introduction of right sized versatile equipment. In other parts of Asia, we are seeing increasing machine diversity as the market evolves and customers become more aware of the economic advantage of matching equipment to application.

Caterpillar has been playing a pioneering role in the development of Indian construction equipment sector. Tell us something about the Company’s growth in India, developments in its product range, domestic, and export market size, manufacturing facilities in India and the level of indigenization achieved by the Company?

Caterpillar is committed to achieve long-term market leadership in India. We will continue to explore and develop products that will meet Indian market requirements and leverage regional and global product strategies to allow synergies with our Indian strategies.

In 2002, Caterpillar established EDC, a design and engineering center in Chennai to support enterprise product design and development. In Thiruvallur, close to Chennai we have Caterpillar India Private Limited, which manufactures a range of earth- moving equipment. In Hosur, close to Bangalore we have Caterpillar Power India Private Limited, a manufacturing facility for engines, engine components and generator sets. Caterpillar also has logistics, marketing and human resources operations in India. These operations focus primarily on serving our customers and dealers in India and in the Asia Pacific region. Overall, Caterpillar in India has about 3,000 employees providing products and services to the local and global market. Due to the rapid growth and infrastructure development as well as mining and power generation needs, the market in India offers a significant opportunity for growth for Caterpillar.

In terms of development of our product range, Caterpillar has learnt a great deal from customers in India’s construction industry. The recently released 424B Backhoe Loader was redesigned to meet the current market requirement in India. Significant changes were made to satisfy the customers need for a more robust regional design that would allow for higher ambient temperatures, higher annual usage, wider range of applications and a more spacious and comfortable cab. The new cab design was stringently tested with customers before being finalized.

Excavators are playing an increasingly significant role within the Indian construction market and Caterpillar is pleased to announce the release of new CAT D-series medium size hydraulic excavators. A range from 20 to 37 tonnes offers customers increased reliability, versatility, performance, and comfort, combined with lower owning and operating costs. For utility work, general construction and rental customers, the operator can easily use the machine monitor to switch to Economy Mode, which will reduce the fuel consumption by more than 15%. Caterpillar’s new D-series excavators offer the Indian construction market world-class quality products combined with industry leading to fuel efficiency and productivity, which is reinforced by our message “Easy on Fuel, Hard on Dirt.”

Caterpillar looks to India as a significant market. What are the Company’s plans and its vision to widen its business platform and product portfolio?

As mentioned in the answer above, we have worked to bring our proven global business model to serve our customers in India. As we do in the rest of the world, we look to bring the greatest possible value to our customers in India. This includes providing the most durable, reliable, and proven products available, and working with our dealers, supporting those products at a level that is unmatched.

R&D for product development and training of personnel manning the machines and equipment are important factors in continuous development of product and upgradation of skill and expertise for efficient handling of machines and equipment. What are Caterpillar’s plans to ensure that these attributes always remain in its focus?

Caterpillar is a technology leader and has a long history of product innovation and development. In 2005, Caterpillar invested more than $1 billion in research and development. Caterpillar has more than 3,800 inventors who have contributed to more than 6,800 granted U.S. patents for Caterpillar, with nearly 1,200 U.S. patents alone granted within the last five years. This continued investment in the development of new technology and products is a hallmark of Caterpillar products.

Training is a very significant part of Caterpillar’s corporate culture, whether applied to improve the skills and knowledge of our own employees, our dealers or our customers. A recent example of Caterpillar’s commitment to customer training can be highlighted when Caterpillar brought to India a senior professional application expert and trainer from the Caterpillar Institute in Australia. The trainer spent time in India visiting many customer sites, studying the application requirements and techniques used. He was then able to develop a training course to suit customer needs, teaching techniques to improve efficiency, increase safety and reduce machine wear and tear. This type of training adds to skill levels and improves return on investment for the customer in India. Caterpillar dealers are investing significant resources to deliver this training program to Backhoe Loader customers throughout India.

Outsourcing as a business model is an emerging aspect of equipment business and product development. Will Caterpillar opt for such a model in India and make India an important export hub?

As a result of this growing customer base and the potential for new customers, Caterpillar is making investments to serve customers in this region. This is really the way we have operated around the world for many decades. In some ways the investment in India and China today is similar to the investments Caterpillar made more than 40 years ago in Japan when that market was much less developed compared to today. The same could be said for our investments in South America and Europe more than 50 years ago. This is a part of our global business model. That manufacturing business model is set up to place major manufacturing in every major currency region of the world. This global footprint offers Caterpillar a natural hedge against currency fluctuations while also allowing Caterpillar to manufacture many higher volume products in parts of the world that are close to our customers, thus improving our ability to deliver those products to our customers in a timing manner.

What is Caterpillar’s overview of the technological developments taking place worldwide in construction equipment in terms of energy conservation, mechanization, ease of operation and maintenance, eco-friendliness and how these are being incorporated in its product range to give Indian Industry the benefit of these developments being witnessed in the advanced countries?

Caterpillar leads the industry in adopting technology and meeting global standards particularly in emissions. At the same time, Caterpillar is cognizant that market viability of some product means

applying appropriate technology and standards for products that meets local Indian standards and market requirements. Where technology adds benefits such as fuel efficiency, emissions reductions, lower owning and operating costs or improved safety, it adds value that customers appreciate. For India, and for the rest of the world, the market adopts new technology in line with regulatory requirements and as it recognizes return on investment. Caterpillar has the opportunity to use a dual product strategy in emerging markets by offering the latest technology products together with regional designs such as the CAT 424B Backhoe Loader.

Apart from China and India, are you focusing on other South East Asian markets in terms of financing, rental and used equipment business as in India?

Yes, we believe in providing our customers with many choices, including rental and used equipment and financing. We are continuing to expand our Cat Rental Store Network across South East Asia.

In India Caterpillar has established a good reputation in the selection of dealership arrangement, efficient after-sale services and assured supply of spare parts. How these are being further strengthened in view of a boom in the demand of construction equipment and machines?

Our products in India are distributed and supported by two independent dealers — TIL Ltd. and Gmmco Limited. TIL, a dealer for more than 60 years, covers the Northern and Eastern regions of India through about 50 branches and more than 1,000 employees. The remainder of the country is covered by Gmmco, a Cat dealer since 1986 with over 800 employees at more than 30 branches.

In India, as in other parts of the world, Caterpillar works with these dealers to establish the best in class product support for our customers. Our dealers in India have a long track record of investing in people and technology to support our customer base. As this market represents a large growth opportunity for Caterpillar and its dealers, we will continue to work with them to make the right products available to our customers and to provide support for those products.

NBMCW March 2008


Bull Providing Low Cost Material Handli...

Material Handling Equipment for Construction Sites
Mr. Gurminder Singh Malik, Vice President - Sales & Marketing, Bull Machines, spoke to NBM&CW on achievements and scope of BULL material handling solutions in Indian market.

Please tell us in brief about your company?

Bull Machines, a part 2.5 Billion Sandfits group, started its operation in 1998. It has pioneered the art of tractor attachment technology in the country through its unique innovation and indigenization of European and American material handling concepts. It manufactures primarily Loaders, Back-hoes and Dozers, which are attached on Tractors and act as substitutes for dedicated material handling machines.

What have been your achievements till date?

While maintaining a CAGR of 75% in the last 4 years, Bull has sold more than 4000 Attachments in the country in almost 30 plus industry segments. We are having tie ups with several tractor companies viz John Deere, New Holland, Mahindra, Sonalika, Eicher, HMT who are selling our attachments through their distribution channel . We are providing them technical and necessary support to enable them to provide single window solutions to end customers. To support the same, we are having offices in Noida, Kolkatta, Ahmedabad, Lucknow, Jalandhar, Raipur, Vijaywada, Dawangiri while also having resident sales and service engineers based in local pockets to cater to the customer needs.

What is the reason of unprecedented acceptance of your attachments?

To suit the cost conscious Indian market, BULL successfully proved the concept of using the tractor with its attachments thereby converting tractor into Material Handling and Earthmoving Machine. Our unique patented chassis mounting design insulates the tractor from failures on account of transfer of forces on to the tractor. Its success has triggered the transformation of material handling management at construction sites across India, from small housing project sites to major infrastructure projects. With the advantage of reliability, low running and maintenance costs, the concept is catching up and fast replacing the dedicated machines.

What is the output of your attachment solutions?

Material Handling Equipment for Construction Sites
In loaders, we have three categories of loaders which vary in dumping heights from 8.84 feet to 13.12 feet. With bucket capacities from 900 - 1200 kgs, Single Bull Loader at normal construction and crusher site can easily handle: 45 - 60 Cu.m / hr.

On the other Hand, Bull Backhoes with bucket capacity up to 0.23 Cu.m, can excavate upto 50 / Hr under normal soil conditions, while excavating upto 11 feet below ground level.

BULL attachment solutions are on 55HP - 60 HP category tractors where diesel consumption is max 3.5 - 4 litres / hour for the outputs as above which is nearly 30 - 40% lower while doing the same work from dedicated equipment.

What is the USP of your attachment solutions?

Higher ROCE, more versatility, higher reliability and easy to maintain are the key considerations in buyers mind while selecting an equipment. Our solutions fulfill the stated wish list. Apart from higher economics and reliability all our loader attachments are detachable from the tractor in less than 20 minutes and the bare tractor can be used multi- applications which, is not possible in case of dedicated machines. For Interchanging Loader Buckets, we have Bucket Quick Release (BQRSL) mechanism which operates through lever and spring only and does not require any spanner to interchange buckets. BQRSL mechanism enables the operator to interchange within seconds various buckets as Standard aggregate bucket, Fork Lift, Dozer blade, Stone Bucket and many other kinds of attachments which are required in other industry segments.

Who are some of your prestigious customers?

More than 70% of our customers are corporate, hence it would be very difficult to single out few of them, yet in term of volumes, I would name a few viz IVRCL having more than 50 Machines, B. L. Kayshap & Sons 20 plus, while ERA Infra Engineering, SEW Constructions, Ahluwalia Contracts, SPML, Hydro Air Tectonics are having more than 10 machines each.

What is your biggest strength?

BULL’s strength, however, lies in its continuous innovation through its strong In-House R&D setup, which has also been duly recognized by Ministry of Science and Technology, Govt of India by accrediting us as “IN-HOUSE R&D Company.” We are continuously innovating and plan to roll out more unique material handling solutions in next 6 months.

NBMCW October 2008


Growing the Market Through Education an...

Twiga’s new philosophy
Twiga has been equated with glasswool for a long time in India, but there’s a lot more excitement in the pipeline. Mukta Naik and Varsha Trehan from MGS Architecture reveal Twiga’s new philosophy, in conversation with Bejul P Somaia, Joint Managing Director, UP Twiga Fiberglass.

Twiga has been around for a long time. However, recently we’ve noticed a change in image and a more aggressive approach. Tell us about the thinking behind that.

Twiga is an established brand built over the last 25 years and is synonymous with experience, quality and credibility. That said, over this long period, there has been a relatively limited amount of product innovation. Now, we are seeking to drive a visible change in the market–place primarily through developing new products that better meet our customer’s needs as well as educating our customers about world-wide standards. We are also moving beyond marketing glasswool as a basic product and developing some value-added products.

Our main emphasis is in working with architects and consultants to educate customers and create awareness about what the right products are for a particular application. We are taking an information-led approach, with a view to bring in best practices in India. We find that customers today want to know what happens in the rest of the world—in Europe and the US—and we try to share those best practices and experiences.

We have also restructured our sales and marketing team and put in place specialists that operate within a particular product segment. This person develops a deep understanding of the customer’s business and the intended application, answers technical queries and makes product recommendations.

What are the areas in which the customer needs hand holding, in your experience? Are customers open to being educated? What is their reaction to the information you provide?

Customers typically need support in two main areas – product selection and handling/installation. We have in-house technical experts to recommend the appropriate product depending on the specific application and requirements. We also provide detailed guidelines for handling and installation, once again depending on the intended use, e.g., under-deck insulation vs. duct insulation.

As you know, we have tied up with Isover Saint Gobain (ISG) for production of glasswool at our new Ambernath facility. ISG is a French MNC and the largest manufacturer of insulation material in the world. As a result of this partnership, we have access to a large bank of knowledge as they have always taken on an educative role and had a research-oriented approach. We have conducted a number of technical seminars with large customers over the past 6 months and the reception has been very positive.

We are also working with various Government agencies to introduce and improve building codes relating to fire, energy, insulation etc. For example, we were a member of the panel that worked with the Bureau of Energy Efficiency (BEE) to introduce ECBC (Energy Conservation Building Code) guidelines to help reduce power consumption in large buildings. It is heartening to note that such efforts are bearing fruit.

In general, we have a fact-based approach to educate our customers because there is a lot of misinterpretation and misrepresentation in various markets, especially the HVAC market. We stick to the facts and help customers ensure that they do not compromise system performance. For example we would tell a customer that the recommended R value for duct installation is X in Europe, and that the BEE recommendations are Y and explain to them how the R value concept works. Then let them take a decision as to which product best meets their requirements. Often, we get a “I didn’t know that” kind of reaction!

But you also have your own R&D set up, I believe. What does that do really?

Yes, we do. We have an R&D set-up at both facilities (UP and Maharashtra) where we constantly look at various aspects of the material like glass formulation and quality control. We develop specialized applications if a client wants something for a specific application. We also do testing of various input materials to ensure they meet our stringent specifications. And we now draw on the immense R&D set-up that Saint Gobain has. For instance, our partnership with Saint Gobain has helped us reduce the fiber thickness considerably, which results in much better thermal insulating properties.

What is your distribution and supply situation today? Will a customer in a remote part of India be able to access Twiga products easily?

We’ve always been a pan-India company. We have dealer representation throughout the country and so customers can always access our products through the distribution channel. We also have regional offices all over the country, which provide technical, pre-sales and after sales support. These have been in place for years and so there hasn’t really been an access issue.

As far as supply is concerned, with the opening of our new facility in December, we have tripled our capacity from 5,000 tonnes to 15,000 tonnes so product availability and lead times have improved significantly.

We have selected our factory locations to improve logistics and reduce delivery times to customers. Our Sikandrabad (UP) plant caters primarily to the North and East, while the new plant at Ambernath (MH) supplies to the West and South. The Ambernath facility is also strategically located to cater to the export market, which is also substantial.

What about support for installation and maintenance?

We provide customers and contractors with installation guidelines, but ours is not a stand-alone product. It is used by a contractor to line a duct or insulate a roof, so the performance of the system is dependent on the competence of the installer, to some extent. We are looking at ways to improve the quality of installation so that it does not impact performance of our product.

As far as support is concerned, we have been fortunate to develop a 25–year reputation of quality and reliability because our product performs well. We stand behind our products and guarantee product performance, so that it should never be a problem. Our regional teams and segment specialists are typically the point of contact for the customer in case of an after-sales problem.

You spoke about some new value-added product— What kind of products are these?

Our new products and product development initiatives are primarily driven by customers who are asking for two things. First they want products that help to reduce the installation time on site. Second, they want to reduce total installed or system costs. As a result, we have developed various ‘ready-to-use’ value-added products over basic material. For example, we recently launched fiberglass pipe sections for easy ‘snap-on’ pipe insulation which reduces installation time and cost. Similarly, we provide special flanges on our PEB insulation product for easy stapling during installation. We have also developed a new high performance facing or vapor barrier for PEB insulation which is so strong that it eliminates the need for welded mesh, thus leading to a saving in time and money. We call it ‘high strength meshless facing.’

Products in development include prefabricated AC ducts (made out of high density fiberglass laminated with foil on both sides), which will eliminate the need for GI ducting that is prevalent today. Prefab ducts made of fiberglass are lighter, neater and easy and fast to install. Such ducts have been very popular in Europe—for example, they account for over 90% of ducts installed in Spain. We will have to work hard to introduce it, by demonstrating cost and productivity savings due to faster installation.

We have also introduced a new glass formulation called bio-soluble glass which is a formulation used by Saint Gobain in Europe. Even though fiberglass has been proved to be non-carcinogenic by the International Agency for Research on Cancer (IARC), bio-soluble glass is safer because it dissolves completely in case it is inhaled by humans. This is another example of the initiatives we are taking to improve on a continuous basis.

Speaking of prefab, is the Pre-Engineered Building market of interest to you?

That market is going up and up. Not so much for residential and commercial, but for industrial uses, the PEB market has soared. We have developed special insulation sheets to be used in PEBs, with a variety of factory laminated facings/vapour barriers so that they can be installed easily. We work with Tiger Steel, Tata Bluescope, Interarch, Zamil—in fact all the leading PEB players.

Your tie-up with Saint Gobain. How does it affect your brand equity?

While the Saint Gobain name is well—known globally, Twiga is well known in India and has built precious brand equity over the 25 years we have operated in the market. For example, HVAC contractors in India know the name Twiga, but may be unfamiliar with Saint Gobain. So we use the Saint Gobain brand more actively for exports.

So what’s the way ahead for Twiga? We’re focusing on knowing our customers better, building better relationships and making unique products for specialized applications. You can say that in the past Twiga had a one-size-fits-all approach. Today, we are moving towards better meeting our customer’s unique needs with a variety of specialized products.

MGS Architecture August September 2007