Terex continues to strengthen its foothold in India’s Construction Equipment Market by bringing in new technologies, expanding its product portfolio, and entering new construction territories.
Having marked its entry in the Indian market in 2009 with the introduction of Powerscreen, Terex gradually expanded its product offerings to include brands like Terex Finlay, Terex MPS, Terex Washing Systems, Terex Conveying Systems, etc. Today, the company is one of the leaders in almost every product segment it is present in.
With the launch of its technologically advanced and internationally proven FRANNA brand of pick-and-carry mobile cranes, Terex is now making its presence in the highly competitive mobile crane segment dominated by well-established local players.
Against this backdrop, Jaideep Shekhar, Managing Director (Asia & EMEAR), Terex Materials Processing India discusses Terex India’s past and present achievements, its ongoing product developments, and plans to grow the brand in the highly competitive and price-conscious Indian market.
Please trace Terex India’s growth, achievements, innovations, and ongoing developments.
Terex started its India operations in Hosur in 2009 and now, more than a decade later, the Company enjoys a strong market presence through its various brands - Powerscreen, Terex Finlay, Terex Minerals Processing Systems (MPS), and Terex Washing Systems (TWS) – all of which are providing optimum solutions to major infrastructure projects across India.
I think we have come a long way since we first established our facility in India to becoming a global manufacturing hub and providing world-class equipment for Terex worldwide.
"India is a very important market for Terex, and we are continuously incorporating new innovations and technologies across our product range to give customers access to world-class technology, safety, and environmental standards. We have recently launched machines with fuel-efficient hybrid dual-powered technology; our aim is to provide sustainable solutions that reduce our overall carbon footprint."
We have added new products to our portfolio and developed new variants, even during these challenging times. We are gearing up to launch our Pick and Carry Cranes this year. They will be manufactured at our Hosur facility and will initially be for the Indian market, but we will also seek the opportunity to export them to markets in the neighbouring countries in the coming years.
We are also introducing the latest industry 4.0 standards such as Telemetry across our equipment. Telemetry will provide our customers with real time information on the performance of their Terex machines. We are also excited to begin development of state-of-the-art large capacity machines, which will further increase our capability to cater to the ever-growing demand for aggregates, and also export them.
Powerscreen started out from mobile machines in a sand pit to industry leading machine designs serving quarry, mining, construction and demolition, and recycling industries. Powerscreen not only introduced the mobile machine concept but also set new standards for many products and technologies that have become widely adopted, including the Chieftain and Warrior range of mobile screens. During the last 50 years, Powerscreen innovations have been changing the market and setting new industry standards for quality, reliability, and safety in crushing and screening equipment.
From an environmental perspective, we will be working with the Indian Government and various municipal corporations on waste management projects. We strongly believe that we can offer our expertise and know-how in recycling processes to make a real and lasting impact. We have recently launched machines with fuel-efficient hybrid dual-powered technology. Our aim is to provide sustainable solutions that reduce our overall carbon footprint.
Through extensive product R&D and innovations, we have grown multi-fold in the last 12 years. Starting with just four models in 2009, we have now grown our product portfolio to over 60 models across all our brands.
Terex is proud to be associated with prominent projects like the Purvanchal Expressway, Delhi-Mumbai Expressway, Samruddhi Expressway, Z Mohr Tunnel, Chenani-Nashri Tunnel, Kudankulam Nuclear Power Project, and many more.
Terex has made significant investments to expand its aftermarket services. Our Service Experts are located throughout the country to be close to customers in order to ensure that their machines are being serviced for maximum uptime.
"Terex is one of the first organisations to manufacture mobile plants in India which are best suited to meet the requirements of larger projects for completion in a relatively shorter period. Through extensive product R&D and innovations, we have grown multi-fold in the last 12 years. Starting with just four models in 2009 we have now grown our product portfolio to over 60 models across all our brands."
Our spare parts warehouses are strategically located for timely delivery of parts — even to remote sites where many infrastructure projects are located.
No doubt, the pandemic has thrown up new challenges. But as a customer-centric organization, we have constantly strived to adapt to the needs of our customers. We have been leveraging digital solutions to engage our customers, provide support, and add value propositions that are unique to them. We are conducting regular webinars and online events to stay connected with them. Online training sessions have been held over the last few months to keep our employees, customers, dealers, and operators abreast with the latest technological advancements.
We are also proud and humbled to be recognized by ET Edge of Economic Times as one of the ‘Best Infrastructure Brands 2021’ amongst other eminent companies in the Indian Infrastructure sector for the critical role Terex India has played in supporting the country’s growth.
How strongly is Terex positioned in the Crushing & Screening market of India?
Terex is one of the market leaders in crushing, screening, washing, and conveying solutions for aggregates used in infrastructure projects. For the last 20 years, we have had a solid market presence with tracked mobile crushing and screening equipment catering to the mining and highway sector, including National Highways Authority of India (NHAI) projects, while our wide range of aggregate washing equipment is supporting many urban development and irrigation projects.
We are now focusing on sustainable infrastructure development with our aggregate washing product range, producing manufactured sand, and our recycling systems for processing Municipal Solid Waste (MSW) and Construction and Demolition (C&D) waste.
Terex® Finlay has been manufacturing a comprehensive range of tracked mobile crushing, screening, and conveying equipment for 60 years. It is a global pioneer in tracked mobile solutions and offers a wide range of equipment to the quarrying, mining, construction, demolition, and recycling industries. The innovative machines are manufactured for higher productivity, low operational costs, and ease of maintenance. With its strong heritage of selling globally and now producing locally in India, Terex Finlay offers one of the best technologies for material processing. Terex India is constantly working on improving its dealer network for service and parts support and helping customers keep their machine downtime to the minimum.
What challenges have you faced in the Indian market?
The majority of our equipment functions on diesel that releases high carbon emissions, leading to imposition of stricter carbon regulations. This is posing a major challenge. However, with the recent initiatives of the Government to improve the country’s infrastructural facilities and the current favourable economic conditions, the impact of these challenging factors can be largely mitigated.
Another major challenge is the lack of skilled and trained personnel to operate crushing and screening equipment. Terex India has been working closely with its customers to ensure availability of skilled manpower who are adept at operating more technological, intelligent equipment in a safe and efficient manner. We are providing advanced training to crusher operators and plant supervisors at our dedicated training centre in our Hosur facility; it is accredited by the Infrastructure Equipment Skill Council (IESC) under the Skill India and NSDC program of the Government of India.
"Terex India has been self-reliant ever since it began its operations in India. Localisation has been a major initiative for us. Most of our machines are manufactured in our world-class manufacturing facility at Hosur in Tamil Nadu. We have invested heavily in our customer service and parts support and are proud to have the highest number of parts warehouses in the country."
As a technologically sound company with a focus on new product developments, what investments does Terex India make in R&D?
We have a large team of design engineers based at our factory at Hosur and also at our Global R&D center in Bangalore. They are constantly working on new models suited for the Indian conditions and as per the local requirements.
We not only modify our machines for the Indian conditions, but also design and develop new machines for the Indian market as well. We also launch products from our UK and USA factories in India. A lot of the products manufactured at Hosur plant are being exported globally.
How has Terex India maintained its strong brand value in India’s CE market, while fulfilling the expectations of its parent company and adhering to its global engineering and manufacturing standards?
Terex India realises that its crushing and screening equipment represents a large capital investment for its customers, so maximising uptime and return on investment is therefore critical. We have invested heavily in our customer service and parts support and are proud to have the highest number of parts warehouses in the country.
India is a very important market for Terex, and we are continuously incorporating new innovations and technologies across our product range to give our customers access to world-class technology, safety, and environmental standards, while also supporting Made in India products.
Terex MPS provides a complete range of crushing and screening equipment to customers around the world operating in four key industries: mining, aggregates, demolition and recycling, and industrial minerals. The equipment is designed to produce the highest quality end-products in processing hard and soft rock, sand and gravel, ore, and industrial minerals. Terex MPS offers Modular, Portable and Static equipment, along with full parts, service and maintenance.
Our value additions and services to customers have remained consistent even during the lockdown period. We have been supplying original spare parts, timely service, continuous technical support, diagnosis, ensuring machine uptime, and maintaining the efficiency of our plants, so much so, that our focus on direct selling of parts and our services have been getting us a lot of market share.
What are your long-term plans (say till 2025) to grow the company?
Terex India has been self-reliant ever since it began its operations in India. Localisation has been a major initiative for us. Most of our machines are manufactured in our world-class manufacturing facility at Hosur in Tamil Nadu.
"We are working on various new product development projects for India’s regional markets, with many new models in the pipeline for crushing, screening, washing, lifting, conveying, and recycling applications. We have developed new variants even during these challenging times and are gearing up to launch our Pick-and-Carry Cranes this year."
"We are working on various new product development projects for India’s regional markets, with many new models in the pipeline for crushing, screening, washing, lifting, conveying, and recycling applications.
We have invested in a service field force through our dealers, as well as at our end. The idea again is to ensure that all our machines operate safely and with minimum downtime. These are some key points, apart from a well-designed, rugged, reliable product that differentiates us in the market.
What factors are driving India’s Crushing & Mining Industry?
India is witnessing rapid urbanization which is fuelling demand for faster construction. This is a major driver for customers to move towards mobility. Terex is one of the first organisations to manufacture mobile plants in India which are best suited to meet the requirements of larger projects for completion in a relatively shorter period.
We are also seeing a surge in demand for manufactured sand (M-sand) with many states in India banning illegal river sand mining. M-sand derived from crushed rock fines is a sustainable and viable alternative for use in construction and can also be manufactured in the vicinity of the quarry sites, thus reducing transport cost, and ensuring timely project completion.
The coal sector is set to grow rapidly during the next few years. Though Terex already has a wide range of equipment for use in coal mines, we are simultaneously preparing to launch new products to further meet customer demand.
Terex Washing Systems
With more than half a century of washing experience and a proactive R&D team, Terex Washing Systems (TWS) continue to commit time and resources in developing and investing in the latest technologies and systems in the wet processing world. Today, given the strength and depth of TWS product portfolio, customers can be assured of end-to-end washing solutions.
What will drive India’s Construction Equipment Industry in the coming years?
We have seen both ups and downs in India’s Construction Industry. The Covid-19 pandemic created significant challenges, but we are seeing a strong revival this year. While most of the demand for construction equipment is expected to come from the Infra sector, the mining sector would also raise a lot of demand for machines. So, the long-term growth opportunities for the CE industry remain positive.
A slew of Government announcements, such as the numerous new road projects announced, is also helping the CE industry get back its growth momentum. According to a recent report published by Allied Market Research, the ‘mobile crushing and screening’ market is anticipated to reach $2,550 million by 2022, due to increased construction and mining activities in emerging countries like India.
With the Franna product, we are bringing a new level of safety to the crane industry in India.
Franna cranes are popular the world over for their superior performance and their safety features. Due to their ability to travel long distances at high speeds, they can reach jobsites in quick time, and undertake lifting jobs at several sites within the same day. Plus, they require minimal set up time and commissioning, compared to similar mobile cranes.
Franna cranes have been continually tested and developed and are available with lifting capacities ranging from 10 to 25 tons. Applications include machinery installations, shutdown work, mining, construction, hydroelectric, shipping & logistics, material handling, and more: reasons why Jaideep Shekhar is confident that FRANNA cranes will improve the safety and performance parameters in lifting jobs while helping in the timely completion of projects.
India is a huge market for mobile cranes; how will Terex India position its latest entry in the country?
This is an exciting investment for Terex as we continue to promote and grow the Franna brand globally. India is an important market for us, and we are introducing new brands to India in a sustained manner. Before launching a new product, we conduct thorough market research.
FRANNA is a brand which is renowned for its ‘safe’ cranes world-wide and the market for such cranes is constantly increasing in India. Out of the total PNC market, safe cranes constitute approx. 35% and this is increasing every year. Also, the renewed focus from the Government on infrastructure through its NIP (National Infrastructure Plan) will spur demand for mobile cranes.
We have had a very good experience in the Indian market and can now directly bring our market leading Franna technology with local homologation to improve safety and performance in the Indian market. Given our proven manufacturing capabilities with the success of other Terex brands in India, we are confident that this decision will provide a positive outcome for Franna.
What models and capacities will be introduced, and what application areas will you be targeting?
For over 40 years, Franna has been the market leader in the design and manufacture of quality pick-and-carry cranes. The main USP of Franna is its safety features. Franna pick and carry cranes live up to their name with the strength and ease of operation for picking up heavy loads and the articulated steering flexibility to move in tight spaces. Their high road speeds get them to jobsites quickly.
We plan to begin with the 15 to 17-ton class, followed by a higher class of cranes, in the coming years. The versatility of our pick-and-carry cranes enables us to cater to various applications across diverse sectors, such as: mining, construction, hydroelectric, shipping & logistics, nuclear power plants, military, and material handling.
What are your manufacturing plans for FRANNA and what will be the level of localization?
Our FRANNA range of cranes will be manufactured at our modern manufacturing facility in Hosur. Our team will be working closely with Franna’s experts in Australia to ensure quality. We are targeting 100% localization of these cranes without any compromise on the quality and with the in-built features of the global FRANNA equipment range.
FRANNA cranes will be manufactured based on India-specific R&D, which follows global standards, and as per Indian usage conditions. There will be no compromise on the safety features for which FRANNA cranes are known globally.
What are your marketing plans?
Right now, we will be focusing only on the domestic market as India is the largest PNC market in the world. In the near future, we will explore the export market as well with a clear strategy that is focused on sales and aftermarket network, followed by an intensive market research.
Terex will approach the market through dealers with active support from our team in India. We will focus a lot on training the dealers and operators on safe operation of the cranes.
What is your target for the crane business for the next 2-3 years?
In the next 2-3 years, we plan to establish FRANNA as a major brand in India for mobile cranes providing a complete and safe solution to the users. The expansion into cranes manufacturing is an exciting time for Terex India and we’re hopeful that with our reputation for quality, and our manufacturing expertise we will create an impact in the Indian market for cranes as well.
From crushing and screening to material handling - how challenging has been the business expansion process? What strategies have worked for you?
This expansion from crushing and screening to material handling has been exciting for us. Our focus has always been to provide a reliable product to our customers with all the global features, along with reliable aftermarket support.
Terex maintains an extensive product support operation, backed by experienced technical service and parts personnel. At Terex, we appreciate the importance of fast turnaround and guarantee to minimise downtime. This customer-centric approach has helped Terex in achieving success in the segments we enter.
"Franna pick-and-carry cranes have the strength to pick up heavy loads and the steering flexibility to move in tight spaces. Their high road speeds get them to jobsites quickly, and since the articulated frame needs no outriggers, they can be set up and put to work almost immediately. Customers favour Franna because of the safety the brand promises, along with versatility, ease of operation, and the endless lifting applications. Franna cranes are of exceptional quality and come with parts and service support. The brand is continuously innovating to meet the changing industry needs."