Escorts Construction Equipment

Ajay Mandahr, CEO
Ajay Mandahr, CEO

“At bauma CONEXPO INDIA this year, we will be showcasing the future of ECE. A new generation of in-house developed equipment in the Material Handling & Road Construction space will be unveiled. On display will be a brand-new Pick & Carry Crane platform, a new 11 T compactor, a rejuvenated mini-compactor and our Jungli brand of backhoe loaders. Also, on display will be the new equipment developed in association with world leaders Tadano, Doosan, and Comansa.”

Mechanisation level is expected to increase from the current 3% to 4.5%.

Demand of Construction & Material Handling equipments has been very bullish for the last 7-8 quarters and we expect FY’19 to close with the highest ever numbers. This demand is primary driven by government investments in infrastructure sector.

We remain optimistic about the CE industry in the foreseeable future. Demand will remain strong and we could see the industry expanding by 12-15% next year. The unprecedented growth that we are seeing today may not be sustainable for long and could cool off by this fiscal year. On an enlarged industry base, this 12-15% growth rates will give substantial leverage to the industry.

Given the huge infrastructure deficit in India, speed of deliveries targeted by the government and improvement in rural economy is expected to further increase in the mechanisation level from the current 3% to 4.5%. With every 1% increase in mechanism, there is likely to be a `10,000 crore worth of business opportunity.

Our product portfolio in the coming years will see solution-oriented launches in every product segment.

We are focusing on continued product development that strengthens the value of our market contribution and lends us a competitive advantage vis-à-vis international players. Our portfolio in the coming years will see solution-oriented launches in every product segment – with a focus on safety, technology, and connectivity.

The industry is doing well and so are we; in fact, our growth in focused product group has been higher than the industry. Overall, we have been growing more than 40% YoY and with increased served market participation and expansion in our product portfolio, we expect to see continued growth.

ECE New EG0A4667

With tie ups with Tadano and Doosan, Escorts continues its legacy of introducing technologically superior and need-based equipment to the Indian market.

Escorts believes in ‘Bringing the global best to India and taking India’s best to the world’, and we continue to live up to our founder’s expectations. As an Indian company, we try to customize global products as per Indian requirements, based on customer insights and foresight, unlike some international players who are offering products in India built with European customers in mind.

Our products enable optimum productivity, operational efficiency and safety, at competitive price points. For instance, under the Escorts Tadano JV, we will introduce products that are conceived, designed and made in India, as per local requirements. They will include Rough Terrain (RT) cranes of 20T to 80T category, and we will also launch 60T and 80T Truck Cranes (TC). Both the RT and TC cranes will be designed as per Indian regulation and market requirements. The first in the range will be rolled out soon.

DX225LC

We are upgrading our customers’ interface with extensive use of IoT, which has become an essential part of all equipment.

With IoT, you can now monitor, control, upgrade or change the operating parameters of the machine remotely or using your mobile phone. Most OEMs are offering telematics as a standard feature, and so are we. But there are more than 100 parameters that you can control on the machine, but all of them are not relevant currently. So, it’s a pick and choose combination of options required by the customer; there is no point in giving more than what is required.

We are upgrading our customer interface with extensive use of IoT and other digital enablers. Connected equipment in the field, use of smart mobiles to track the connected equipment, offering timely preventive maintenance and intelligent use of life-cycle data for a product, are the initiatives that we are taking to optimize our product offerings. It may take time for this technology to reach a certain level of maturity, but we are on it.

Capturing customer complaints, improving response time, ensuring parts availability, and doing all this right with adequate service manpower, skill sets etc., are the areas we have been working on for the past couple of years. We have also set a very challenging response time target. We believe that customer satisfaction is key to success in the future and is a continuous, evolving journey. As mentioned earlier, we are experimenting with some new technology to deliver innovative solutions to our customers.

EG0A5287

Almost all the major products in CE were introduced in India by Escorts.

Be it the Hydra, Safe Cranes, Backhoes, Vibratory Compactors, RT cranes, Excavators, Access platforms etc., all of these were introduced to the Indian customers by us. In fact, Escorts has been a pioneer in bringing the best and most relevant global technology to India, and thus, has a very good brand recall. We will keep introducing specific products and technologies that are relevant for Indian conditions and users.

After-sales support is key to success and sustained growth, and this is one area we are seriously trying to reinvent through actively using IoT and other customer-end tools. We are expanding our customer touchpoints and genuine parts availability to service our customers in the fastest and most efficient way.

Currently, we have about 60 dealerships with 130 touchpoints. We are in the process of further expanding our aftersales capabilities and are looking at doubling our touchpoints this year.

Commodity inflation, fuel prices, and lately, the FEX have been very challenging for the Industry.

Though the market growth has given us some operating leverage, we still could not insulate our business fully from these challenges. We absorbed a major portion of this inflation by improving our efficiencies and have passed on a small portion of the same to the market. Escorts Tadano JV will essentially be building products with maximum locally sourced aggregates, and that is expected to insulate our business from FEX and other global volatility impacting the industry. For our Excavator business, we are evaluating various options, including localization, to make our business model more stable and stronger.

We aim to increase our exports business to around 30% of our revenue.

Our growth in exports was around 30% last year but we are not satisfied as there is a huge potential for exports. So, in the next 3-4 years, our aim is to increase our exports business to around 30% of the revenue. To realize this, we are developing products that will meet global standards. We have added several countries to our global footprints and are test marketing our products. The response has been very positive. In some markets, we are also evaluating the option of contract manufacturing and private labelling. So, the potential to grow our business in global markets is immense.

NBM&CW December 2018

Putzmeister - Mechanization is Key

Ambitious development targets and increasing pressure to complete projects on time require an increased adoption of mechanization. As a result, although there are indications of an economic slowdown, we are seeing a steady demand Read More ...

Manitou India: Meeting Challenges Head-On

Manitou is bullish of driving its business of telehandlers, skid steer loaders and backhoe loaders in India as the demand potential of our solutions is quite promising. This is due to multiple factors, many of which are fundamental Read More ...

Escorts: Making Inroads into Global Markets

If you see global trends, we can say that our machines are at par with global features and technology integration. People are moving to safer equipment, autonomous operations, operator comfort, and are looking at highly efficient Read More ...

Terex: Indian at Heart

We are currently working on various new product development projects for the Indian and regional markets. There are multiple new models planned to be launched for our modular range and also some very exciting new additions for the Read More ...

Sachin Bhandari, CEO, VTP Realty

The Infrastructure sector is the backbone of the Indian economy as it is responsible for propelling the country’s overall development. The sector, therefore, requires dedicated focus from the government, which must formulate Read More ...

Jatin Goel, Executive Director, Omaxe Ltd

Infrastructure construction is expected to intensify in the next few years. The sector has seen dips and stagnancy, and now, with a stable government at the Centre, the sector should see a steady growth with the huge spend on Read More ...

Arun. G. Rao, Head of Engineering, - Assetz Property Group

Over the last few years, the growth graph of the Indian Infrastructure construction sector has been at a constant rise owing to the increase in housing demand. The development of highways, roads, metros, etc. has created a feasible Read More ...

Rajagopalan T S, Vice President – Projects, Adarsh Developers

The Infrastructure sector is responsible for propelling India's overall development with world-class infrastructure that includes bridges, dams, roads, urban development, power, ports etc. India requires investment worth ₹50 Read More ...

Madhusudhan G., Chairman & MD, Sumadhura Group

According to a report, the Indian construction industry is poised to become the third largest in the world by the year 2025 and expected to reach a market size of $1 trillion by 2030. Factors such as rapid urbanisation, emergence Read More ...

José Braganza, Joint Managing Director, B&F Ventures

The trio of GST, DE-MO and RERA was introduced with an objective to curb the black money dumping in the infrastructure and construction sector. This move has brought an enormous change in the way the sector was conducting business Read More ...

Pritam Chivukula, Co-Founder & Director, Tridhaatu Realty

The Infrastructure sector is expected to contribute 15% to the Indian economy by 2030. It enjoys intense focus from the government, with policies to ensure time-bound creation of world class development across the country. Public Read More ...

Avneesh Sood, Director, Eros Group

The Indian Infrastructure sector is a key driver for development and enhancement of the Indian economy. It is exceedingly in charge of impelling India's overall development and progress and enjoys extraordinary concentration from Read More ...

Mayur R Shah, Managing Director, - Marathon Group

India's GDP is growing at the rate of 7% which is the highest in the world. The size of the Indian construction market is going to be the third largest globally by 2030, and its contribution to GDP is expected to increase to 15%. Read More ...

Rakesh Reddy, Director, Aparna Constructions and Estates

The real estate sector made a strong comeback in 2018 especially in metros and tier 1 cities. We would describe it as a year of consolidation and revival. The complete implementation of RERA has been a positive step towards Read More ...

Deepak A Suvarna, Chief Projects Officer, Mahindra Lifespaces Developers

The Indian real estate sector has witnessed multiple shifts and turns in the past few years. With the implementation of RERA and GST, there is better regulated markets, more transparency, greater accountability, and a stronger Read More ...

Dr. Niranjan Hiranandani, CMD, Hiranandani Communities

The Indian economic growth story is powered by a slew of mega infrastructure, so opportunities have grown multifold over the past few years. As any growth brings along multiple challenges, the same is with these mega-infrastructure Read More ...
NBM&CW

New Building Material & Construction World

New Building Material & Construction World
MGS Architecture

Modern Green Structures & Architecture

Modern Green Structures & Architecture
L&ST

Lifting & Specialized Transport

Lifting & Specialized Transport
II&TW

Indian Infrastructure & Tenders Week

Indian Infrastructure & Tenders Week