Clean Air-Tech strengthens presence in India
"We see the Indian market booming, whereas it's declining in Europe. Based on this observation, we have set up a manufacturing facility in Vada, near Mumbai. The plant is equipped with state-of-the-art technology and has the capacity to churn out around 20,000 industrial cages per month. And this capacity will increase in tune with the growing demand of our products," informed Mr. Caletti, who was in India recently.
It all started back in 2007 when Italy-based Clean Air Europe made a foray into the Indian market through a joint venture with a local partner. And the idea was to supply industrial cages to various industries such as Power, Steel, Cement, Mining, Food Processing, and many more. "During the initial phase of our Indian operations, we were importing the cages from Italy and marketing them here. Later, on account of operational issues, the JV was discontinued and we decided to form an Indian wing of Clean Air and set up an indigenous manufacturing plant. So, we did that, restructured the entire workforce, and appointed an Indian Managing Director," he said.
Shedding more light on this point, Mr. Singh added, "Industrial cages are one of the fastest growing segments not only in India, but also in the entire South Asia. Through this plant we are also looking to tap the overseas markets such as the Gulf, Indonesia, Malaysia, and Sri-Lanka." Talking of the USP of the products, both the gentlemen conceded that Clean Air Tech's industrial cages are ideal for air filtration, have a long life, provide value for money, and are maintenance free.
Crucially, whenever any foreign company has laid anchor in India, one of the biggest challenges it has had to face is the availability of low grade substitutes. Overseas' entrants have also bemoaned corruption, red-tape, and lack of awareness of among locals. Mr. Caletti, however, feels that the picture is much different now. "We are at the end of our learning curve now and found that the knowledge and awareness of end-users has grown remarkably," he said. Echoed Mr. Singh, "The so called competition was from small family businesses but once we apprised people about the cost benefits, servicing, and technological superiority of our industrial cages, our market receptivity took a quantum leap."
Servicing is undoubtedly a secret to success and considering the fact that Indian consumers are now quite discerning and seek even the last mile connectivity with manufacturers, it's imperative that a company never takes this aspect lightly. And Clean-Air Tech acknowledges this reality. Informed Mr. Singh, "We provide the necessary assistance in terms of after-sales and spare parts. Currently, we are supplying only out of our factory, but there are plans to set-up workshops in other areas as well." What's more, the company is also planning to expand its sales network. "Through our channel partners, we will supply to OEMs and end-users," he stated.
Well, every industry has its own peculiarity, but the manner in which Clean Air Tech is treading the growth route in India, it's ascertained that it will achieve its targets. It definitely is a win-win proposition.
NBM&CW May 2013
