ElectroMech Expects Bright Biz Prospects for CE Market

Electromech is enjoying the distinction of being the largest industrial cranes manufacturer in the Indian market. Its tie-ups with international majors like ABUS, STHAL, and Zoomlion, coupled with ElectroMech's indigenous domain knowledge makes its position strong in the industry. Sharing his views with S.A.Faridi on the prospect of CE market in India, Mr. Tushar Mehendale, Managing Director, ElectroMech, seems optimistic on the growth prospects of Indian economy. According to him, "Development of infrastructure is vital for the growth of a country and our 12th five-year plan reiterates this fact, as an estimated amount of over $1 trillion is to be spent during this period on development of infrastructure in India. This will certainly give a boost to the construction equipment sector. Moreover, considering the government stated intentions on revival of the manufacturing and industrial sectors, we expect the sector to grow at 20 – 25% annually over the next few years."

What has been the demand supply scenario for industrial cranes this year and how do you see market growth in 2015?
After a lackluster start in the year, the Indian economy now looks to be on the path of recovery. With the new government in place, a renewed push is expected in the infrastructure projects and allied areas. Development of infrastructure is vital for the growth of India and the 12th 5-Year Plan reiterates this fact, estimating over $1 trillion to be spent on development of infrastructure in India. This will certainly give a boost to the construction equipment sector. ElectroMech expects the sector to grow at 20 – 25% annually over the next few years. With the government's stated intentions on revival of the manufacturing and industrial sectors, ElectroMech is expecting an upswing in the coming months and 2015. Demand is also expected to rise as there will be a pent-up demand for cranes from various sectors.

Over the past couple of months, we have seen some movement in the demand for material handling equipment coming from the market. Some of the projects which were stalled seem to be getting back on track. Customers have started discussions on expansion plans which had been shelved for a long time. As a result, there is a definite buildup of action in the industry. Our reading of the market is that the economy is slowly turning around, fuelled by the positive sentiments created by a seemingly stable, growth oriented government at the center. We expect this to become more pronounced in the coming year and are eagerly looking forward to it.

What is the USPs of Electromech's strategy which kept its business afloat in the tough economic condition?

The company's focus now is to make sure that we are ready to take on the expected new demand as well as pent-up demand, as the positive sentiment in the economy trickles down to spending in the capital equipment sector. The company's current installed capacity is enough to cater to the requirements of its growth strategy in the Indian and global markets.

As a group, ElectroMech is well-placed to handle a diverse range of requirements from a diverse set of clients spread across different industries and geographies. Be it Automotive or Metals, Construction or Power, Heavy Engineering or General Engineering, ElectroMech has products to cater to all their requirements. Tie-ups with international majors like ABUS, STHAL and Zoomlion, which cater to the niche requirements in the materials handling space, coupled with ElectroMech's indigenous domain knowledge makes its position strong in the industry. The company has enjoyed the distinction of being the largest industrial cranes manufacturer in the Indian market and will keep maintaining this leadership position even in the future.

How does Electromech see itself as total solution provider in industrial cranes segment? What is the latest offering of the company in the segment?
ElectroMech offers precise material handling solutions for wide-ranging applications in manufacturing plants and infrastructure projects. ElectroMech manufactures a diverse range of Cranes and Hoists for a variety of applications across numerous industry verticals. These include Single Girder & Double Girder Cranes, EOT Cranes, Gantry and Semi-Gantry Cranes, Jib Cranes, Wall-Travelling Cranes, Light Weight Cranes, Goliath Cranes, Explosion-Protected Cranes, and Underslung Cranes. The company also manufactures Special Purpose Cranes such as Stacker Cranes and Tunnel Mucking Systems that are used for specialized applications in various sectors and industries. Our products are supplied to diverse industries including Automobile, Construction, General Engineering, Heavy Engineering, Oil & Gas, Power, Railways, Shipbuilding and Steel.

ElectroMech is the exclusive India partner for Germany-based ABUS Crane Systems for their entire range of standardized Hoists and Cranes. The company also has a tie-up with Stahl CraneSystems GmbH, Germany, which is the world leader in Explosion-Protection Technology for providing Explosion-Protected Cranes and Hoists in India for the Oil & Gas segment.

Our Joint Venture with China-based Zoomlion, a Fortune 500 company and the 6th largest construction equipment manufacturer in the world and the world leader in Tower Cranes allows us to expand our offerings to the growing demands of the construction sector.

What initiatives are you taking to strengthen your after sales service, parts availability, as these factors play a big role while selecting equipment?
Material Handling is a critical part of any production process in any industry. Thus, any unexpected breakdowns of Cranes, Hoists, Winches and other Material Handling Equipment, totally distort the production process and delivery schedules. In order to reduce, and almost eliminate, the variability of such unscheduled breakdowns, it is recommended to have a proper maintenance carried out by trained professionals having a "crane-specific" expertise.

In the industrial cranes sector, sadly there is a lack of organized after-sales service offerings. Majority of the manufacturers' involvement ends once the commissioning of the equipment is done, and generally, it is left to the end-user to service and maintain the crane. ElectroMech believes in a solution approach to selling and has addressed the huge vacuum in after sales service space through a separate business unit – Cranedge that caters exclusively to the after-sales service requirements of its clients.

Through Cranedge, ElectroMech offers dedicated services for all industrial cranes irrespective of its makes and ensures that its clients get the maximum return on their investments. These services are made available through a team of well-trained and skilled team of engineers and technicians. Cranedge, offers Spares Support, Repairs, Services and Overhauling, Annual Maintenance Contracts, Crane Health Checks, Modifications and Retrofits, Relocation of cranes and Crane Safety Certification.

Cranedge's services are available for all brands of cranes, anywhere in India. It pursues the concepts of offering 'Service at your Doorstep', to reach 'Zero Downtime' and build 'Lifetime Relationships'. As a specialist service provider, it is equipped and backed by resources which are essential pre-requisites to excel in service and ensure a high level of customer satisfaction.

Electromech has a number of tie-ups and joint ventures with global brands to provide its customers with world-class products and services. Are you vying for any other such collaboration?
ElectroMech has always aimed at tying up with the best-in-class companies across the globe with a focus to offer solutions and services that satisfy the needs of its customers. Our association with ABUS of Germany helps us in providing top quality standardized equipment for the blue chip companies. Our association with Stahl of Germany for the EX ranges of products enables us to offer highly safe and reliable products for the hazardous area industries like oil & gas. Our association with Zoomlion enables us to provide a diverse range of tower cranes to the construction industry. Apart from this, our in-house expertise of crafting solutions and customizing equipment ensures that we can cater to any customer requirement.

Going forward, the company plans to explore newer product categories in the crane business depending on the market scenario and its clients' requirements

Zoomlion Tower Crane Raheja International Airport

What are your plans of participation at bC India trade fair to be held in Greater Noida? Do you have any plan to add more products to your portfolio or services at the show?
We look forward to this bC India, which seems to be timed just when the infra construction industry is expected to pick up. Trade shows like this give us a platform to reach a large number of people from our target audience over a short time span and in an efficient manner.

Launching products at such shows certainly makes sense for a focused introduction to the relevant users. Choosing whether to launch a product at a trade show also depends on timing - which may not match the readiness of a new product to be introduced to the market. That said, if the timing is right we are happy to use a trade show to introduce a new product.

At ElectroMech and our group companies, we always innovate and bring new products and solutions to our customers. Regarding this edition of bc india, watch this space for exciting announcements!