Big-ticket infrastructure development projects not only demand the best quality output but also work on tight timelines, thus creating a need for specialized, intelligent, and technologically advanced construction equipment. Aligned with the same, we have pioneered the integration of digital technology in our ‘Intelli’ series of construction equipment to improve productivity, reliability, and efficiency of our machines.
Government support, revival of a sustained supplier-OEM relationship, and a suitable business ecosystem will help in a rapid recovery of the construction industry.
Presently, we are dealing with the global Covid-19 pandemic, which has evidently brought with it the most challenging and testing times for people and economies, across the world. In India, the entire construction and manufacturing industry has come to a standstill with the nationwide lockdown to combat the pandemic kicking in.
However, when the global crisis subsides, and things return to near normalcy, construction and infrastructure projects are expected to pick-up momentum. The Government’s support, coupled with the revival of a sustained supplier-OEM relationship and a suitable business ecosystem, would aid the rapid recovery of the industry. With this, the demand for construction and earthmoving equipment is expected to grow in the coming years. They will be widely used in large scale infrastructure projects such as roads and highways, railways, dams, ports, airports, and in rural infrastructure development projects.
Due to the migration of workforce from urban to rural areas, building rural infrastructure will gain immense focus in the foreseeable future, which, we feel, will create opportunities for the construction equipment industry.
In the recent past, restriction on movement in view of the nation-wide lockdown to contain the spread of the coronavirus, had adversely impacted the business cycle and the demand-supply chain in India. The industry is down by almost 80% currently as compared to last year.
The ongoing stress on the economy has also created liquidity related challenges - both for buyers and manufacturers of goods and services. Furthermore, movement of workforce back to their villages, could also bring new challenges in resumption of construction activities. However, with the gradual relaxation in lockdown norms, and opening up of businesses, we are hopeful of a brighter future. The Government has already announced a slew of measures to stabilize the impact on the economy, especially the construction and manufacturing industry.
Taking the road to economic recovery, the recent stimulus announced by the Government has started off with some steps in the right direction like - focus on building infrastructure, reforms in coal and the mining sector, and support to MSMEs, etc. The Agri sector is also set to benefit from its opening up. With such support, we are certain that the Government will be able to mitigate the pressure and stress on the sector, in the near future.
OEMs have been actively supporting MSMEs through business, skilling/training initiatives, and with funds for new technologies, etc.
The MSMEs play a very critical role in India’s economy. From generating employment to maintaining consistency in the domestic and global supply chain, the sector is the backbone of our economy. However, the recent pandemic has taken a toll on the MSME sector as well as due to the liquidity related challenges.
Under the recent economy stimulus package, the Government has announced a slew of measures such as allocation of `3 lakh crore for collateral-free automatic loans, subordinate debt, and equity infusion through MSME Fund of Funds. These are aimed at reducing the stress on medium and small enterprises and support their growth potential and viability. The OEMs have also been actively supporting the MSMEs through business, upskilling and training initiatives, and with funds for adopting new technologies, etc. .
With JCB’s intelligent and smart machines and services spread across 60 products and 8 product categories, the company has been speeding up India’s infrastructure development. Going ahead, we shall continue to utilize smart technologies and bring in more innovations to help our customers and end-users to recover fast from the current market slowdown.
There is a significant scope of digitization and automation as we move forward. Newer concepts like Telematics, IoT, Big Data and Machine learning have the capability to play a major role in increasing the efficiency of the sector. This is because big-ticket infrastructure development projects not only demand the best quality output but also work on tight timelines, thus creating a need for specialized, intelligent, and technologically advanced construction equipment.
Aligned with the same, we have pioneered the integration of digital technology in our ‘Intelli’ series of construction equipment. This has improved productivity, reliability, and efficiency of our machines, to ultimately benefit our customers with ease of operation and cost profitability. All our machines are also equipped with world-class remote monitoring telematics technology-LiveLink, which has made machine maintenance seamless.
With such intelligent and smart machines and services spread across 60 products and 8 product categories, JCB has been helping pace up India’s infrastructure development till now. As we go ahead, we shall continue to utilise these smart technologies and bring in more innovation and technology to offer unmatched benefits to customers and end users, who need these even more now to recover from the market slowdown.
The Government has shown clear intent to support manufacturing across different segments, and it is the time now to seize the opportunity to invest, innovate, create, scale up and export.
The Government’s ‘Make in India’ program was launched six years ago, it focused on making India a hub for manufacturing and an exporter to the world. Today it is definitely a significant opportunity for India to become a part of the global supply chain. For this, local manufacturing is critical and would require business-friendly policies and reforms at the state level.
Today, the program has dovetailed into India adopting ‘Vocal for Local’ and following the ambition for becoming ‘Atmanirbhar’ (self-reliant). The Government has shown clear intent to support manufacturing across different segments. It is now time to seize this opportunity to invest, innovate, create, scale up and export.
JCB India has been an embodiment of the Government’s ‘Make in India’ program. We have always remained committed to India’s growth story and have contributed to the building of world-class infrastructure in the country. JCB products made in the country are being exported to over 110 countries around the world and are manufactured to One Global Quality.
At JCB, we are re-aligning our business priorities.
The first and foremost priority for us shall remain the health and safety of our employees at manufacturing facilities across India. Preparedness includes regular employee screening as well as employee safety, care and well-being programs to ensure adherence to social distancing norms. The second priority shall be to re-boot the supply chain and ensure that the supplier and the dealer network becomes seamlessly operational once again. We are fully committed to offering world-class products for our customers. Even during the lockdown, we have remained committed to providing customer support for equipment that was engaged in essential services.