New Collaborative Tie-Ups at REL

REL
Revathi Equipment Ltd. (REL) manufactures both drilling and concreting equipment using latest and hi-tech global technology adoptable to Indian conditions. Recently, our CE division has entered into the foundation equipment segment. Our core strength has been devising its innovative collaborative approach and strategic tie-ups with global giant. With huge outlay in the 12th Plan for infrastructure development in the pipeline, we expect a sustained demand for our products enabling REL to emerge as a leading player in the segment recording a high growth rate of 30-35% year on year basis, says Mr. M. Sunil, Associate Vice President – Marketing REL- Construction Equipment Division, in an interview with S.K.Khanna.

There has been milestone development in the evolution of REL from a private to a public limited company and its association with Atlas Copco and also a part of Renaissance Group. Can you please recap these developments to introduce your company to our readers and others?
REL established in 1977, was a company focused only in the manufacture of Drilling Solutions for Mining Industry. It was under the CP management and later with Atlas Copco, after the merger of CP with Atlas Copco in 2001. Since 2003, REL is a part of the Renneisance group headed by Mr Abhishek Dalmia.

REL, today has two core operations, viz manufacturing of Drilling and Construction equipment. With over 4 decades of manufacturing experience, REL is a very popular name in the Mining segment as a leading supplier of Blast Hole Drills. The Drill Division has its ISO certified manufacturing facility at Coimbatore in Tamilnadu.

REL entered into the Construction equipment manufac- turing segment in 2006 and today manufactures a ‘Full Liner’ in Concrete Equipment with technical collaboration of leading German manufacturers and has recently inaugurated its new ISO certified facility in Gummidipoondi, near Chennai.

What are the important business areas of the company, its manufacturing facility and product range to support its business interest?
Transit Mixer
As mentioned before, REL is currently focused on Two segments, which is Drilling Equipment for Mining Industry and Concreting equipment for the Infrastructure segment.

Under the Drill Division for Mining equipment, we manufacture a range of Drill Rigs for various applications like Mining, Water Well, and exploration at our Coimbatore facility.

The CED product range includes Concrete Preparation (Batching Plants up-to a capacity of 120 cbm/hr), Concrete Transportation (Transit Mixer 4, 6, 8 & 9 Cbm capacity) and Concrete Placing equipment (Concrete Pumps – ‘S’ Valve technology)and Truck mounted Boom Placers. These products are manufactured at our new manufacturing facility in Gummidipoondi near Chennai.

REL's Construction Equipment Division (CED) has also recently entered into the Foundation equipment segment with Hydraulic Piling Rigs and Vibro- Hammers.

The company has ventured into concreting business with Batching plants, Transit Mixers and Concrete pumps and associated machinery and equipment. What are different technical attributes giving your products the edge over similar products and services in the market?
The most important factor is that we are a ‘Full Liner’ in ‘Concreting’ equipment. There are not many players in the industry today who can boast of a range similar to ours.

The next aspect is the technology. Our strong manufacturing experience and also the collaborations with leading German manufacturers and access to their technical support for the range of equipment we manufacture in India, helps us in adopting the latest technology matching Indian conditions. Every product that we offer in Concrete Preparation (Batching Plant) or Concrete Transportation (Transit Mixer) or Concrete Placing (Concrete Pumps/ Boom Placers) has certain features either productivity related or more user- friendly. The safety aspects are also given very high importance and these are the differentiator for our range when it comes to technology and features.

Revathi core strength has been devising its innovative collaborative approach and strategic tie-ups with global giant. Which are these overseas collaborators and how this collaborations have enhanced the technological status of company’s products and services?
In concrete Equipment, we are associated with 3 strong German Manufacturers.

M/s. Wiggert & Co Gmbh, a renowned name in Concrete Batching Plant manufacturing, is our partner for Concrete Batching and Mixing Plant. Wiggert & Co, a part of the Kabag Group, has to its credit the technology for Mixers including Planetary Mixers apart from Twin Shaft or Pan Mixers. They are today the preferred suppliers of plants in many markets, especially when it comes to the recent trend of Hollow Core.

For Trailer mounted and Truck mounted Boom Placers, we are associated with Waitzinger Baumashinen Gmbh, another prominent German player with more than 2 decades of experience in this field with a strong R&D team.

Our partnership for Transit Mixer Manufacturing is with M/s Intermix Gmbh, pioneers in the manufacture of Transit Mixer.

We are able to integrate our manufacturing experience and understanding of the market with the expertise and technology from these German equipment giants, which are translated as features in the equipment from the REL-CED stable.

Has the company launched any new product in the recent past if yes, then what is the market response for the product?
Blast Hole Rig C 650
So far REL-CED have been in only ‘Concreting’ equipment. But now we are just entering into a new segment in Construction, which is the Foundation equipment.

We are in the process of launching Two new products, again with strategic and technological tie-ups with renowned players in this field. These are Hydraulic Piling Rigs and Vibro- Hammers.

We believe that there is a big scope for these equipment especially when the country is looking forward to a huge investment in infrastructure development and urban development programs.

With emerging business opportunities in construction, mining, exploration drilling applications,–how do you view the future growth of the company to grab greater pie of business in these segments in the domestic as well as overseas market in the next three–four years?
With a strong economic growth forecast over the next few years and also huge outlay in the 12th plan for infrastructure development in the country, a sustained demand for equipment relating to Concrete is more or less assured.

Similary, in the Mining Industry, the privatization is going to throw up new business opportunities and increased demand for Drilling Equipment.

All these factors are the indicators for REL to emerge as a leading player in the segments we are present, ie, Mining & Construction Equipment, with a high growth of above 30 to 35% Year on Year basis for the next few years.

The uptime of equipment is of high priority and will be the key in deciding your market share. REL-CED is focused on creating a nation-wide network of own offices and dealership ensuring high up-time for its equipment and also faster response to its clients.
NBMCW November 2010
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