“Close to 30,000 JCB machines are connected to JCB LiveLink”
JCB is transforming into a full-range infrastructure partner with the launch of seven new products at Bauma Conexpo 2016. Our machines are made in India, manufactured in factories in Delhi, Pune and Jaipur.
Vipin Sondhi, Managing Director & CEO, and Jasmeet Singh, Head - Corporate Communications and External Relations, JCB India, share more on the products.
Launches at the expo: We launched a total of seven new products. The first is the All new 2DX backhoe loader - a compact machine that can be utilised in moving into areas otherwise inaccessible by larger machines.
Next is the JCB 30Plus, which is the first product to be rolled out from our Jaipur factory. Interestingly, it comes from a gender-diverse factory where women engineers not only do welding, but are also involved in manufacturing these products. We introduced the 11-tonne soil compactor - the VM 116 - which is our effort to leverage the opportunity coming from the government´s focus on roads and highways. It is supported by a JCB engine and an in-built compaction meter and is LiveLink enabled. Further, the company has been into wheel loaders since 1990s, and has now introduced the 5.5-tonne 455ZX wheel loader.
Also, we have put in all of our 50 years of experience in excavators to develop the 22-tonne, the JCB 220LC Xtra. With a JCB engine, the JCB 220LC Xtra excavator draws 8 per cent improvement in fuel-efficiency over its predecessors, has an air-conditioning standard and is LiveLink enabled.
And, moving on to a bigger range of machines for large-scale infrastructure projects, from the existing 22-tonne machines, we are now entering the 30-tonne segment with JCB 305LC. Finally, we have also introduced the class leading 37-tonne-class excavator - the JCB 370LC.
The company´s USP: We have set up a global manufacturing hub in India. JCB machines are not just designed for India´s emerging markets, but are exported to over 65 countries. What also sets us apart is our world class product support network with 63 dealers and 650 outlets.
R&D for new products: JCB has set up a dedicated Design Centre in Pune, which employs over 400 engineers who work on new product concepts. The decision to introduce any concept is largely market driven wherein various product options, which are suitable for the current situation of the market are accessed and evaluated. Post this, the decision to launch a product or a range is arrived at. This involves research and data analytics too.
On the LiveLink: Through LiveLink, we have taken the Internet of things (IoT) to a different level. Close to 30,000 JCB machines are working and enabled with this innovative technology.
Current market sentiments: The market is bouncing back, but we are not fully at the 2011 levels as an industry. The sector leading the growth at present is roads and highways and there are some green shoots in irrigation. Simultaneously, sectors such as railways, urban rejuvenation, urban infrastructure and real estate need to pick up quickly to ensure sustainable growth. That is yet to happen.
SCHWING STETTER INDIA
“2016 is going to be our best year in terms of sales”
Schwing Stetter India launched 14 new products at the expo. Anand Sundaresan, Vice-Chairman & Managing Director, and VG Sakthikumar, Managing Director, share an update in conversation with SHRIYAL SETHUMADHAVAN.
Industry sentiments: Infrastructure projects in the past one to one-and-a-half years have witnessed a tremendous push from the government, especially roads projects. If we consider the first half of FY2015-16 to FY2016-17, the industry itself has grown by about 38 per cent. MoRTH has ambitious plans to drive more and more road projects. The mining industry was performing well in the beginning, but came to a bit of a halt owing to high coal production. As for other sectors, there is some growth but not as much as the roads sector. So, in coming years, we see the construction industry growing well.
Product range: Schwing Stetter responded well to all the developments in the market. With the government encouraging concrete roads, we introduced products that require minimum setting-up time, can be shifted easily, and help in producing concrete continuously. As for municipal roads, power cables and transmission lines, which are more linear,we displayed the self-loading mixtures of 4 cu m and 2 cu m. Further, we also launched two products to address government initiatives such as Swachh Bharat Abhiyan, Clean Ganga, Smart Cities, etc. One is a RA20 concrete recycling plant and the other is a smart-tech pump that finds application majorly in handling fly-ash disposal and municipal wastewater. Further, we have introduced several truck mixers, some with engines and some without. And, considering the needs of high-rise construction, we have launched a cost-effective pump: SP 4507. In the case of batching plants, some customers require a quick-to-install plant without any ramp or foundation. So, we have introduced M30Z, a 30 cu-m plant, to meet the niche requirement of consumers who work on short-gestation projects. Also, for the first time, we showcased our truck range. XCMG, one of the biggest companies in the world for crane applications, will be represented by Schwing Stetter India from this expo onwards. We sell and service XCMG products. Along with these, there are many existing products.
Sales numbers: This year will be Schwing Stetter´s best in terms of sales ever since the company was formed in 1999. In 2000, we had a turnover of Rs 27 crore; in 2016-17, we will achieve Rs 1,150 crore. We are focusing on any region across the country that is showing interest in developing infrastructure. We have recruited 40 service people this year alone to take care of the increased business in the northern region.
“Over the past two years, we have tripled our business in India.”
A dependable local partner for sales and service, Wirtgen India offers a broad range of services tailored to individual requirements for all areas of road construction, as well as the mining and processing of pay minerals. Ramesh Palagiri, Managing Director & CEO, Wirtgen India, and Frank G Betzelt, Managing Director, Wirtgen GmbH, share more on the company.
Market in India: The share of Indian business for our group is growing. Over the past two years, we have tripled our business here. All our strategies from eight to nine years ago are starting to pay off. We set up a manufacturing location in the country and worked on a distribution network in 21 locations. The idea was to be as close as possible to our customers and not have the additional layer of a dealer in between. Current potential for concrete roads: Roughly 30 per cent of roads today are built with concrete. However, 70 per cent is still bitumen, which is reflected in our business as well. We have sold more than 100 Slipform pavers this year. While most concrete roads are driven by NHAI and MoRTH, many state governments are still focusing on bitumen roads. So we have a good mix of both.
Business growth in 2016: Eighty per cent of our business comes from the roads sector, and the balance from mining and minerals. As we have a complete range of machines, whether it is for concrete or bitumen roads, we have been tremendously benefitted and that has reflected in our revenues in the past two years. We have tripled our revenues: From Rs 350 crore in 2011, we have crossed a turnover of Rs 1,000 crore in 2016.
New launches: Around 10 of the 23 products on display at the expo have been introduced in the Indian market for the first time. From the complete range of slipform pavers, SP 64 and TCM 180 have been launched this year. We have launched two new pavers: The 7.3-m track machine and 6-m wheel paver. Also, there are two Vogele pavers - S1400 and S 1403 - and two new products - MR 110 Z EVO and MS 702 - on the Kleemann brand. We have screens that are produced in the Pune plant. Hence, we have a mix of products both made in Germany as well as India.
Manufacturing facilities: Our Pune plant is running in just one shift. And this year, we will end with close to 1,000 compacters. Once we move to the second shift, we can increase this capacity. As far as Vogele is concerned, we have just launched the products. So the current capacity is enough for locally manufacturing at least 200 pavers. For Kleemann, we have a huge plant and the capacity is for almost 500 screens; we have already built the capacity to take care of at least two to three years.
“We are working on going global with our products.”
Compared to the financial year in 2015, Ajax Fiori witnessed a growth of about 35-40 per cent.
Jagadish Bhat, CEO, shares an update on the company in conversation with SHRIYAL SETHUMADHAVAN.
Product launched: We have launched the JSP 50 concrete pump, which has an incremental volume compared to the 40 cu m pump that we already have. Based on the concreting nature of sites, where concrete is not continuously pumped, but done in batches, there is a requirement for higher capacity. So, based on customer feedback, we launched this new higher capacity pump to meet their concreting needs.
Other products on display: We have the range of Argo Self-Loading Concrete Mixers from 4-12 cu m per hour capacity, and the CRB 30 concrete batching plant of 30 cu m capacity on display. Over the years, we have been perceived as being a leader only in self-loading concrete mixers; we ventured into batching plants and pumps in the recent past. And going forward, we have big plans to diversify into other products and expand our product portfolio.
Current market share: For our flagship product, the self-loading concrete mixers, we have successfully sustained our market share of over 90 per cent year- after-year. We look to improve our wallet share with our other products that will cover the customer´s concreting requirements.
The year 2016: A bulk of our products are used in projects like rural roads, irrigation projects, bridges, etc. The road and irrigation sectors have been particularly doing well for us.
On the company´s USP: Product performance and after-sales support. Many of our customers feel that our response to customers in terms of service and parts support is good.
Make in India: Earlier, the import content was high in our products. Now, we produce about 95 per cent indigenously. We are in fact even looking at exporting these products to other countries. We are working on going global with our products. Further, in order to fulfill the current demand for our products, our plant is running at about 130 per cent capacity utilisation; so we are also in the process of setting up another plant to fulfill the market demand.
Investments in R&D: We have our own R&D setup based out of our plant in Doddaballapur, Karnataka.
We have a sizeable team of engineers working in R&D, which we are planning to increase. We plan to create an independent engineering division, which will not only work for Ajax Fiori, but also do a lot of work for other companies.
“We continue to introduce technologically advanced products in India, which promises great opportunity and significant growth in 2017.”
CASE Construction is part of CNH Industrial, which is a global capital goods company with a large portfolio of construction, commercial and agricultural equipment. Abhijit Gupta, Managing Director, CASE New Holland Construction Equipment (India), and Raunak Varma, CFO, CNH Industrial India, and Gabriele Lucano, Country Manager, CNH Industrial India, share more on the company’s plans and performance in India.
Equipment showcase: We are launching globally renowned CASE Crawler Dozers in India with three new models – 1150L, 1650L and 2050M in the 13 T, 18 T and 20 T operating weight range powered with FPT Industrial engine, significant for the roads and mining sector. We are also showcasing our 100th Grader in the Indian market and the new range of Loader Backhoe 770EX and the new Vibratory Soil Compactor 1107EX. Over the past few years, we have made a significant effort in investing in products for India. We see great opportunity for the future.
Introducing excavators: We are currently evaluating our entry into the extremely crowded excavator market in India. If the opportunity emerges to be financially attractive, there is no reason why we won’t bring in more construction equipment from our global range in India quite rapidly, as we have demonstrated in past four years.
After-sales services: After sales service is definitely a focus area for us. We are absolutely clear that in a service driven industry, we need to keep a high customer focus. We are placing service people in the farthest areas exclusively to shorten lead time. We are also investing in distribution of parts and will have warehouses to cater to some of these farther areas.
On business growth: We expect significant growth and are positive in terms of increase in volume for the next year. Hence, we are bringing new products because we are seeing new opportunities to cater to the demand of customers, who are becoming more deserving and demanding. Indeed, the customer is becoming increasingly discerning and demands products with higher efficiency and performance, especially in applications where the project needs to be delivered within a certain timeframe. Unlike our competition, we have a complete family of construction equipment products. And, with the market evolving, we offer our support by using our skills and expertise at their best.
Outlook for 2017: Sentiments are becoming even more positive as time passes by. With the way we see governance, we are quite confident. Not just 2017, this will probably be a longer cycle. In coming years, we shall reap the benefit and customers should take the advantage.
“We expect good follow-up post BAUMA CONEXPO.”
BAUMA CONEXPO INDIA was the launching pad for MB India in 2014. And, the company has had 100 per cent growth for both years since then. Piero Guizzetti, CEO, MB India, shares more in conversation with SHRIYAL SETHUMADHAVAN.
Current market sentiments: Last time, when we were at BAUMA CONEXPO, there was a little dip in the entire market. And right when there was a revival in sentiments this year, demonetisation was announced. So, the first reaction from the market was that this would cause a bit of a slowdown in the construction equipment and earthmoving sector. Nobody is yet able to determine how much of a dip there will be. But we believe in the long-term positive effects demonetisation will have. We expect good follow-up post BAUMA CONEXPO and, starting February 2017, we believe the market will re-correct to where it was prior to demonetisation, which was on a positive note.
Key focus: From an application point of view, in India our products are primarily being accepted in the road construction sector. We get high interests and conversions because our machine evidently gives excavators an added utility. You don´t require to transport the material that you need for granular sub base; instead, you construct right there on site. So, we see a lot of interest coming in, especially in hard-to-reach areas and mountainous areas in northern India. As for the company, we focus on areas and states where we have a direct presence; we manage everything from regeneration to selling and after-sales.
We have a CRM system through which we either pass the leads directly to the dealer or do some sort of a qualification from our end before passing it to the dealer. We support the dealers to the level they need and let them take care of the sales process.
Products on display: At the expo, we have displayed the new series of our models. The new series have been improved both from a technological, performance and operational point of view, on the back of our observations, continued R&D and feedback received from the market. One new model in our existing product line is the BF 80, which is not on display. This comes between BF 70 and BF 90 and is a good solution for the 20-tonne range. We are currently in the process of doing research in order to launch a new product category that will be announced shortly. It is a product which has a niche application area and we look forward to complementing and enhancing our product portfolio with this addition and others in the future; this is in the testing phase and we should be launching it in mid-2017.
Outlook 2017: This year is going to be a year of consolidation. From just the commercial segment, we wanted to ensure we cover the entire market. And now I can gladly say that we are doing that. We plan to do a greater capacity-building exercise with our dealer network. Servicing is important in India across any product category. So we try to put our own people across the country to be a direct support to the dealer network.
PERI (INDIA) FORMWORK SCAFFOLDING ENGINEERING
“We have launched a revolutionary products - PERI DUO and ALPHAKIT.”
Considering the expo as a platform to launch new systems, Raj Lakhani, Managing Director, PERI (India) Formwork Scaffolding Engineering, shares more with SHRIYAL SETHUMADHAVAN.
Current market sentiment: The market scenario is positive. Of course, there is the temporary issue of demonetisation, which will get diluted in the coming two months. As far as real estate is concerned, the confidence level seems to be challenged, but infrastructure is booming.
Impact of demonetisation: There is no impact as such, but whenever there is a major issue in the country, there is a little diversion in terms of mindsets. People lose confidence momentarily and that could be one of the impacts. However, with RERA and the chances of interest rates going down, there is a positive impact as well. PERI business: About 50 per cent of the company´s business comes from real estate and 50 per cent from infrastructure. However, in the current scenario, it looks like infrastructure will soon bypass the real-estate business.
Focus at the expo: We consider this expo an opportunity to launch new systems. Along with this, we also look at connecting with existing clients and updating them on what is new in the market.
New launch at the expo: We have launched a revolutionary product - a polymer-based formwork system, PERI DUO. It is a lightweight formwork, durable, easy-to-use, multi-utility and recyclable, and can be applied to both infrastructure and real-estate projects; and ALPHAKIT can be used for medium to heavy bridge construction.
Manufacturing setup: At present, about 30-35 per cent is manufactured in India and about 60-65 per cent is imported. However, the target is to increase local manufacturing in the next two years and take it up to 70-80 per cent.
“We hope to do good business in 2017.”
With machine and plant solutions made in Germany since 1925, Debashish Roy, Country Head India, Vollert, shares an update on the company´s plans in conversation with SHRIYAL SETHUMADHAVAN.
Current market sentiments: The company has been performing well. We completed 2015 with a good turnover. In 2016, with real estate going down, followed by demonetisation, there has definitely been an impact. We have still been able to retain and do business, but not up to the 2015 scale. We hope that by next financial year, we will be doing good business and getting a lot of enquiries.
Impact of demonetisation: There has been an impact.
Real estate was on a liquid cash basis. Most developers and contractors are facing the financial crisis because of demonetisation. They have been affected and projects have come to a halt.
Manufacturing: We are starting our factory in Sikandrabad, Greater Noida, on NH-24. We will produce all stationary equipment such as tilting tables, flat tables, etc. Cost will be reduced tremendously. As the demand is always for best quality at lowest prices in India, we hope to do good business in 2017. Since we are starting our own factory, we hope for a turnover of around Rs 100 crore by 2020 from the present Rs 40 crore.
Investment in R&D: Whatever R&D is there, it is done in Germany. So, to reduce some of our basic cost, we have started making steel equipment in India. With this, the cost of some steel products, which comprise around 30-35 per cent of the total project cost, get reduced tremendously.
“Our aim is to be at least in the same growth ratio as the industry.”
The BCP division of Caterpillar offers products such as backhoe-loaders, small wheel loaders, telehandlers, mini excavators and small track type tractors, commonly known as bulldozers. Amit Bansal, Director-Sales Marketing, BCP Division, Caterpillar, shares more on the expo and the company´s offerings in conversation with SHRIYAL SETHUMADHAVAN.
About the expo: It is a great opportunity for us to build and strengthen relationship with our customers and understand their requirements to be able to serve them more meaningfully. In fact, we have also witnessed customers coming from down south and several other parts of the country showing interest in the company´s backhoe loaders, skid steers and wheel loaders.
The company´s offerings: In India, we are selling four products: Backhoe loaders, small wheel loaders, skid-steer loaders and small track type tractors. In terms of facilities and footprint, we have a state-of-the-art manufacturing unit for backhoe loaders in Chennai and have recently set up a new plant for skid-steer loaders. The skid steer loaders - made in India - are not just sold in India but also exported to Southeast Asian countries, Africa, Middle East and other parts of the world. Also, the small wheel loader 2021 - sold under the brand Hindustan - has been in the industry for about four decades and continues to be the market leader in its category. All in all, we offer dependable, durable, reliable and productive machines that make our customers successful in their business.
Emphasis on technology: Our backhoe loaders are the most technically advanced machines in the industry.
For instance, the hydraulic pump we use is one-of-its-kind. Its load sensing closed centre hydraulics produce flow and pressure for the implement system upon demand and only in amounts necessary to perform the needed work functions resulting in low fuel consumption. Load on the engine is always kept low, improving the fuel efficiency. Also, for customers who look for higher productivity, we have an HD machine. Our global product - skid-steer loaders - is supported with pilot controls, which help operate and run the machine for several hours without any fatigue. Also, all the controls are by hand and you have nothing on the foot, resulting in more leg space. Further, we offer a uniquely designed hydraulic tank, which does not allow cavitation to form within the hydraulic circuit, resulting in more enhanced life of components. In terms of cooling, we have placed the radiator and oil cooler besides each other to offer efficient cooling, better fuel-efficiency and prolonged component life. As for safety, operator presence seat mounted sensor automatically engages the parking brake and locks out hydraulics if it does not sense a minimum of 22 kg after few seconds. And now, we are also investing in digital connections, with which, the customer can keep track of the machine´s performance and all data will be captured centrally. Similarly, there are several other connected work site solutions we offer to our customers, depending on their requirement.
Dealer network: We have two primary dealerships in India within which there are eight territorial dealerships having 170+ distribution footprint. These territorial dealerships ensure greater focus and better coverage within each of their territories for sales (prime products and parts) and service support. They have the necessary capability to provide support to a broad base of our customers including construction, mining and energy.
Expected growth for 2017: In terms of volumes, the company has definitely grown in 2016 compared to the previous year. Our aim is to be at least in the same growth ratio as the industry and endeavour to grow faster in coming times. In 2016, the industry grew by around 20-25 per cent, and while it would not be the same in 2017, we would still expect a 10-15 per cent growth.
“We strongly believe in the potential of the Indian market.”
Haulotte specialises in people lifting and material lifting equipment. This is its core and only business. Damien Gautier, Managing Director-Asia Pacific, Haulotte Group, and Souma Ray, Director, Haulotte India, share more in conversation with shriyal sethumadhavan.
On display: We showcased part of our range of equipment - right from the smaller ones to the vertical machines that work in tight and narrow spaces. We also displayed the traditional range of AWP´s that are used by rental companies, contractors and end-users. We have showcased a 16-m articulated boom, which has been one of our bestseller in India. This machine cuts downtime considerably as the fault identification tool or system ´ACTIVE SCREEN´ is installed within it. Hence, in case of a breakdown, the users service person or operator can get a pictorial description of the fault. Also, we have moved on to a much more environment-friendly engine - Kubota - which is a variable speed engine that draws power as and when required. So fuel consumption is at least 15 per cent lower. Our showstopper has been our telehandler HTL 4010, which is the material handling equipment of the future. Although there are some traditional made-in-India products like pick and carry cranes that are used here instead of telehandlers, they do not have the same versatility, productivity or safety.
Company´s growth rate: The market has not grown the way we expected it to, and that has impacted our growth as well. Unfortunately, we do not see a major change in coming years. There is absolutely no regulation, which means that people work at any heights using any sort of methods - ladders, bamboo scaffolding, etc - that are completely unsafe as an alternative method or use old AWP´s, which have well passed their lifecycle. In Australia, for instance, you can use a machine only for 10 years, and if you want to extend the life of the equipment, a thorough inspection needs to be done, confirming the ability to use it for another five years. Also, in China - which is often compared to India - there are regulations and higher penalties in case of any accidents or casualties at the construction site. But India is yet to see the change.
We need to sell productive but safe equipment as well.
On localisation: In our view, the Indian market is not ready yet. Localising would mean investments, for which we need to see the market going up. However, we strongly believe in the potential of the Indian market and will consider localising when the time comes.
“We have been growing at 20-30 per cent in the past two years.”
One of the leading construction machinery manufacturing companies in China, SDLG has a product range encompassing loaders, excavators, compactors, backhoe loaders, etc. In India, the company offers its range of loaders and graders. Sanu George, Business Head, SDLG, shares more in conversation with SHRIYAL SETHUMADHAVAN.
Current market sentiments: Mining market has grown, but roads have outgrown the other segments.
Focus at the expo: Our focus is on brand building, launch of new products or new technology, and finally we look forward to walk in and existing and new customers Launches: We have two products: A 12-tonne grader and a 3-tonne loader. Currently, SDLG has been offering a 16-tonne grader for mining and road application. Hence, the 12-tonne grader is specifically for road projects. The loader is our second product in the 3-tonne category as we wanted to connect better with the segments like RMC, quarry, etc, where we want to improve our market share.
Value-added services: We offer CSA support to our customers, custom-built to their needs both during our standard warranty of one year/2,000 hours, and extended support up to 4,000 hours. In some cases, we have even gone up to 6,000 hours. Expectations from 2017: Given the current market, organic growth could be flat till the second quarter of the year. We do see demand for the new products launched; and expect growth of 20-30 per cent in the year.
“We are going to start production in India in 2017.”
Having established its presence in approximately 130 countries, about 95 per cent of Volvo Penta´s sales are made outside of Sweden. Giorgio Paris, President Region EM&APAC, AB Volvo Penta, shares more with SUDHEER VATHIYATH.
The BAUMA experience: I have attended BAUMAs in different parts of world including China and Germany and, of course, India. It was 10 years ago when I made my first trip to India, and being a former board member in Volvo India, I am well-acquainted with the country´s business.
As a manufacturer of engines, events such as BAUMA are an opportunity to interact with our Indian customers and understand their expectations on us as an engine supplier.
Major highlights: We have not introduced a new product this year. For us, the main development is that we are going to start local production in 2017. As per plan, we will start production of the first engine at the VEPT plant in Pithampur around April. At the same time, we are also developing our aftermarket as well as sales. So, we are moving forward in all forms.
Offerings: We have an industrial range from 5-16 litre, where the 5 litre and 8 litre engines will be made in India. The target is to gradually increase the local content and up to ca 90 per cent is theoretically possible. The engine block, which is the heart of the engine, is already made in India.
Current market scenario: After the appointment of Prime Minister Narendra Modi, we have seen a major change in the development of the country; particularly, infrastructure and the economy have witnessed a turnaround. It has been one of the economies with higher speed compared to the rest of the world. Amid this, the development of Volvo Penta has reflected in the country as well.So we are satisfied with our operations in India and do believe there is immense potential for future growth.
Future plans: We are establishing ourselves as most competitive and offer total cost of ownership. Depending on when the government selects its emission legislations, we can select the technology for India and implement it on the products. We have developed our range with the same footprint in different steps of the emission legislation; having achieved stage 2, stage 3 and stage 4, we are preparing for stage 5, which will come into force in 2019 in Europe. The technology makes it easy to comply with any steps in emission in India as well as the rest of the world.
“We have launched five important products in all categories.”
KYB-Conmat caters to concrete production, concrete conveying, concrete transportation, concrete pumping, concrete laying and building construction. Prem Raj, Managing Director, shares more on the company´s offerings at the expo with SUDHEER VATHIYATH.
Industry sentiment: Demonetisation may have a short-term effect, but the industry has been growing at a phenomenal rate over the past three to four years. In 2015, we achieved 70 per cent growth and in 2016, too, we are achieving similar growth. I see a good future for the construction equipment industry, particularly for the organised sector, which believes in transparent business.
Major technologies showcased: We have been associated with BAUMA CONEXPO INDIA since its beginning in 2011 and consider it an important platform to launch a new product. This year, we have launched five important products in all categories. We have launched our 240-cu-m concrete batching plant, the biggest in India to date. We are launching two new models of concrete pump: One is 45 cu m per hour and another is 72 cu m per hour. We are also launching our range of transit mixers - 6 cu m, 7 cu m and 8 cu m - with donkey engine or main engine with PTO. In addition, we are launching a 2-tonne new rack and pinion construction elevator. So, we are showcasing different technologies to establish the company´s complete range of concrete equipment.
Response at the event: This event is the only big show in northern India and serves as a wonderful platform to showcase our products to the entire north and northeast segment.
The location: It is difficult to compare two different venues because, on one side, Greater Noida was well-organised but distance was an issue. One the other, Gurgaon is centrally located and close to the airport, but the infrastructure needs improvement. Strategically, though, this is a good location and there is a lot of scope for development.
Future plans: We are setting up a manufacturing facility in the near future in NCR and a new R&D set-up in Western India. Being a Japanese equity company, our focus is on global supplies and exports. So, the Indian operations are being developed as a global sourcing hub. We are already exporting to 15 countries and will continue and increase our exports.
KOBELCO CRANES INDIA
“From 2016 to 2017, we expect a growth rate of about 20 per cent.”
Kobelco enjoyed great success at the expo. The company sold one unit of 2,600 to Samarth Lifters (Mumbai). What´s more, it signed a contract with Shethia Erectors & Material Handlers (Mumbai) to supply 12 machines of 100 tonne in 2017, starting from April.
Yutaka (Mike) Goto, President & Director, Kobelco Cranes India, shares more on the company´s plans with SHRIYAL SETHUMADHAVAN.
Demanding sectors: Kobelco witnesses maximum demand from the petrochemical plant sector, followed by cement and steel plants. Hence, we are expecting a good market for metro and infrastructure projects.
USP of CKL1000i (the 12 machines sold): The 100 metric tonne lifting capacity Lattice Boom Crawler is a Made in India model. The prime use of this machine is for metro and infrastructure projects. The other purpose is using the machine for a supporting role for big plants.
After-sales services: We always provide good after-sales service for customers in India. We check the machine every 1,000 to 2,000 hours, and provide tips on how to use our machines. This is one of our key points to get good customer satisfaction. In some cases, we also offer on-site training to use our machines.
Make in India: We have a factory here in India and, in fact, have already started exports of some of these products to Southeast Asia and the Middle East. Further, we also try to develop skills for our employees; in future, we would like to do skill development for crane operators.
R&D: The cranes have been developed in Japan; we are doing some customisation here in India. Also, we are increasing the local content in our products. We try to be eco-friendly - not only in cranes, but excavators as well. About 5 per cent is invested in R&D; currently, we are focusing on manufacturing the best product in the world.
Expansion plans: In 2015, we bought additional land in Sri City, Chittoor district, Andhra Pradesh in India, near our existing plant, to expand our capacity; we are now waiting for the market to recover. From 2016 to 2017, we expect a growth rate of about 20 per cent.
“Our tower cranes are 100 per cent locally sourced and manufactured.”
Liebherr unveiled a new series of top-slewing cranes - NC-B cranes - with a flat-top design at the expo. The new 16 EC tower system has been developed for these cranes. Rahul Dandavate, Managing Director, Liebherr India, shares more on the company and industry with SHRIYAL SETHUMADHAVAN.
Company´s focus for the expo: We mainly focus on brand building. This is an opportunity for our customers to come and meet us and see the products on display. This year, we launched a crane at the event in two variations: 6 tonne and 9 tonne. It is completely localised, positioning us well in the market.
Manufacturing base: We have three production units in India: tower cranes in Pune, gear automotive components in Bengaluru and one more plant in Aurangabad, which is currently under construction and will start producing domestic refrigerators from April 2018. In the case of tower cranes, these are 100 per cent locally sourced and manufactured.
Smart cities: Smart cities are a major component of infrastructure development announced by the government, and there are several areas where we can contribute our products. However, at present, we do not see a lot of development on the ground. Nevertheless, with some shocking and fast movement announcements from the government´s side, the next two years are expected to be crucial.
Market share: Our biggest market share is in harbour mobile cranes with over 100 installations in India. This is followed by earthmoving equipment, where we grew by 25 per cent in 2016.
Overall sales: In terms of topline, the company´s overall growth in 2016 has been in the range of 10-15 per cent. Liebherr is an established player in the market in several segments. We are present in seven segments, of which four segments are quite established. This gives us a good leverage for next year.
Manufacturing setup: We have a huge plant in Pune, where we have the tower cranes factory. While we have built the first phase of the factory, we will slowly add more products in the second and third phase. However, at present, there are no expansion plans.
Industry growth in the next two years: Infrastructure development is the need of the hour. If the government is announcing initiatives such as Make in India or welcoming FDIs, it needs to provide the infrastructure. Also, several projects have been announced with a lot of groundwork going on. So all in all, we see the next two years as good for us.
“We are bringing affordable and suitable products for Tier-II cities.”
Mumbai-based MKG is constantly focusing on innovation, at an affordable cost. Malay Golechha, Director, MKG, shares more on the company´s offerings in Tier-II cities. On the event: The response has been amazing. Considering the new location, the connectivity is good this time. Major footfall has been from the northeast, east and northern India. We observed some genuine buyers visiting our stall and placing orders or inquiries. As a company, we have done a lot this year and required a platform like this to showcase our brand and overall product range.
I was determined to participate in BAUMA CONEXPO from April 2016 itself without depending upon the market situation.
Products on display: We started focusing on our own brand this year with a wide range of products. Some of our products are only a month old, some have been manufactured in the past four to five months and few are there for the past three to four years. But amid this, we have ensured innovation in our products. While some products manufactured are conventional, we have brought some innovative products like plastering machines, which are new to the market. Our manufacturing base is in Raipur where steel is easily available to me at a decent cost. This brings down costs, making my product more affordable. We have launched a plastering machine with outstanding specifications suitable for Indian conditions and have made it available at a better price.
Further plans: We are bringing in two new products in the passenger/material handling and concrete handling segments, which will be suitable and affordable to Tier-II cities. In these cities, 12-13 storey buildings are constructed. They don´t have specific products available for their requirements and budgets. Thus, we are trying to do something for which we will be known.
Market competiveness: Along with a product line, I have also created a dealers´ line. We first focused on building a network. The machines I have sold in J&K as well as Tamil Nadu are also getting local support. Along with the equipment, small machines from MKG come with a warranty as well.
PUZZOLANA MACHINERY FABRICATORS (HYD) LLP
“We are in aggressive growth mode in terms of existing and new product lines.”
With business volumes proportionately divided between the roads and commercial aggregate sectors, Rajender Khoda, Group Business Development Advisor, Puzzolana Machinery Fabricators (HYD) LLP, shares more on the company´s expansion plans with SHRIYAL SETHUMADHAVAN.
About the event: The response has been good for the company this year. In general, our expectations have been met. The market, especially the roads as well as in commercial aggregates sector, are performing well. As we have a major presence in these sectors , we participate in such expo´s more to brand our products as well as interaction with potential customers along with our channel partners to showcase our new products.
Offerings: We have offerings for both roads and the commercial aggregate sectors. For the coal mining segment, Surface Miners and Feeder Breakers will be our major product offerings. And, while the recent demonetisation may have brought in a short-term pain but it has not really affected our business and in the long term we feel it will be working good for us.
Manufacturing plants: We have three manufacturing plants in Hyderabad, which are supported by three dedicated foundries: One in Karnataka and two in Telangana. Expansion plans: We have plans to expand from the domestic business by launching new products for construction as well as for coal mining segments and also plan aggressively to go in to the international markets.
At present, we are in the stage of finalising dealerships in Africa and expanding our network in Middle East and may even venture into the American market. We are in the process of appointing dealers in these countries and will build on a dedicated team to look after the export business. Hence, we are in an aggressive growth mode in terms of existing product lines for both the aggregate and roads sector, along with products for coal mining.
Growth in 2017: The company´s overall business has substantially grown in 2016. We expect to end the year with growth of over 50 per cent over 2015-16. And, with the manner in which investments are coming into the roads and mining segments, we are positive and excited in terms of growth prospects. We expect to have a busy start to 2017 with healthy back orders and some exciting product launches ahead as our growth continues.
INS TUNNELING & TRENCHLESS TECHNOLOGY (I)
“We work as a JV partner with customers and provide execution support.”
Established in India for the past 11 years, Robbins Tunneling & Trenchless Technology (I) has not just been a supplier of machines but a reliable support partner for all contractors. Kapil Bhati, Managing Director, shares more on the company´s recently bagged Mumbai Metro job with SHRIYAL SETHUMADHAVAN.
Industry scenario: In the infrastructure sector, it takes time for a project to be implemented. We have been chasing the Mumbai Metro Line III for the past two years, which finally got approved last year and packages got awarded to various construction companies. As a company, we follow every project from the start. So any project we finalise takes around one-and-a-half to two years before it is concluded. Now, we have secured the order for the supply of TBM for Mumbai metro line III, and there are a couple of more projects which are in the pipeline and yet to come. Apart from the hydro and metro projects, road tunnels are coming up in a big way. Overall as a company, we have been able to perform well and have completed couple of projects, including the Bangalore and Jaipur metro in 2016.
TBM in Mumbai Metro: Robbins has tied up with L&T for the supply of two 6.65 m Crossover TBM´s for package 1 that can operate in all geological conditions, be it hard, rock, soft or mixed grounds. The biggest challenge in underground excavation is the surprises of what is coming. Also, when it comes to metropolitan cities, especially Mumbai, there are many high rise buildings and the foundations and utilities of those are deep along with substantial water ingress is expected. Hence, machines need to be designed to encounter these challenges. The TBMs to be used in Mumbai metro should be designed to work to in all strata else it will be tough to achieve the advanced rate of production to meet schedules.
Value-added approach: In the past couple of years, we have not only supplied our machines but worked as a JV partner with customers by providing them complete support in execution. This is the company´s biggest strength.
VOLVO CONSTRUCTION EQUIPMENT INDIA
“We are well-positioned to capture the roads segment and are doing well there.”
Volvo Construction Equipment is focussed on bringing the organisation increasingly closer to its clients and leveraging its business accordingly. Well-positioned with its product range to be successful in this country, the company had several new launches at the expo that are completely engineered in India. Dimitrov Krishnan, Vice-President, Volvo Construction Equipment India, shares more on the company´s plans with SHRIYAL SETHUMADHAVAN.
On the expo: Exhibitions are places where you meet potential suppliers, the general public, operator communities, owners, managers in owning companies, competitors, etc. The response and footfall has been good. Many existing big and new clients have visited us.
Focus on R&D: It always starts with identification of the customer´s needs. The sales and marketing team puts together the requirement, based on which new products are developed. It´s a cross-functional team between the sales organisation, the engineers who develop these products and the people who actually create systems and processes to support these products.
After-sales service: The reason we are successful is after-sales service. We have customers associated with us for 15 consecutive years. Our key to success is that we can always make a first sale by impressing the person with the product quality, brochure, salesmanship, etc. Plus, the experience of the product over a period of time truly keeps them with you. We invest a lot of money in developing strong capability and making it a strong competitive advantage.
Current market sentiments: The market is strong, especially the road construction and mining segments. We have seen good improvements in sectors like iron-ore mining, which were low over the years. Also, road construction is driving close to 70 per cent of demand, with which large-volume products such as excavators, compactors and motor graders have been growing at more than 40-45 per cent. This is expected to continue for the next two years.
Products for roads: We offer a wide product range for the roads segment. If you look at our excavator range, the EC140D, EC210D, EC250D and EC300D, many of these serve the roads segment in excavation building as well as in quarries that feed material to the road. Then, weProducts for roads: have soil compactors for compaction of the material, pavers to put the materials on top of the road before they get compacted again by a soil compactor or asphalt compactor if it is a bituminous material. So we have products to finish the road from start to end. Then, we have a pneumatic tyre roller that finishes the road to give a nice surface. So, we are well-positioned to capture the roads segment and are doing well there.
Future growth: We will largely focus on improving our geographic presence across the country. We have a strong distribution network with 15 dealers operating across more than 120 different locations. So, our focus will be to improve our distribution and ensure all our products are well-recognised by the customer.
“We sold five plants at the expo and many more deals are going on.”
Ahmedabad-based Macons has been catering to the Indian construction market with its innovative products. Dharmesh Surelia, Chairman & Managing Director, Macons Equipments, shares more on the company´s experience at the expo.
Response received: We got enormous response from our customers. For all four days, we met quality customers and real buyers. We will always keep offering our best-of-breed products and efficient service. We received views and enquiries for our products, which is indeed encouraging.
Focus on products: We have received a tremendous response for all our products and services, especially for our newly launched high-capacity concrete batching and mixing plant (MAC-120).
Plans for 2017: There are many plans for major expansions, both in the manufacturing sector and in the marketing of major products by representing global companies in India.
ATLAS COPCO (INDIA)
“We also provide solutions that make concrete strong.”
Atlas Copco offers a complete range of compaction equipment from rammers, forward plates, forward and reversible plates to heavier double drum rollers and trench compactors. Nitin Lall, General Manager, Atlas Copco (India), shares more. On offer: New light compaction and concrete equipment comes with outstanding compaction efficiency and best solutions for creating long-lasting concrete surfaces. We also provide the tools that make concrete strong, all the way through with our concrete vibration equipment and our concrete surface equipment. Our authorised distributor participated at Bauma 2016 and displayed the next generation of light concrete and compaction equipment.
LG 200 forward and reversible plate compactors: Our forward and reversible plate compactors all have one thing in common: they keep you going without interruption. LG200D and LG200E offer great ergonomic handle with low vibration levels. Thanks to great engineering and quality components, vibration levels are kept at bay. The engine offers good fuel-efficiency and low maintenance. Both engine-driven and the electric motor-driven LG200 are easy to operate with a forward or reverse lever and fixed handle grip. LG200D and LG200E can compact up to an amplitude of 1.9 mm at a speed of 20 m per minute, ensuring higher coverage area.
Trench Compactors: The LP 8504 is ideal for compaction on steep or soft soils where most others fail. Despite its size and power it will get up, down and around any obstacle and through the trickiest trench. The remote control comes with two cadmium-free batteries and onboard charging as standard. We recognise that some compaction jobs are tougher than others. Whether steep, tight or loose soils, the LP 8504 Trench Compactor will pull through. Clay and silt are the toughest soils there is. Add tight corners, obstacles and steep slopes and you have the home turf of the LP 8504 Trench Compactor. Despite its capabilities to handle really tough conditions, regular work in connection with backfills, parking lots or similar projects is handled equally easy. Thanks to the unibody skid steer design a 90-degree corner in a tight trench is an easy manoeuvre. The reliable Hatz engine will deliver all the power you ever need and the extra tall pads make sure you have both traction and compaction to handle your daily tasks.
CHINA CONSTRUCTION MACHINERY ASSOCIATION
“Our offerings include a complete range of construction and mining equipment.”
China Construction Machinery Association (CCMA) enjoys close cooperation with Messe Mnnchen Trade Fair Company. In fact, since 2002, it has jointly organised the world´s leading trade fair for construction, building material and mining machines and construction vehicles and equipment - bauma china - with Messe Mnnchen. Qi Jun, Chairman, CCMA, shares more with SUDHEER VATHIYATH. On the expo: BAUMA CONEXPO INDIA has been a success; this is evident from the sheer size of exhibitors and visitors. This is because India is looked upon as a potential market with immense opportunities for the world.
Products and projects: Our offerings include a complete range of construction and mining equipment. While we can supply equipment, especially for the roads and bridges segment, we have established a sub-branch for tunnelling equipment as well. Leading China-based companies in India: So far, the two Chinese companies operating successfully in India are SANY and Liugong; they have established a manufacturing and service facility in the country. While 2015 has been a profitable year for both companies, they have further witnessed growth of 30-40 per cent in sales in 2016. This is because they invested early in the Indian market with a long-term strategy. This has helped them achieve the customer´s confidence and trust and build their brand in India.
- Shriyal Sethumadhavan
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