Escorts pioneered the concept of vibratory compactors in Indian market place, says Rajinder Raina, General Manager-Marketing, Escorts Construction Equipment Ltd. He also infomed that the company has introduced new style asphalt compactor model HD85 with water-cooled engine.
How do you look at the performance of road making machine industry in India?
Is the cycle reviving?In the construction equipment industry, road making machinery was amongst the first ones to register growth. The compactor volumes grew from a worst of 120 units per month to more than 350 during one of the recent months. A volume of more than 3,200 during this fiscal looks very much likely. Motor Graders, Pavers, Cold milling machine and other equipment too are witnessing a decent growth.
The current government is targeting about 30-km per day. This should drive the growth in the coming years.
When do you expect a turnaround in overall CE industry growth?
For the past six months, growth is there to see, across the segments. Different products have registered different rates of growth but a turnaround will take some time. In the past, CE industry hit its peak during financial year 2011-12. Touching these numbers will take some time but looks very much possible.
As the government is focusing on developing highways as well as rural roads, what sort of road equipment will be in demand?
Current government has embarked upon an ambitious 30-km per day of roads construction comprising highways and expressways. Rural roads under state government and PMGSY is planned in a big way too. Complete range of required equipment for asphalt top roads for all such projects is available in the market today. Cold milling machines of different sizes are also available as the demand has registered growth.
Even for concrete roads, the requisite range of equipment is available in the market place today. Different sizes and high technology slip form pavers are available as are some specialised machines. As of now, equipment required for road construction is available in full measure but for road repairs and maintenance and relaying there is room for lots more.
The Road Minister is encouraging use of superior technology in development. How do you see the acceptance of advanced road making machines in India?
Long stretches of roads are being awarded as a package with definite timelines for completion. This asks for high speed or productivity machines. Such machines need to deliver higher output with desired quality and specifications. The timelines involve penalty for delay in completion but also offers bonus clause for early completion which in turn leads to customers buying reliable and high technology machines.
Are the road contractors ready to pay the premium?
Big contractors, executing works under Hybrid projects in particular, are not averse to paying premium for high technology machines. Since the essence is timely or before time completing of the projects –the premium is worth paying. The growing market share of premium products during the last 9 to 12 months is the proof.
For a road contractor, what are the areas that need attention to attain profitability from road equipment?
To avoid cost overrun and penalty plus earn the bonus on completion against laid out timelines demands, besides other things, high availability of machines. Any breakdown has direct and collateral cost implications. A contractor needs to understand the direct and indirect cost of a machine under breakdown for which choosing the right quality or technology machine and keeping them in battle-ready condition through preventive maintenance is worth every penny spent and attention paid.
Briefly enlighten us on the latest development at Escorts CE.
We at Escorts have introduced new style asphalt compactor model HD85 with water-cooled engine. The motor grader offered is a highly improved version over the previous one. There are lots of improvements made on other models as well.
What makes your road equipment unique?
Escorts pioneered the concept of vibratory compactors in Indian market place. We have been offering the right technology per Indian requirements and operator capabilities. As the pattern of demand changes, necessary changes are incorporated in our equipment to make them deliver the right output.
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