In an interview with B2B Purchase, D. Raju, Managing Director, Kirby Building Systems India, shares why PEB industry will venture into untapped areas such as structural steel
Please discuss on the recent status of Indian PEB industry.The slowdown in the global economy and low GDP growth rate of Indian economy has affected the Indian PEB industry. India is experiencing delay in capex spending by many companies. Although the volume dropped as compared to 2012, Kirby has maintained its dominant position in the PEB market.
In the last couple of years, manufacturing sector in India has been witnessing a subdued growth. The Indian economy is expected to recover in next few quarters; therefore, we are optimistic of our business in 2013 and 2014 as well.
What are the potential application areas for PEB in the next few years?Structural steel is an area which is not yet tapped completely and has very high potential due to very less number of organised players. This segment consists of mostly unorganised players which cater to the requirements by site fabrication over many decades. But the scenario is expected to change over the next few years where demand for factory controlled fabrication will increase when compared to current model of site fabrication. Citing this opportunity, Kirby has entered this heavy engineering applications which include offices/commercial buildings/high rise buildings, shopping malls, multiplexes, power plants, oil and gas structures, steel plants, bridge girders, multilevel car parking structures, airport terminal buildings, residential buildings to cater to growing structural steel demand in the country.
With increase in manufacturing activity in the last few years, logistics and warehousing have gained significant momentum. How do you see the opportunity for PEB players?Logistics and warehousing segment has grown significantly in the last few years. Indian Government is laying emphasis on FDI in retail sector. It will give boost to PEB industry as retailers will prefer to set up stores using metal buildings to save time and cost. Kirby has already completed many such projects for Bharti Walmart and Metro Cash & Carry across India.
Alternatively, FDI in retail will increase the demand for proper supply chain management which will again give a boost to logistics and warehousing requirement. Currently, more than 70 per cent of warehouses are built using PEB, and the segment is witnessing an increasing demand with upcoming warehouse requirement.
With the onset and speedy progress of metro rail system in the next 10 years, how do you look at the scope of PEB?PEB industry will have a very big role to play in the metro rail system over the next 10 years as most of the upcoming metro rails are using the PEB technology to build their stations, workshop, repair bay, inspection bay, stabling yard etc. The major reason behind PEB technology being adopted in metro rails is because of single source responsibility, faster installation, factory controlled quality, maintenance free, energy efficiency, environmental friendliness, earthquake resistant, etc.
Kirby became the pioneer in metro rail system way back in 2005 by installing all the stations for Delhi Metro in its first phase and the workshop and stabling yard buildings. This also laid the foundation for other PEB players to enter this segment. Kirby has also executed projects for Bangalore Metro and Hyderabad Metro and is in pursuit of various other metro rail projects across India.
Is the PEB industry in India capable to meet the expected increase in demand?Yes. PEB industry in India is capable of meeting the increase in demand mainly because of supply exceeding demand. The sector consists of only 8-10 organised players who account for significant portion of the capacity.
In the last decade, Kirby has been associated with almost every mid- and large-sized Indian and multinational corporations, directly or indirectly. Kirby, with a capacity of 200,000 tonnes, comprising of two state-of-the-art plants and strong sales network through its 25 sales offices, is fully capable of meeting the requirements of the customers for near future too. Since 1999, Kirby India has executed more than 15,000 buildings spread over 20 million sq. metres of area, consisting of multitude of applications like factories, warehouses, shipyards, metro stations, showrooms, supermarkets, aircraft hangars etc. Kirby with its PEB technology has contributed significantly to industrial and infrastructure growth of the country, and we are proud to be associated with such growth and continue the same vision for future.
What are the innovations happening in the sector?Kirby India has always been at the forefront of innovation by investing in new production technologies and enhancing the performance through continuing product development. Integrating the company’s strength and expertise along with innovation has helped the company lead the Indian PEB market. Apart from the functional requirements, the company has incorporated curved roof panels, wall claddings, flashings, aluco-bond panels and other such features to improve the aesthetics of the building. The heightened emphasis on green building construction is also poised to push market expansion. For instance, to increase energy efficiency, Kirby has developed high efficiency windows and insulation for roofs, walls, ceilings and floors. The use of sky lights and solar panels on rooftops will meet daylight and captive power requirements. At the same time, they will also reduce emissions and gain carbon credits under clean development mechanism. Effective use of insulation material, louvers and other materials is also becoming part of green buildings. All the materials used in making of Kirby buildings are recyclable and eco-friendly. Kirby is always looking forward to be a part of eco-friendly products and the ongoing green revolution in the construction industry.
Brief us on your expertise in the PEB and products & solutions offerings.Kirby has been designing buildings as per the national and international standards like AISC, AISI, MBMA, BIS etc. The company uses its proprietary software and standard packages like AutoCAD, STAADPro, ProSteel etc. for designing and detailing of PEB structures. This helps in efficient customisation. One of our popular products includes KSS-600 (Kirby Standing Seam Panel) roofing system which has double-lock standing seam ends and is 100 per cent leak-proof, thereby providing excellent protections in all weather conditions. Kirby is the first PEB manufacturer in India to achieve FM Global approval for its KSS-600 roofing system. Kirby’s Hyderabad and Haridwar factories are ISO 9001:2008 certified. Kirby is also a member of the Indian Green Building Council and Institute for Steel Development and Growth. The company has also been awarded with British Safety Council membership after meeting their stringent qualifying criteria. Kirby’s internal processes and operations are well integrated through SAP, thereby ensuring the best customer service.
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