Doosan is specialised in hydraulics and engines for its heavy line of equipment. Developed with in-house technology, Doosan?s heavy equi?p?ment has always proven to be truly efficient while benefiting the Indian market with current fuel quality, says
HS Mohan, Chief Operating Officer, Doosan Infracore India. Excerpts from the interview.

How do you view the growth prospects of CE industry, especially for the excavator segments? What are the growth enablers?
During the first quarter of 2012, the growth for excavators was over 14 per cent as compared to YoY which is encouraging. The growth factor enabling the increase in excavators market is due to upcoming projects majority in ports sector, roads and irrigation sector. With 12th Five Year Plan investment, the overall market is expected to grow up to $1,046 million. The government is going in the right direction in awarding the contracts. Any construction or infrastructure growth ultimately depends upon the government policies through which the country sees progress in all segments of construction and mining industry. This calls for a political will to award and ensure timely completion of the projects. Construction equipment manufacturers in India have set up most modern facilities meeting the global standards and some of the manufacturers are under expansion to meet the upsurge in the market.

What is the demand-supply scenario for excavators for different tonnage and horse power?
The market is continuously driven by 20T excavators with over 50 per cent market share in this class. Over 30T and above, the market has slowed down due to various mining contracts that are getting delayed for execution due to various reasons. But this segment is definitely expected to grow in the near future as the overall excavators segment will grow with CAGR of 30 per cent during the next five years.

Which is the fast-moving class in terms of tonnage and horse power? Is there any specific reason for this?
Currently, the 20T class excavator is the fast moving in terms of tonnage across India. The reasons are due to various applications it caters to, the value for money, the operational efficiency and above all, the overall contracts awarded in the field.

Many first-time buyers opt for BHL as the price of excavator below 10T is over 50 per cent more than BHLs. What is the trend now and how do you view the potential for the market segment that graduates from BHL to excavators?
BHL continues to be the most popular machine especially in the Indian market. Getting labour is becoming increasingly difficult and hence mechanisation process on a large scale is gaining momentum, where BHL and skid steer loaders are well accepted. In this segment, 8T and 15T class excavators are also growing as some of the BHL customers are also graduating to excavators. However, the disparity of BHL preference will still continue.

Is there any category shift towards the shorter tail swing?
Indian current specifications / operational requirements do not call for zero tail swing and hence it is not popular in India yet.

What are the technology trends in the mid-sized excavators?
Customers are opting for better technology, less fuel consumption and higher productivity. Hence the machines that match to the international specifications are gaining prominence in the Indian market.

The size, swing, reach, and the versatility of compact excavators are perfect for demolition duty. What is the scenario in this segment?
Even today, this application does not have a definite equipment to handle a demolition process. Hence, it is difficult to comment at this juncture. However, certain attachments can be used for demolition purpose on excavators.

AEM has updated the safety manuals for compact excavators. Do we have any such moves in the offing here?
CII has taken a lot of initiatives on upgrading the safety norms. However, it is currently worked out by a technical committee for framing the policies.

The input cost is heading north, putting enormous pressures on the OEMs. Added to this is the recent Budget putting more pressure on the manufacturing sector. How do you address these issues?
While the supplies are more than the demand, there is a price war among the manufacturers due to excess capacity. It is obviously affecting the input cost and then the overall profit margin. In addition, the exchange rate parity continues to affect all manufacturers. The benefits of the Budget have not been evaluated in the current market scenario.

How do you assess the potential for various attachments and what are the market trends?
The market trend for rock breakers on excavators is quite encouraging. However, this is still an undefined market. Other attachments like crusher bucket, ripper tooth, cutters, etc are gaining acceptance in the market for multi-utilisation of the product.

Tell us about the range offered by Doosan in excavators for various segments, and the value addition incorporated in terms of environment friendliness, safety, energy saving, and fuel consumption.
Doosan Infracore offers excavators ranging from 8T to 50T in India. The wide range of excavators offered here caters to various segments and applications right from construction, quarry, mining and so on. Value additions offered to the market are the fact that Doosan excavators are fitted with Doosan engines that match the Indian market.

Doosan is specialised in hydraulics and engines for its heavy line of equipment. Developed by its in-house technology, Doosan?s heavy equipment has always proven to be truly efficient while benefiting the Indian market with current fuel quality. Having sevenregional offices coupled with network of 26 dealers, Doosan caters to every nook and corner of the country, serving over 5,000 pieces of equipment.

Brief us on the hydraulics. How does it help in better performance and fuel efficiency?
The load sensing hydraulics used on the excavators optimises the machine performance for a particular application/usage. This helps not only increase the efficiency but also brings down the fuel consumption due to electronic control on engine governing and other applications.

What is your take on the fragmentation that is happening in the CE industry?
While the market is growing, the number of manufacturers has also increased thereby bringing best of the technology to the Indian customers. The customers will be most benefited but it will be challenging in terms of the earnings for the product as there is a pressure on the pricing of the equipment. But all manufacturers are looking to a better future in the Indian market.

Has the latest emission norms brought any design changes in the product?
Currently emission norms are applicable for BHL and tyre-mounted equipment meeting the Tier III emission norms to create a good environment.

Tell us about the plant facility and capacity. Is it fully utilised and is there any plans for capacity augmentation?
Doosan currently imports fully built machines from Korea. Doosan definitely has plans to set up a facility in India to localise these machines for customers in Indian applications and usage.

Brief us on the tracking solution offered and its advantages.
Tracking solutions are a very important for any excavator to succeed especially in all these conditions, virtually in mining and quarry applications. Beyond ways and means to improve the component life, Doosan has taken all necessary action to ensure undercarriage life and all other components fitted are of world class and highly reliable to meet customer expectations.

Any new products on the anvil?
After making an in-depth study of machines usage, customer voice and expectation, Doosan has recently introduced the DX series of excavators in India. The performance of these machines is well accepted in the market due to its reliability and value for money.