Liebherr is open to feasible customised solutions...
When it comes to equipment selection, fuel and energy efficient parameters are con?si?dered to be the two major parameters that constitute the operating cost of a machine, says Ghananeel Molankar, Sales Manager - Crawler Cranes and Foundation Equipment, Liebherr India. Excerpts from the interview with Equipment India.

What is the business outlook for foundation equipment in the current fiscal given that the vibrancy seems to have disappeared?

We have seen a steep fall in the demand of foundation equipment since last eight to nine months. The construction equipment industry has a direct proportional equation with the infrastructure sector. If the infrastructure sector booms, equipment sales are bound to happen. The current scenario has slowed the momentum of the industry. Yes it is true that the vibrancy in the market is lost; having said that, we still hope that speedy clearances of projects will bring back the energy into the industry. The current situation will have its effect on the current fiscal.

What are the challenges you face as a manufacturer and service provider, especially in terms of the devaluation of currency, inflationary trends, high costs of funding, and of course, lack of sizeable projects? How do you counter these issues?
A
ccording to the Finance Ministry, the rupee has lost a sharp 20 per cent against the US Dollar in the last year. This has indeed made imports more expensive and business here tougher. Funding from Indian financial institutions has become more expensive compared to the past. Yes, sizeable projects for the moment have been stalled and it has affected every manufacturer doing business in India. Manufacturers like us do not have control on the economic situation; however we hope that the situation will improve.

For the moment, to overcome the situation we have advised our clients to opt for foreign funding for their machines. There has been a significant increase in interest from foreign banks to fund in India. We have come across some foreign banks that are actively operating in India and are willing to help Indian customers by offering better interest rates.

How challenging are the technical requirements of the Indian market? Does it in any way provide easy access to import from Low Cost Countries?
Liebherr drilling rigs meet the technical requirements of the Indian market. We are confident about the performance of our rigs. Liebherr drill rigs have a robust superstructure mounted on a heavy-duty undercarriage which is borrowed from our heavy-duty cycle (HS Series) crawler cranes. The strong leader has a high rigidity and high lifecycle and is well supported by parallel kinematics which enables drilling at bigger radius compared to the others. Also, a very big advantage we have with the LB series drilling rigs is the Platform system. The LB 20 and LB24 share a common platform and the Lb 28 and LB 36, too. This means that the rotary unit of LB 24 can be mounted on a LB 20 and the rotary unit of LB 36 can be mounted on a LB 28. This increases the utility of the rig and overall fleet value, saving a huge capital expenditure on case- to- case basis. All our imports are from Nenzing, Austria.

Do you expect any government-specific incentive for the growth of the industry, especially in terms of operational and procedural issues?
According to a report by Federation of Indian Chambers of Commerce and Industry (FICCI) and research firm Ernst and Young, 78 projects were delayed in the road and transport sector followed by 47 in power and 31 in oil and gas sector. Issues like slow economic growth and land acquisition problems need to be addressed to enhance overall growth. These are the biggest growth incentives for the moment. The confidence of the industry has been shaken by the current situation.

What are the technology/product trends in the market in terms of more fuel and energy-efficient equipment, safety of the machine and personnel?
When it comes to equipment selection, fuel and energy efficient parameters are considered to be the two major parameters that constitute the operating cost of a machine. The lowest bidder gets the project and hence, companies always see that the operating cost of their machines is less so that their bidding numbers are less. Customers in India have always focused on fuel- efficient technologies.

How have the CFA and other advanced trends like micro piling been accepted here?
The Continuous Flight Auger (CFA) method has not been used on a large scale in India. The main constraints involved in CFA are the soil conditions and the availability of concrete on the job site. CFA is a faster method than Kelly drilling, provided the above constraints are in your control. Considering the geography in India, it can be said that the soil conditions vary widely. These are the probably the reasons that CFA is not being used widely.

Is there a shift from Kelly bar piling rigs towards cast in-situ integrated piling rigs?
Whether to use an integrated piling rig or a conventional drill rig all depends on the nature of work to be done. In India so far we have seen a huge number of conventional drill rigs and very few integrated piling rigs. For the moment, Kelly drilling application is widely used for cast in-situ piles and integrated piling rigs are used mostly for driven piles. Based on the enquiries we received till now for foundation equipments (drill rigs), we see that in many cases, the cast in-situ plies method was used. Customers always opted for Kelly drilling application as it is simple and in use for a long time in India. If suitable soil conditions exist, then driven piles are faster compared to the cast in-situ method.

Most of the time the rated output an OEM promises is never achieved on the site. Why do you think this is so?
The following parameters will affect the performance of the machine on the job site:

Soil report: It is very important to know soil conditions before offering the drill rig to the client. The soil report suggests the composition of soil at various depths and accordingly, its different characteristics. With the help of the soil report we know which type of soil we are drilling in and also the type of rock to be drilled.

Operator: The skill level of the operator also plays an important role. Liebherr provides training to operators so that they use the drill rig in the most efficient and safest way.

Drilling tools: The overall result of the drilling operation also is largely influenced by the drilling tool. For example, we need proper and appropriate rock cutting tools for cutting or penetrating rock.

Method: An important aspect in achieving efficiency and profitability in drilling piles is the appropriate method of drilling. Considering the type of soil, pile and nature of job proper method must be chosen to achieve the desired results. Some of these methods are Kelly drilling, continuous flight auger and double rotary method. All of above must be considered to achieve the desired pile in the most efficient, appropriate and economical way.

What is the range of products and services offered by Liebherr? Is customisation a trend in today's scenario?
We represent the crawler cranes and foundation equipment department of LiebherrWerknenzing. We offer two types of crawler cranes, the LR and HS series. The LR series consists of normal lifting cranes ranging from 100t to 300 t capacity (six models) and HS series consists of heavy-duty cycle crawler cranes ranging from 43.5 t to 200 t capacity (seven models). We also offer foundation equipment ? the LB series which consists of drilling rigs ranging from 16tm to 36tm torque (five models).

Liebherr is always open to feasible customised solutions that will ultimately benefit the customer. Yes there are times when we do come across situations where we have to offer innovative solutions. Usually these enquiries pertain to HS series machines or foundation equipment. The Liebherr LRH 100 is a fine example which is an indigenously developed for hammering precast piles.

The rental segment seems to be hit hard. What is your take on this, and how has this dip been reflected in your performance?

The rental market has been hit very hard and has indirectly affected all drill rig manufacturers along with piling contractors. On an average, 50 to 60 per cent of the total amount of piling rigs in India is idle. Speaking to contractors, we find that this is the worst phase they have ever encountered up till now.

Is there any new product launched recently / or on the anvil?
There are no new product launches planned for this year.