Transforming Logistics
The Indian material handling equipment industry is expected to expand at a CAGR of 9 per cent through to 2030 on the back of the rollout of infrastructure projects and real-estate development. Lifting solutions play a key role in all these construction activities. But in these highly competitive times, there is a need to use the most economical solutions to protect bottom lines.
Said Nirag A Choksi, Director, Tacklers Engineering, “India’s MHE market size is expected to reach a CAGR of 9.8 per cent by 2027. Further, all the end-use segment/sectors such as warehouse, logistics, railways, ports, and engineering is expected to grow at 7 to 9 per cent CAGR in upcoming years. With a further focus on exports, we are likely to penetrate in newer markets with our product range and this shall assist us to achieve an overall organisational objective. With this double-edged focus on India as well as global market, we expect Techno Industries to grow by 10 to 15 per cent.”
Manpreet Sachdev, Founder & CEO, Elite Material Handling Company, said, “The MHE market in India has already grown and there are hardly any new players coming in. The industry is mostly divided into two parts; organised and unorganised. In the organised industry, the players are aware of the necessity of MHE and start to plan for the same from the start of the project. In the other sectors, industries manage without MHE.”
Avcon is a 40-year-old material handling solutions provider. “We offer a wide range of products to enhance safety and productivity across diverse industries. Our offerings include stackers, floor cranes, scissor lifts, hydraulic lifts, and truck loading solutions, providing end-to-end handling solutions for various industrial processes,” said Aniket Sawarkar, CEO, Avcon Systems.
Avcon now offers a complete range of electric and semi-electric stackers. “We have also added a range of shop floor cranes that are highly preferred by our customers for handling critical components. Our continuous R&D efforts focus on developing new solutions and moving towards automation to enhance customer satisfaction. We have adopted advanced AC motor technology for our drives, developed locally to reduce import dependency and improve serviceability,” he added.
The demand for our MHE products is rapidly increasing across multiple industry verticals. Said Sawarkar, “To meet this growing demand, we are opening a new manufacturing unit in Bhiwandi, which is five times the size of our current facility. This expansion will enable us to meet customer needs more effectively and offer our new product range with significantly shorter delivery times.”
Industrial cranes
Speaking on the market for industrial cranes in India, Neeraj Waghela, Head “ Product Development, ElectroMech Material Handling Systems (India), said, India has been undergoing significant increase in infrastructure development across various sectors, including manufacturing, logistics, construction, and ports. Industrial overhead cranes are essential equipment for these industries, driving demand.
ElectroMech has dedicated R&D team to work on new developments and ideas based on customer feedback and market surveys. R&D team has been working on several projects and has launched few innovative products in last couple of years and response to these products has been amazing.
ElectroMech is amongst the largest manufacturers of industrial overhead cranes with more than 15,000 solutions supplied over and above 60 countries across the world. Said Waghela, We are recognised for our customised, heavy duty and modular solutions that address challenging material handling requirements across a wide spectrum of industries. We offer electrically-operated overhead cranes, gantry cranes, stacker cranes, explosion proof cranes, rubber-tyred gantry crane, battery operated transfer car, process crane, wall travelling crane and jib crane.
He added, Digitalisation and automation in crane design has been focussed over last few years and same has been incorporated in recently supplied products. These have been very much appreciated in the market as it helps in improving overall operation and availability of equipment.
Everest Engineering Equipment offers an innovative passenger hoist, operating on a single mass section, making it the largest of its kind globally with a capacity of 3.2 tonne. Notably, it can adapt to different capacities, such as 3.2 tonne and 2.7 tonne, each with its own speed specifications. The hoist's length, initially at 4 m, can be reduced to 3.6 m or 3.2 m, offering versatility in accommodating 38 people or 32 people, respectively.
Said PV Ramdev, Managing Director, Everest Engineering Equipment, “The hoists most significant feature lies in its design flexibility. Users can adjust its length, speed, and capacity according to site requirements without the need for separate hoists. This innovation addresses various needs within the industrial sector, particularly in applications like steel and cement plants, providing a comprehensive solution for lifting diverse parts and aiding in the construction of permanent structures.”
Crawler cranes
New or less than five-year-old crawler-mounted cranes above 150 mt capacity (150 mt, 250 mt and 500 mt) from Chinese manufacturers are delivering the most value for money in terms of capital and running costs, says Sahajveer Anand, Managing Director, GT Nova Equipments, a player in the crane rentals space.
“Chinese crane manufacturers such as Sany, XCMG and Zoomlion are offering crawler-mounted cranes at very competitive, even cut-throat prices,” he continues. “These machines cost roughly half of their Japanese (Kobelco) and German (Demag or Liebherr) counterparts but deliver the same return on investment. What helps is that Chinese brands have tied up with all the leading banks for very attractive finance terms, which reduces the debt EMI burden on the buyer, a big incentive to invest. So, we buy via imports as well as directly from the OEM in India. For us, a lower capital investment means we can offer the crane or lifting solution to clients at a lower rate.”
Anand explains that he qualified his preference to models that are up to five years old because new cranes are covered by a company warranty and, thereafter, need very minimal maintenance for at least five to six years. Also, their daily consumables and spare parts for servicing are readily available, which shortens the breakdown period and enhances the revenue generation for both the crane owners and rental clients. Other running expenses such as staff salaries, insurance, transportation and consumables are broadly similar across the board. He expects this value gap to continue for at least the next four to five years as the Government accelerates spending on capital goods and infrastructure projects.
“We recently took delivery of multiple units of the Sany SCC7500A 750-t crawler crane, to further strengthen our fleet catering to the wind energy sector,” says Manish Pandey, Vice President, Sales & Marketing, Sanghvi Movers, a leading crane rental company catering to core sectors such as power, petrochemicals, cement and steel. “Sourcing from Chinese OEMs can meet stringent timelines and cost requirements, both essential to provide value in a competitive market. We work closely with OEMs like Sany to ensure that their cranes are built to the highest standards of quality and safety.”
Sanghi Movers has its own team of experienced technicians who regularly maintain and service cranes and ensure reliability.
“So, after-sales service isn’t our top priority,” he shares. “Safety is top priority. We are an ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 certified company. We also prioritise diversity so we source crawler cranes (70 mt to 1,600 mt) and truck-mounted cranes (20 mt to 350 mt) from reputable OEMs, including those from the US, Germany, Japan and China to ensure equipment that is cost-effective for the Indian market and meets global quality and safety standards.”
Tower cranes
“We opted for a Zoomlion model when we needed a 64-t tower crane that could lift 15 t at an 80-m radius, a capacity that hadn’t been used in India previously,” says Pramod B Joshi, Additional General Manager (P&M Head, All India), Ahluwalia Contracts India. “We considered Potain, Comansa, Liebherr and Terex models (for that and a 25-t tower crane) but the capital cost of a European model would have been more. The running cost and maintenance of a tower crane are minimal; that did not impact our decision.”
“Zoomlion was able to deliver the cranes quickly (we needed them for the construction of railway stations) and with negotiable payment terms,” he adds. “Price plus quick delivery is why Zoomlion has captured about a third of India’s high-capacity tower crane market.”
“Zoomlion’s equipment, particularly their tower cranes, has proven to be a reliable asset on our sites,” says Jitesh Nair, Senior Vice President (Operations), Prescon Group. “We use models engineered for durability, efficiency and cost-effectiveness, with advanced safety features, superior lifting capacities and energy-efficient operations, significantly reducing long-term operational costs. The capital investment in Zoomlion equipment is justified by low maintenance requirements and extended lifecycle, making them a prudent choice for large-scale construction projects.”
“For 6-t to 10-t tower cranes, we prefer ACE products because of their favourable cost and excellent service,” says Joshi. “ACE has a large number of trained technicians that it deputes to sites immediately in the eventuality of a breakdown, unlike other brands that take time (even two to three days) to send their technicians. Potain models also perform well but cost more than other Indian and Chinese brands.”
Forklifts, hoists, platforms
Spartan’s vertical transportation solutions, particularly their hoists, are robust and reliable, opines Nair. “They are responsive to service requests and the availability of spare parts further enhances their value proposition. Also, their commitment to innovation and customer service makes them a viable option for projects where quick turnarounds and operational support are crucial.”
Zoomlion’s aerial work platforms provide excellent manoeuvrability and stability, which are critical for high-rise construction, he continues. “They are versatile and cater to a variety of construction needs while ensuring safety and efficiency at heights, which translates into lower running costs as they require minimal maintenance.”
Overall, the MHE market in India is set for growth, with opportunities for innovation and investment. Companies that adapt to these trends and invest in technology will likely thrive.
QUICK BYTES:
- MHE industry is expected to expand at a CAGR of 9 per cent through to 2030.
- There’s a lack of skilled workforce trained to operate and maintain advanced MHE.
Challenges in MHE
- Infrastructure limitations: Inadequate infrastructure, including poor road conditions and insufficient warehousing facilities, hampers the efficient movement of goods and the use of advanced MHE.
- High initial costs: The cost of advanced MHE can be prohibitively high for many businesses, especially small and medium enterprises (SMEs), which may struggle to invest in modern equipment.
- Skilled labour shortage: There’s a lack of skilled workforce trained to operate and maintain advanced MHE, which can lead to operational inefficiencies and increased downtime.
- Regulatory hurdles: Navigating through complex regulations and compliance requirements can be cumbersome, delaying the adoption of new technologies and equipment.
- Maintenance and service issues: Limited availability of reliable service and maintenance for advanced MHE can lead to increased downtime and operational disruptions.
- Technology adoption: While there is a push for automation and smart technologies, many companies are hesitant to invest due to uncertainty about ROI and the need for integration with existing systems.
- Supply chain disruptions: Global supply chain challenges can affect the availability of components and parts needed for MHE, impacting production timelines.
- Environmental regulations: Adapting to increasing environmental regulations and sustainability expectations can be a challenge, requiring investment in eco-friendly technologies.
- Market competition: Intense competition among manufacturers and suppliers can lead to price wars, impacting profitability and innovation.
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