We are introducing a high-performance, no-maintenance breaker
We are going to concentrate on demolition and ground improvement attachments. These are the areas which are expected to witness good and strong growth, says Sunil Newatia, Chairman, Suretech Infrastructure. Excerpts from the interview.
How do you rate the growth in 2012? Has the slowdown impacted your bottom lines?
The growth in 2012 has been flat.We are happy to have maintained our last year?s performance levels in adverse and trying conditions.Bottom lines have definitely been impacted, more due to higher interest costs as we have struggled to collect our outstanding dues from the customers. Acute liquidity crunch in the market has been a major problem this year.
When do you expect a recovery and what is the envisaged growth?
We expect the market to show signs of recovery by early 2013.Once the gover?n?ment starts clearing the stuck projects and releasing funds, the construction and infrastructure industry will bounce back.
How do you assess the changing trends in the use of attachments with excavators and loaders for the demolition segment?
Hitherto, the customers were using conventional methods for demolitions but increasing demand and the pressure of fast execution has compelled the contractors to look for equipment that can deliver.Demolition attachments like crushers, pulverisers, crusher buckets, high performance breakers, vibro rippers, etc, are now in demand. Excavators worldwide are used for a variety of applications which was missing in India as here excavators were primarily used for digging, with a beaker for quarrying.We have been promoting attachments for the last ten years and educating customers on the efficacy of these in optimising the utility of an excavator.We can now see the change in the general mindset and the willingness to try out new methods and equipment.
Since the demolition equipment is still in a nascent stage, has it dampened your growth prospects?
The rock breaker market has been growing steadily over the years along with the excavator sales as this has been the only attachment that has been understood and accepted by the contractor community.We are now introducing a high-performance, no-maintenance breaker which should change the way this attachment has been perceived over the years. Regarding other demolition attachments, it is in a nascent stage.Growth will happen as demand picks up. Currently, we are not even factoring the sales of these products in our growth forecasts.
Could you brief us on the JV with TABE?
TABE is a Spanish manufacturer of quality attachments since 1965 and a leading brand in Europe, Latin America and Russia. TABE has always been aiming to simplify technology, making their products highly efficient and very easy and low in maintenance.TABE is now neck-to-neck with Montabert in France, where Montabert has been a leader for decades being an inventor of rock breaker technology.
As you are aware, we have always brought the best to India and represent the industry leaders.We found TABE?s products in sync with our product profile and our corporate strategy. We have signed up with TABE to offer the best in rock breakers, vibro rippers, crusher buckets and demolition attachments to the Indian construction industry. Worldwide you will find companies making either one of these attachments whereas TABE offers the entire range easing the parts stocking and serviceability headaches for the customer.
What is the total market for rock breakers, in terms of value and units?
I think the market for rock breakers last year was around 3,500 units and in value terms it could be approximately Rs 250 crore.This market has so far been dominated by the highly maintenance intensive Korean breakers but with customers now demanding quality and lesser headaches of maintenance, I foresee a change in market dynamics. The demand for efficient and low maintenance beakers is steadily growing.
Which are the major segments focused by Suretech for its attachment business?
We are going to concentrate on demolition and ground improvement attachments.These are the areas which are expected to witness good and strong growth. Another area to be kept in mind is material handling. Lack of knowledge and product awareness is the result of sluggish demand for these attachments at the moment but with the maturing market, I am sure this area will grow in the near future.
Tell us about the sales network and service you offer to clients.
Suretech has an all-India coverage with offices in Mumbai, Delhi and Chennai.We are already providing sales and service to our customers nationally for foundation engineering products. We are not looking immediately at mass sales but at catering to very discerning and quality conscious customers as we offer high quality attachments which are not cheap.
The rock breaker market has been growing steadily over the years along with the excavator sales as this has been the only attachment that has been understood and accepted by the contractor community.
How do you rate the growth in 2012? Has the slowdown impacted your bottom lines?
The growth in 2012 has been flat.We are happy to have maintained our last year?s performance levels in adverse and trying conditions.Bottom lines have definitely been impacted, more due to higher interest costs as we have struggled to collect our outstanding dues from the customers. Acute liquidity crunch in the market has been a major problem this year.
When do you expect a recovery and what is the envisaged growth?
We expect the market to show signs of recovery by early 2013.Once the gover?n?ment starts clearing the stuck projects and releasing funds, the construction and infrastructure industry will bounce back.
How do you assess the changing trends in the use of attachments with excavators and loaders for the demolition segment?
Hitherto, the customers were using conventional methods for demolitions but increasing demand and the pressure of fast execution has compelled the contractors to look for equipment that can deliver.Demolition attachments like crushers, pulverisers, crusher buckets, high performance breakers, vibro rippers, etc, are now in demand. Excavators worldwide are used for a variety of applications which was missing in India as here excavators were primarily used for digging, with a beaker for quarrying.We have been promoting attachments for the last ten years and educating customers on the efficacy of these in optimising the utility of an excavator.We can now see the change in the general mindset and the willingness to try out new methods and equipment.
Since the demolition equipment is still in a nascent stage, has it dampened your growth prospects?
The rock breaker market has been growing steadily over the years along with the excavator sales as this has been the only attachment that has been understood and accepted by the contractor community.We are now introducing a high-performance, no-maintenance breaker which should change the way this attachment has been perceived over the years. Regarding other demolition attachments, it is in a nascent stage.Growth will happen as demand picks up. Currently, we are not even factoring the sales of these products in our growth forecasts.
Could you brief us on the JV with TABE?
TABE is a Spanish manufacturer of quality attachments since 1965 and a leading brand in Europe, Latin America and Russia. TABE has always been aiming to simplify technology, making their products highly efficient and very easy and low in maintenance.TABE is now neck-to-neck with Montabert in France, where Montabert has been a leader for decades being an inventor of rock breaker technology.
As you are aware, we have always brought the best to India and represent the industry leaders.We found TABE?s products in sync with our product profile and our corporate strategy. We have signed up with TABE to offer the best in rock breakers, vibro rippers, crusher buckets and demolition attachments to the Indian construction industry. Worldwide you will find companies making either one of these attachments whereas TABE offers the entire range easing the parts stocking and serviceability headaches for the customer.
What is the total market for rock breakers, in terms of value and units?
I think the market for rock breakers last year was around 3,500 units and in value terms it could be approximately Rs 250 crore.This market has so far been dominated by the highly maintenance intensive Korean breakers but with customers now demanding quality and lesser headaches of maintenance, I foresee a change in market dynamics. The demand for efficient and low maintenance beakers is steadily growing.
Which are the major segments focused by Suretech for its attachment business?
We are going to concentrate on demolition and ground improvement attachments.These are the areas which are expected to witness good and strong growth. Another area to be kept in mind is material handling. Lack of knowledge and product awareness is the result of sluggish demand for these attachments at the moment but with the maturing market, I am sure this area will grow in the near future.
Tell us about the sales network and service you offer to clients.
Suretech has an all-India coverage with offices in Mumbai, Delhi and Chennai.We are already providing sales and service to our customers nationally for foundation engineering products. We are not looking immediately at mass sales but at catering to very discerning and quality conscious customers as we offer high quality attachments which are not cheap.
The rock breaker market has been growing steadily over the years along with the excavator sales as this has been the only attachment that has been understood and accepted by the contractor community.
A-303, Navbharat
Estates,
Zakaria Bunder Road,
Sewri (West), Mumbai - 400 015,
Maharashtra, India
+91-22-24193000
Subscriber@ASAPPinfoGlobal.com