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Editor Shashikant Hegde
If opportunity doesn't knock, build a door. — Milton Berle
Deputy Editors: Sandeep Menezes (Mumbai) Renu Rajaram (Mumbai) Panel of Advisors Vikas Apte, Owner, Vipratech Consultants, Mumbai Himanshu Kapadia, Director, Construction Chemicals - ASEAN BASF South East Asia Pte Ltd (Singapore)
A decade and still counting
Prashant Mahagaokar, Director, SMC Infrastructure
t’s been a decade since we at Projectvendor started our journey to make our readers more aware and informed about the construction and engineering industry especially from the point of view of available vendors or suppliers. The last few years have been tough financially and even business sentiments were low across India. But now things are quickly changing for the better.
Tushar Mehendale, MD, ElectroMech Material Handling Systems, Pune Anand Gupta, Hon Treasurer, Builders Assn of India Pankaj Mehendale, Structural Engineer, Hyderabad Sr. Executive - Database Rupali Tambadkar DESIGN & PRODUCTION Art Director Satish Kamath Graphic Designers Nitin Parkar, Rajendra Vichare, Madhukar Ingavale SALES & MARKETING Senior Vice President Sanjeev Singh Asst. Manager - Sales Vijay Khandale (Mumbai) Senior Executive - Sales Pramod Suryavanshi (Mumbai) Subscription Rosebin Mukadam Head - Circulation Raju Chendavankar
Printed, published and edited by Shashikant Hegde on behalf of Economic Research India Pvt. Ltd., published at Sterling House, 5/7 Sorabji Santuk Lane, Opp. Dr. Cawasji Hormasji Lane, Marine Lines (E), Mumbai - 400 002 and printed at Jayant Printery, 352/54, J. S. S. Road, Murlidhar Temple Compound, Near Thakurdwar P. O, Mumbai - 400 002. Editor: Shashikant Hegde
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I
A recent Citigroup report mentions that India has “really surprised” in 2014 and it might do so again next year as the country’s GDP figure is expected to pick-up from 5.6 per cent in the current fiscal to 7 per cent in 2016-17. The Japanese brokerage firm Nomura stated that the Indian economy is expected to post a growth of 5.5 per cent in the current fiscal and at 6.5 per cent next fiscal as demand picks up, helped in large part by macroeconomic stability. Foreign investment bank Goldman Sachs reported that India would overtake China to become the fastest growing emerging market economy from 2016 onwards. These are only a few examples of the overall confidence in the Indian economy – not only amongst Indians but now even the global community. The last few years have been so depressing that nothing really worst can happen therefore the future is definitely going to be brighter. Over the last few years, we were with our readers informing them about the tough market conditions so that they were better prepared. But now going forward, we hope to make are readers aware of the vast business opportunities that will await the better informed and prepared individuals.
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Contents
INTERFACE Anand Sundaresan, VCMD - SCHWING Stetter stated that he hoped projects are implemented quickly so that equipment industry will benefit.
INTERFACE
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Sachin Khandelwal, Chief Sales Officer, Magma Fincorp explained that M&HCV segment is positive because it’s not grown for nearly 40 months.
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INTERFACE
P. Ravishankar, CEO, Ashok Leyland John Deere felt that the backhoe loader market would grow at about 5% to 10% CAGR over next few years.
INTERFACE
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Igor Palka is overseeing the third edition of the international trade fair bC India 2014. He speaks about his expectations from the event.
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EXPERTSPEAK Akhil Jha shares his insights on the current
scenario in India’s M&HCV industry while relating it to the Commercial Lubricant Market.
LEAD STORY
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Sandeep Menezes looks at subtle but important issues like safety and localization facing construction equipment industry.
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INTERFACE Sushil Gupta, Chairman - Richa Industries
Limited tells that PEB can prove to be a good option for speedy and affordable construction.
INTERFACE
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Samir Sharan, CEO – ACME Cleantech Solutions assured that materials used in prefab are more efficient and durable .
INTERFACE
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P.K. Nagarajan, CEO – TSEIL told that higher economic growth will primarily drive PEB industry growth .
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INTERFACE Gautam Suri, Founder Director - Interarch Building Products speaks about the current and evolving scenario across the PEB industry.
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Contents
INTERFACE Vishal Sharma, VP and GM, MD India, Ecolab
told that the introduction of ‘smart cities’ will need a better standard of treatment.
INTERFACE Saurabh S. Dhanorkar, MD - Finolex Industries felt 74 that investment in the irrigation sector will pick up creating a huge demand for PVC pipes and fittings.
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The water heating industry in India has seen a phenomenal change; Mathew Job traces the growth story.
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Avinash Jain explains that the increased demand for water creates an indirect demand for pumps.
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INTERFACE Dinesh Patidar, CMD – Shakthi Pumps told that
the main demand will come for industrial process pumps used for special and unique applications.
EXPERTSPEAK
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K Murali expects the Indian lubricants market would grow at a considerable CAGR rate thus exceeding $7713 million by 2017.
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EXPERTSPEAK Abhishek Saraf explains that recent emerging trend is to incorporate the essence of nature in decor by using eco-friendly wall cladding.
EXPERTSPEAK
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S. Ravichandran feels that the main future demand drivers shall be quality.
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Sitaram Saboo explained that AAC blocks are a green building material while being porous, nontoxic, reusable, renewable and recyclable.
Project Vendor December 2014
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INTERFACE Santosh Nema, CEO, RAK Ceramics India warned that the biggest concern of the industry is import of Chinese tiles in the market.
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News Watch
JCB inaugurates two new factories in Jaipur PV News Bureau
T
he Chief Minister of Rajasthan, Vasundhara Raje and JCB Group Chairman, Lord Bamford recently inaugurated two new, world class manufacturing facilities in Jaipur. These new facilities are positioned to enable JCB to keep pace with future economic growth and to further strengthen its position as a market leader in the Construction Equipment Industry. Ministers of the Government of Rajasthan; Minister of State Rajyavardhan Rathore, Chief Secretary of Rajasthan C.S. Rajan, Graeme MacDonald, Group CEO JCB and Vipin Sondhi, MD & CEO – JCB India were present for the inauguration. Speaking about the Rs 500 crore investment in Jaipur, Lord Bamford, Chairman, JCB Group, said: “The inauguration of the two Jaipur factories is a significant milestone for JCB, which has been making in India for 35 years and has grown to become one of India’s most respected manufacturers. From small beginnings in 1979, I could never have imagined that our family business would employ 5,000 people in India making JCBs, with thousands more employed elsewhere in the supply chain. The new factories in Jaipur mean our contribution to the Indian economy will grow and I am grateful to the Rajasthan Government for their support in helping JCB make our investment ambitions a reality.” Graeme Macdonald, JCB Group CEO said: “JCB has a long history of investing in long-term global growth opportunities. Today’s inauguration of two new factories in Jaipur is the beginning of another phase in JCB’s growth plans for India. It is only a matter of time before the current short-term market concerns give way to the long term growth in demand for construction equipment that will follow as the wider Indian economy picks up. Located on 115 acres of land just 35km from Jaipur city, the site is home to JCB’s single largest manufacturing footprint in India. When operating at full capacity, it will employ around 1000 people. Component manufacturing is already underway at one of the Jaipur plants and next year production will begin of telescopic handlers and skid steer loaders for the Indian market. The facility will also provide additional backhoe loader capacity from 2015. The new factories have been built in record time and incorporate world-class ecological developments, including water management, rainwater harvesting, solar power and daylight optimization. The Jaipur site has also been attractively landscaped to JCB’s very exacting global standards. 18
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Vasundhara Raje, CM of Rajasthan and Lord Bamford, Chairman JCB at the official opening of JCB's two new plants in Jaipur Vipin Sondhi, MD & CEO, JCB India Ltd said: “JCB’s new facilities in the historical city of Jaipur are worldclass in every respect, with zero effect on the environment both in terms of construction and operation. JCB India will be making products in Jaipur to the same world-class standard as the machines we make in our existing three factories in Ballabgarh and Pune. Our new manufacturing footprint, the strength of the JCB brand and our complete focus on the customer means that JCB India is well positioned to build on its own “Make-In-India” credentials and continue to deliver on its promise of product and service excellence to dealers and customers in India and in our growing export markets.” JCB India’s three manufacturing facilities include the world’s largest backhoe loader factory in the world located in Ballabgarh, near New Delhi (Haryana) and two factories in Pune, manufacturing fabrications and components – mainly for export - as well as state-of-theart heavy equipment, including large excavators, wheeled loading shovels and compaction equipment. JCB is the market leader for construction equipment in India and operates the most extensive distribution network with 60 dealers and 600 outlets across India.
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SCHWING Stetter India is a 100 per cent subsidiary of SCHWING Group of companies, an 850-million Euro German Concrete machinery manufacturer. SCHWING Stetter (India) Private Limited manufactures concrete batching plants, transit mixers for transporting readymade concrete to construction sites, pumps and concrete placing booms and recycling plants. Anand Sundaresan, Vice-Chairman & Managing Director, SCHWING Stetter told Sandeep Menezes that he hoped projects are implemented quickly so that the construction equipment industry will benefit.
Interface
High capacity machines are need of the hour
Even before the new government’s ‘Make in India’ campaign, SchwingStetter had set-up a fabrication unit at its Chennai manufacturing complex as part of its localizing strategy? How successful has been the attempt? To increase customisation of products, SCHWING Stetter has set up the F-75 Fabrication Unit at the SCHWING manufacturing unit. This fabrication unit, exclusive for customizing different variants of the boom pump, is spread across five acres with a facility area of 20,000 sqm which is operated by highly skilled workers and experts in production design. SCHWING Stetter India has recently installed a 100 KWp Solar plant to power these fabrication units at their works at Irungattukottai. SCHWING Stetter is researching with materials and new methods to increase energy efficiency be it our equipment for customers or for our captive operational needs. It is also our constant endeavour to 20
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Interface example of metro rail, there are above ground level projects as well as underground projects. Now it is a big challenge to carry out these projects without disturbing the normal traffic on the roads. Tunnel boring machines with innovative technologies are being used to complete such underground projects, without disturbing the normal day to day activities. Thus, very high capacity machines are the need of the hour for wide road concreting, wind and solar power plants and water desalination plants.
incorporate our brand promise and drive excellence in every aspect of our business and customer engagement. Commissioning of this Solar Plant is one more such initiative and first of its kind within the SCHWING Group globally. Last year, Schwing Stetter unveiled five new products along-with five new variants. How has been the market’s acceptance of those products? Any new product launches planned in near future? Our current range includes Batching Plant, Truck Mixer, Concrete Pump, Recycling Plant and Shotcreting Machine. With major projects coming up in India, we will showcase suitable products which can effectively help the customers to meet the challenges in executing the projects. We do have a few projects in the pipeline, which we will take to the media when the time is right! Now that the Indian economy is again showing sign of optimism, tell us about Schwing Stetter’s future business strategy? Going green and environmental responsibility are universally accepted concepts. Fuel efficiency comes predominantly from our truck mixers, pumps and batching plants. Also, the Germans are very particular about this. We have full support from our parent company to make sure that we also introduce environmental friendly products without compromising on quality, productivity and minimum downtime. How do you foresee the evolving growth scenario and main demand drivers across the construction equipment sector nationwide? Most of the infrastructure projects are time bound. The projects have to be completed on time and should be cost effective. If we take the
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We are witnessing major technological reforms in the Indian construction & mining equipment industry as demand for specialized and high-capacity equipment is on the rise. Comment. Investment in NHAI Projects, Port Connectivity, Smart City Development, North East Road Development Project and the 16 new Port Projects & port connectivity, are some of the initiatives which will definitely create market for the construction equipment industry. This was something which we were eagerly waiting for quite some time. We only hope that these projects are implemented quickly so that the construction equipment industry will be benefited fast. The budget clearly indicates Government’s intention towards policy reforms towards stabilising the economy and boost investment. We had expected that the retrospective
amendment issued during the last budget will be rolled back, whereas again a committee has been appointed to look into this. We hope that this committee will put an end to this problem quickly to boost investor sentiments. There are many other issues which we expected will be brought out in this budget. We have to look at the fine prints. Then we will have more clarity on these issues. When we talk about the past five years, we have faced 2 downturns, one in 2009 and the one that we are facing today. After the downturn of 2009, India was the only country to have bounced back in the very next year 2010 and we could see all round development. Definitely in the last five years, metro and mono rail projects, and high rise constructions have increased in urban areas like NCR, Mumbai, Bangalore, Hyderabad, Kolkata, Chennai, Jaipur etc. and most of our equipments are being used in such projects. These projects are time bound and speed of construction is the key factor. Besides, when you work in urban areas, space management and noise pollution are other critical aspects. The time window available for contractors to bring concrete from central plant is very small considering the traffic. Therefore, reliable high performance machineries supported with excellent service at the site are what the customers expect and Schwing Stetter India exactly meets the customer expectations. Apart from the metro rail project, our equipments are being used to build wider roads, bridges and flyovers thus aiming for de-congestion of roads to beat the traffic.
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Magma Fincorp Limited is a leading NBFC that provides a bouquet of financial products including Commercial vehicle finance, Construction equipment finance, Car and utility vehicle finance, Suvidha loans (refinance), Strategic construction equipment finance, Tractor finance, SME loans, Loan against Gold and Housing finance to individual and corporate customers. Sachin Khandelwal, Chief Sales Officer, Magma Fincorp Ltd told Sandeep Menezes that the M&HCV segment is positive because it’s not grown for nearly 40 months - now after 40 months it has to bounce back.
Interface
Most used equipment buyers have uncertain cash flows How do you foresee interest rates moving in the months ahead? I think currently there is too much pressure but the biggest stabilizing fact in the economy is that the oil imports are balancing itself out which is fabulous news. The long term view on the barrel is also really positive. The OPEC producers are also not keen to cut down on production therefore the current production is more than adequate. The drop in retail bank lending has to also be kept in mind. Older equipments are more expensive to operate. Last year the construction equipment, commercial vehicle financing segment witnessed degrowth due to tough market conditions. Going forward, how do you foresee the scenario? We should even split CV into two categories – the small & light segment, and medium and heavy segment on the other side. While CE segment depends on largely huge projects getting cleared. The replacement buying of smaller players have started. But the overall growth in the CE segment will take some time to happen maybe around six to nine months. 24
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Interface
CE segment depends on huge projects getting cleared Therefore out of the three segments: The CE segment will be stable. The M&HCV segment is positive because it’s not grown for nearly 40 months. Now after 40 months it has to bounce back. It is now unviable for the owner to continue with a three or four year old truck. The LCV segment will witness stress and maybe witness negative growth of around 10 per cent. Used construction equipment, commercial vehicle financing has been a challenging area for many financiers with none getting it perfect. Comment. Look at the number of equipments available in two districts. These equipments don’t travel large distances and therefore are deployed within that vicinity. Therefore once large projects were started in an area it created excess demand for equipments. Later a new machine buyer will sell the equipment to a second hand buyer. A second hand buyer is one who deploys on small and sub-
contracts at local level. These machines are deployed for short duration type work therefore creating uncertainty of cash flows. Therefore no assets are missing or fraudulent documents involved. Manufacturers have supported financers and financers have pushed manufacturers. Therefore there are no challenges due to process lapses. Customers are there and assets are there but the viability and of these type customers’ cash flows are just not there. Therefore the financer is reluctant to take exposure in used equipment financing. Also as equipments get older they are more expensive to operate therefore EMIs get tougher while the customer’s cashflow is uncertain due to his short duration deployments. Magma Fincorp recently reported a 13% year-on-year increase in loan book to `18,836 crore. Tell us about the contribution of construction equipment and commercial vehicle segments? Going forward, how do you foresee the scenario? The growth that you mentioned has largely come from three products. In housing, we have started booking a lot of business. Last year, the housing segment was low while this year it is much better. We have also increased our marketshare in the tractors segment. In fact we are growing by around 20 per cent. We have also grown in the used vehicle financing segment by around 18 to 20 per cent. LCV and CVC both put together is around 15 per cent of our book. Do you foresee changes in this portfolio? The industry is seeing negative growth in LCV segment. A little higher growth in M&HCV segment – but it will initially grow in large fleet operators wherein we may not have much growth. In the CE segment, we definitely see ourselves growing through CV will be flat and LCV & HCV we will be negative this year.
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Ashok Leyland John Deere Construction Equipment Company Pvt. Ltd is a joint venture between Ashok Leyland and John Deere. In recent years, Leyland Deere has emerged as a key player across the backhoe loader segment in India. The company has also been training operators on the operation of backhoe loaders, product features and benefits, scheduled maintenance and daily checks. P. Ravishankar, CEO, Ashok Leyland John Deere told Sandeep Menezes that the backhoe loader market will grow at about 5 per cent to 10 per cent CAGR over the next few years.
Interface
Backhoe loader segment size could touch around 30,000 in 2016-17 What have been Leyland Deere's main achievements since it launched its first product -the 435 Backhoe Loader in November 2011? Tell us about Leyland Deere's long term business strategy? Leyland Deere had launched 435 Backhoe Loader in the last quarter of 2011-12 financial year with a major focus on large customers. We have sold close to 1300 machines till date. In the last quarter of 2013-14 we have launched 435E backhoe loader which is targeted for First Time Buyer (FTB) / First Time User (FTU). We intend to grow our presence in the backhoe market with these products for now The backhoe loader segment in India is very competitive with many global players vying for market-share. According to you, what makes Leyland Deere products a frontrunner in this competitive segment? In terms of mileage we are better than competition, we save ½ litre per hour of operation which translates to 28
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Interface
Leyland Deere intends to grow its presence in the backhoe loader market. savings of `60000/- per year only on fuel. In terms of uptime we are at 90 per cent level due to durable parts. This level of uptime of our products is highest in the industry which translates to quicker return on investment. Our revolutionary service offering CARE - i which stands for lowest Cost of operation delivering highest Availability through most Reliable product/s with Easy to do business with Intelligent Product and Processes reduces MTTR (Mean Time To Repair) to less than 5 hrs. This ensures 20-25 per cent savings to the customers. How much growth do you foresee in the Indian construction equipment market over the next five years? Tell us about the main growth drivers? The market for construction equipment has been one of the most severely impacted in the past two years. The new government, with its focus on infrastructure, will hopefully help restore some growth. National Highway expansion program of 4 lane to 6 lane projects by NHAI, State Highways development programs and rural roads development programs typically increase the demand for backhoe loaders. Agriculture land development and associated irrigation projects also provide momentum for growth in backhoe loader segment. We hope to see several projects start work in these areas, with a stable government in place. Land development, building construction and industrial development projects will also add to backhoe loader utilization. Blue metal quarries to support road construction, as well as reopening of the mining industry opening up will support the growth of demand for backhoe loader, as the last mile material handling is economically managed with a fleet of backhoe loaders. Based on the various initiatives, we estimate that backhoe loader market will grow at a rate of about 5 per cent to 10 per cent CAGR over the next few years. What is the size of backhoe loader segment in the overall Indian construction equipment market? 30
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Size of the backhoe loader segment is expected to be around 22,000 to 24,000 for the year 2014-15. Based on the various infrastructure development programs and mining industry, the backhoe loader segment size could touch around 30,000 in 2016-17. Interest rates have started to soften although they remain high, and most equipment sales happen through financing rather than selfpurchase. What has been its effect on the industry? The impact of softening interest rates has not yet been felt in the market. However, this could support the FTB / FTU segment with more and more operators becoming owners. Currently, there exist a huge shortage of equipment operators and technicians. Tell us about the extent of shortage and ways to mitigate it? Does Leyland Deere intend to assist in training? Leyland Deere already assists in training the new operators. Operators are trained on the operation of the backhoe loaders, product features and benefits, scheduled maintenance and daily checks in order to ensure that the operator and customers are aware of the product. As and when required, operators are also trained on the scheduled intervals and call center activities to report product issues and take quick and appropriate actions to improve the uptime. India is not governed by stringent equipment safety norms like those prevailing in the EU and US. Going forward, do you feel that equipment safety norms need to be strengthened in India? Yes, equipment safety norms should be strengthened in India with features like ROPS, FOPS Cab, etc., on which regulatory bodies like ICEMA & ARAI working to improve safety norms. Leyland Deere is the only backhoe loader manufacturer in the country with ROPS (Roll Over Protective Structure) and FOPS (Falling Object Protection System) cabin. This provides operators the confidence to operate the machine and will enhance productivity.
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bC India is the nation's leading international trade fair for construction machinery, building material machines, mining machines and construction vehicles. From a student on bicycle at Messe M端nchen, Germany, the organiser of the Bauma Conexpo show, 10 years ago to CEO of bC India, Igor Palka is overseeing the third edition of the international trade fair for construction and mining equipment and material in Greater Noida near Delhi. He interacted with Prashant C. Trikannad on his expectations of bC India 2014.
Interface
Growth of the Indian CE industry is assured
Igor, what are your key expectations from the third edition of bC India international trade fair? We have been getting queries from across India, which made us confident about the impact that this show has on the construction and infrastructure sector. Trade shows are traditionally an event where companies show their latest products and innovations and I'm convinced that this year's bC India will be no difference: there will be novelties, innovative products, shows, technologies etc. For our visitors, it will be a great platform to get firsthand information in a short period of time. Apart from the change in venue, what other changes can we expect from bC India 2014 compared to the previous two editions in 2011 and 2013? I think that the new venue and its location in the north of India is, indeed, the biggest change. So far no major exhibition for the construction industry has happened in this region. Apart from that we pretty much stick to the 32
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Interface
Earlier edition of bC India concepts we had in 2011 and 2013 as they proved to be very effective for exhibitors and visitors alike. However, I'd like to point out that recently even Nitin Gadkari, Minister of Road Transportation and Highways, accepted the invitation and confirmed to visit and inaugurate this year's show. Can you give us some figures pertaining to the exhibition space, the number of exhibitors and visitors, and the kind of equipment and machinery that will be on display at bC India 2014? From the first edition in 2011 to the second one in 2013 we had an increase from 508 to 710 participating companies which was a big success and approximately a growth of 40 per cent. This year we hope to see the same number of exhibitors as in the last event and an increase in terms of visitor response by another 10 to 15 per cent compared to the 28,000 business visitors that we welcomed last year in Mumbai. We also have new players like Amann Apollo, Elgi, Layher and L&T participating this year for the first time. In 2013, we welcomed approximately 40 per cent Indian headquartered companies and more than 60 per cent of foreign headquartered companies and expect the same ratio at bC India 2014. As far as the exhibition space is concerned, bC India will take up 120,000 sq. metres. How many country pavilions are going to be there? Who are some of the new entrants to the trade fair? This year we will be welcoming exhibitors from more than 30 countries worldwide including national pavilions from China, Germany, Italy, Spain, Korea, USA and the UK With a pro-reform government in New Delhi, what impact will bC India have on construction and earthmoving equipment and its associated industries? 34
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In my eyes there is a very obvious need of further infrastructural development plans in view of the country's general need to improve the current situation. The growth of the construction equipment industry is almost assured, irrespective of the region. Looking at the current five-year plan and the huge planned infrastructure investment, I am convinced that this will attract many international clients. Also, with the new government at the Centre and its focus on infrastructure development, trade shows like bC India will be crucial. We have been visiting various states and meeting with various state governments and we have realised that all of them are looking at developing their infrastructure within next few years. This should certainly become a booster for our trade show. Igor, from a young student at bauma 2004 in Munich, Germany, to heading bC India 2014 in Noida, India, you have come a long way. Can you briefly talk about your association with this major trade fair? From my very beginnings at Messe M端nchen 10 years ago, I was somehow involved with our big shows like IFAT and especially bauma. After my first bauma in 2004 I wanted to be more and more involved with the project and organise such a show. So, there is, of course, a very emotional connection with this kind of trade fair. Therefore, I'm very proud to have the chance to realise a project like bC India in such an interesting market like India. What are your thoughts on India as an investment destination for international companies? Even though India is still facing a slight downturn, it's a country with huge potential and lots of opportunities. That's why India still is an upcoming market which will further develop. India already is a very interesting market for companies from all over the world and I'm convinced that its importance will grow even further.
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036-038] Equipment Expertspeak - Akhil Jha - Shell India.qxp
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Expertspeak
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he global lubricants market is rapidly changing. Ranking third behind the United States and China, India is one of the most important markets in the world. With GDP of USD 1,825 billion in 2012, India is the third-largest economy in Asia, after China and Japan. Historically, India has been one of the fastest growing major economies. The per capita lubricant consumption in India is quite low compared to developed countries. However, even a comparison with other developing countries like China and Indonesia reveals that there is a significant potential for growth in lubricant consumption in India. The current market scenario for M&HCV (Medium and Heavy Commercial Vehicle) lubricants across India: The automotive industry in India is one of the largest automotive markets in the world. It had previously been one of the fastest growing markets globally. India's passenger car and commercial vehicle manufacturing industry is the sixth largest in the world, with an annual production of more than 3.9 million units in 2011. Automobile production in India has experienced a strong growth of 14% from 2007– 2008 to 2012–2013. The market for commercial automotive lubricants declined in 2013 due to the retarded economic growth as well as its impact on sectors as logistics, construction, mining, and agriculture. In India, more than half of the commercial automotive lubricant market is supplied by oil PSUs.
India’s M&HCV lubricant market
Future outlook Akhil Jha shares his insights on the current scenario and the trends in India’s Medium and Heavy Commercial Vehicle industry while relating it to the Commercial Lubricant Market.
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036-038] Equipment Expertspeak - Akhil Jha - Shell India.qxp
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Expertspeak from model to model but all models have to meet the same set of guidelines as set by government. MAIN DEMAND DRIVERS & FUTURE MARKET GROWTH The market and future trends as reported by Kline & Company Inc in the Opportunities in Lubricants India Market Analysis report: TOTAL COMMERCIAL LUBRICANT MARKET In 2013, the on-highway segment consumes an estimated 460.2 kilotonnes or 61% of the total commercial lubricant market, while the off-highway segment accounts for 299.8 kilotonnes or 39% of the total Engine oil is the highest-selling product at about 60% of total commercial automotive demand, followed by gear oil and hydraulic transmission fluid (HTF) at 18% each SAE 15W-40 and SAE 20W-40 account for 45% and 39%,
Commercial Vehicle OEMs are currently looking at lubricants to provide reduction in Total Cost of Operation (TCO) through extension of oil drain interval and Fuel Economy benefits in the area of engine, gear box and rear axle oil. 2015 onwards commercial vehicles market in India is expected to move in this direction. Carbon dioxide emissions by vehicles, after the implementation of the new norms are projected to come down from 142 gm per km in 2010-11 to 129.8 gm by 202122 and 113 gm 2022 onwards. This reduction of CO2 means guideline for fuel economy development from both hardware and lubricant side. In the first phase, the government expects the passenger cars to consume 5.49 liters of fuel on average to cover 100 km by 2016, thus increasing the average mileage to 18.2 km per liter from 16.5 km in 2010-11, when the norms were initially proposed. In the second phase, the consumption of fuel will come down to 4.77 liters for 100 km, increasing the mileage to 21 km per liter. The same as per our understanding will be also considered for commercial vehicles & 2-wheelers segment. This means that in coming 1-2 years the lubricants are not only required to ensure durability with extended drain but also improving Fuel economy of vehicle which cannot be obtained by traditional lubricants but has to be met by co-engineered advance lubricants especially designed for chosen hardware. Different models will require different type of advance technology lubricants as stress factor will vary
respectively, of the total HDMO sales in the commercial automotive market for engine oils The use of monogrades, which account for 12% of total HDMO consumption in 2013, has been constantly declining The use of Fuel Economy oil is slightly increasing, accounting for 2% of the overall HDMO consumption. The usage of CNG vehicles is increasing, and CNG lubricants account for 2% of the total HDMO sales in 2013.
1. EMISSION STANDARDS The introduction of Euro IV-based Bharat Stage (BS) IV emission standards in April 2010 has lead to technical changes in diesel vehicles, such as introduction of Exhaust Gas Re-circulation (EGR) systems in vehicles. The sulfur limit under BS IV emission standards has been reduced to 50 ppm from 350 ppm. CNG and LPG as an alternate fuel demand is picking up in India especially in the cities with access to CNG & LPG for CV segment other than Passenger car. Demand for CNG specific lubricants is expected to grow in line with the growth in CNG vehicle population. Euro V-based BS V is expected to come into force by 2020 in India. 2. OEM TIE-UPS For oil companies, having tie-ups with OEMs is becoming increasingly important to increase their Project Vendor December 2014
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Expertspeak
Taloja plant of Shell India foothold in the country. The profit margin is relatively low for suppliers in the OEM market, but it provides them access to the after-sales market as well. A few suppliers are also coming up with co-branded oils with OEMs, which will help vehicle owners to associate the OEM brand with that particular supplier, and is expected to create a better brand image. In an attempt to increase their penetration in the market, many suppliers as well as OEMs have been expanding their distribution reach and dealerships, respectively, in semi-urban and rural areas. 3. OIL DRAIN INTERVAL EXTENSION Most of the new BS IV vehicles that are being launched have engines that require better quality lubricants, which typically offer longer drain. Shell has established technology in Fuel Economy lubricants for CV & fill for life lubricants for transmission. Consequently, overall growth in lubricant demand due to the growth in vehicle population, has been to an extent arrested by lubricants with long drain interval. 4. SHIFT IN VISCOSITY GRADES In engine oil, the demand for 15W-40 has superseded demand for 20W-40, and it is expected that the ratio would get further skewed in the coming years, as most of the OEMs now recommend the use of the former. Amongst gear oils, demand for monogrades has declined considerably over the last few years, while demand for 38
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multigrade has increased correspondingly. As per Kline the overall lubricant consumption in India will grow at an annual rate of 2.5% over the next five years. The commercial and industrial lubricant segments will exhibit a moderate growth of 2.3% and 1.6% per year, respectively. RECENT TECHNOLOGICAL TRENDS FOR M&HCV LUBRICANTS IN INDIA To meet the challenges on soot induced wear and viscosity increase posed by high EGR rates combined with high Sulfur fuel while maintaining the ODI, OEMs are now recommending Engine Oils with API CI-4 Plus specification for their latest models. Engine oils with API CJ-4 specifications confirming to Low SAPS (Sulfated Ash, Phosphorous and Sulfur) which were designed for low sulfur fuels like ULSD (Ultra low sulfur diesel) should be used with caution for extended drain intervals in India. Fuel Economy benefits across engine and driveline are becoming increasingly important and OEMs are looking at Lubricants to contribute to their overall Fuel Economy Target. This would mean a further downshift in viscosity grades. However many of these developments depend on Emission Norms Phasing Plan laid out by the government and availability of low sulfur fuels. (The author is Vice President Technical, Shell India Markets Pvt. Ltd.)
039] National Steel And Agro Industries ad.qxp
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Lead Story
Construction equipment
Localization, Growth &
Safety The construction equipment industry is witnessing renewed growth due to the increased focus on infrastructure development nationwide. While construction equipment industry’s growth is inevitable, Sandeep Menezes looks at subtle but important issues like safety and localization.
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W
ith the new government putting huge emphasis on infrastructure development, the need for high technology equipments will be felt. This will lead to huge growth across the construction equipment market nationwide. This growth will also give Indian manufacturers an opportunity to invest in technology and build next-generation equipments. But while the construction equipment industry’s growth is assured there is need for manufacturers to concentrate on safety which always used to be on the backburner with pricing or keeping prices lower being the priority.
Even many global manufacturers who entered India would sell low cost versions of their equipment to ensure higher sales volumes, keeping in mind the price sensitivity of Indian buyers. Few of these equipments would incorporate only bare minimum features to keep prices affordable. EQUIPMENT SAFETY Project construction sites are a risky place to work if the equipment being used does not meet the highest safety standards. At such project sites, the speed at which events happen, mixed with the sum of possible safety hazards, make heavy construction equipment safety a top priority. Often the safety of actual equipment is intertwined with the safety of the construction site itself. It is hard to separate the two variables because unsafe equipment tantamounts to unsafe site. Unlike EU and US, the equipment safety standards are lax and not clearly defined in India. Also, there is an issue with implementation and monitoring of safety norms. But with increased awareness amongst buyers about equipment safety norms there has been more priority being laid on safety features by various manufacturers. P.Ravishankar - CEO at Ashok Leyland John Deere felt that equipment safety norms should be strengthened in India with features like ROPS, FOPS Cab, etc., on which regulatory bodies like ICEMA & ARAI working to improve safety norms. S Manjunath, General Manager – Sales, Doosan Infracore India stated that with the fast changing business scenarios, customers today demand equipment that focuses not just
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Today’s construction equipment has by far surpassed conventional technological norms
on making better profitability but also to feature on safety characteristics. Even OEMs who are upgrading their existing range of equipment need to emphasize towards such technologies besides government imposing strict safety norms. TECHNOLOGY Today’s construction equipment is highly cutting-edge compared to conventional systems that prevailed a few decades ago. Like automotive industry, there is constant shift towards advanced, feature packed solution to offer better performance and productivity to customers. As specialized products are slowly gaining acceptance compared to products with general applications, the gap in technology between Indian made products and imported equipment are becoming narrower. As we could now witness the mechanization becoming inevitable with respect to precision of improvement in product, the need of specialized high-capacity equipment is catching up.
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LOCALISATION Earlier most equipment manufacturers felt it better to import and sell in the Indian market and even wherein the company had local manufacturing operations most of the components were imported. But last few years witnessed the Indian Rupee weakening, thereby making imports more expensive. This was the first big push for equipment manufacturers to source components locally and manufacture in India. Through its ‘Make in India’ campaign, the new government has pushed for the need to raise global
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Investment into infrastructure will lead to construction equipment demand
competitiveness of the Indian manufacturing sector and its being imperative for the country’s long term-growth. The National Manufacturing Policy is by far the most comprehensive and significant policy initiative taken by the government. The policy is the first of its kind for the manufacturing sector as it addresses areas of regulation, infrastructure, skill development, technology, availability of finance, exit mechanism and other pertinent factors related to the growth of the sector. In the last few years, the construction equipment market did not have growth therefore the manufacturers were hesitant to make huge investments on setting up local manufacturing capability. But now with the economy picking-up and construction equipment industry showing signs of revival, the hesitation has given way to opportunity. GROWTH PROSPECTS An investment of $1 trillion has been projected for the infrastructure sector until 2017, around 40 per cent of which is to be funded by the private sector. Around 45 per cent of infrastructure investment will be funneled into construction activity and 20 per cent set to modernise the construction industry. These huge investments into infrastructure development will be the main drivers for growth in the construction equipment industry. According to Anand Sundaresan, Vice-Chairman & Managing Director, SCHWING Stetter India the investment in NHAI Projects, Port Connectivity, Smart City Development, North East Road Development Project and the 16 new Port Projects & port connectivity, are some
Manufacturers are increasingly looking at localization of products Project Vendor December 2014
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RIGHT OF VIEW
In India, workers at site face several risks during their day-to-day work and safety here becomes a very important aspect that cannot be neglected. There are many cases where customers have started realizing the need to focus on safety aspects to which, equipment manufacturers are also taking this facet to global standards. Particularly in critical applications such as construction and mining sites, safety plays a major role and a small accident is enough to lead to downtime of the equipment. While the downtime is a huge loss to customers, safety plays a very important role in overall profitability of businesses too. — S Manjunath, General Manager – Sales, Doosan Infracore India Yes, Equipment safety norms should be strengthened in India with features like ROPS, FOPS Cab, etc., on which regulatory bodies like ICEMA & ARAI working to improve safety norms. Leyland Deere is the only backhoe loader manufacturer in the country with ROPS (Roll Over Protective Structure) and FOPS (Falling Object Protection System) cabin. This provides operators the confidence to operate the machine and will enhance productivity. —P.Ravishankar, CEO at Ashok Leyland John Deere Investment in NHAI Projects, Port Connectivity, Smart City Development, North East Road Development Project and the 16 new Port Projects & port connectivity, are some of the initiatives which will definitely create market for the construction equipment industry. This was something which we were eagerly waiting for quite some time. We only hope that these projects are implemented quickly so that the construction equipment industry will be benefited fast. — Anand Sundaresan, Vice-Chairman & Managing Director, SCHWING Stetter India
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of the initiatives which will definitely create market for the construction equipment industry. This was something which everyone was eagerly waiting for quite some time. These projects should be implemented quickly so that the construction equipment industry will benefit quickly. India has the potential to become the 4th largest global market for heavy Equipment and is expected to be one of the biggest emerging markets going forward. Moreover, if India has to successfully constitute 10 per cent of the global market by 2018, the construction equipment players also need to take key strategic actions such as design and build equipment suitable to the Indian market apart from looking at a unique export business approach. Thus, India is expected to see more competition among the existing players in the construction & mining equipment industry with such aggressive growth strategies. Need of the hour The nation has witnessed around 5-6 per cent GDP growth for many years; the government recognizes that and now we are moving towards 9 – 10 per cent of the GDP to be invested in infrastructure. Apart from government investment lot of private investment is needed as well. The more the government invests; more the private players will do so, which is a good sign for equipment manufacturers. Also, there has to be a business model for the contractors to execute and complete projects faster and hand it over back to the government and implement time bound projects. If the market has to grow then the PPP, BOT policies, R&R, land acquisition with special reference to irrigation projects have to be immediately tackled by the new central Government. Going forward, we will need to go in for technology agreements with the changing scenario. CONCLUSION There is very obvious need of further infrastructural development plans in view of the country’s general need to improve the current situation. The growth of the construction equipment industry is almost assured; the rate of itself will depend on streamlining different issues, such as government clearances and approvals, administrative and procedural reforms or generally on the pace of project executions. After the decrease in units in 2013 there should be a slight increase in 2014 unit numbers. As it most probable will pick up only from 2015 onwards after the new government’s recent initiatives start taking root.
045] Elofic ad.qxp
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046-048] Orders & Contracts.qxp
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Orders & Contracts providedetailed engineering, procurement, manufacturing of skids alongwith all related equipment.The weight of individual skidsrange from 50 to 150 tons. Some of the units will be large,multi-storied skids. Praj will manufacture these process skids as per ASME and Brazilian code requirements at it’s SEZ, Kandla units in Gujarat, India.
L&T Construction
Punj Lloyd Highway Sector: `666 crore Punj Lloyd has secured an EPC highway contract worth `666 crore from the Ministry of Road Transport & Highways (MoRT&H) for 90.586 km of the Asian Highway (AH) Network, a cooperative project for improving transport facilities throughout 32 nations and providing road links to Europe. The scope of work comprises rehabilitation and upgrading to 2/4-Lane of Bhutan Border at Pasakha to Bangladesh Border at Changrabandha comprising Jaigaon, Hasimara, Dhupguri section and MainaguriChangrabandha section. This contract includes the proposed Pasakha access road of length 6.558 km, bypass to Jaigaon and Hasimara in the state of West Bengal. The Asian Highway Network is a part of the Asian Land Transport Infrastructure Development (ALTID) project being supported by United Nations Economic and Social Commission for Asia and the Pacific (ESCAP). Also known as the Great Asian Highway, the network has eight routes in India including AH 48, funded by the Asian Development Bank. The total length of the Asian Highways in India is about 11,458 km, of which 11,432 km are National Highways and 26 km of State roads. The project is scheduled for completion in 30 months.
Praj Industries Oil & Gas: Rs.235 crore Praj Industries, a global process solutions company, has won a Rs.235 crore order for oil & gas process skids for Petrobras, a multinational Fortune 500Oil&Gascorporation based out of Brazil. QGIT, the main contractor for the Petrobras project in Brazil, has awarded the order for skids on Praj. In this project, Prajwill
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Power T&D, Water & Renewable Eneregy The construction arm of L&T has won orders worth `1576 crores across various business segments in October, 2014. Power Transmission & Distribution Business: The Business has secured new orders worth Rs. 1164 crores. A major order has been secured from the Madhyanchal Vidyut Vitaran Nigam Limited under the R-APDRP scheme. The order is for system strengthening and augmentation of power supply networks for Lucknow with SCADA compatibility to improve efficiency and power quality. The project is funded by the Power Finance Corporation Limited. The scope includes construction of 33/11kV substations, renovation and modernization of existing substations, 11kV distribution lines, distribution transformer centres, underground cabling, installation of ring main units and electronic energy meters. The Business also bagged an order from the West Bengal State Electricity Distribution Company Limited for the supply, erection, testing and commissioning of a 33/11kV power distribution network for augmenting rural electricity infrastructure and household electrification for prospective consumers covering the districts of Nadia, 24 Parganas (North) and Cooch Behar in the state of West Bengal under 12th Plan of RGGVY Scheme. The project is funded by the Rural Electricity Corporation Limited. Water & Renewable Energy Business: The Water & Renewable Energy Business has won orders including add-ons worth `304 crores. An EPC order has been received from The Drinking Water & Sanitation Department of the Government of Jharkhand for the Ranchi Water Supply Scheme under JNNURM. The scope involves the design and construction of a 172 MLD intake well with a pump house, a 114 MLD water treatment plant and a 217 km of rising mains and distribution pipelines including associated electromechanical works. Heavy Civil Infrastructure Business: Additional orders worth `108 crores have been received from various ongoing jobs of the Heavy Civil Infrastructure Business.
Ashok Leyland Automobile: $ 79.2 mn Ashok Leyland, flagship of the Hinduja Group, has bagged two large integrated transport projects in Tanzania and Zimbabwe, together worth USD 79.2 mn. Besides the supply of Trucks, Buses, LCVs, Spares and Allied Support Services (includes training and developmental consultancy), these projects will address a variety of mobility requirements in various tourism and economic development programs. Exim Bank has financed these projects under their NEIA scheme, that supports project exports from India. Vinod K. Dasari, Managing Director, Ashok Leyland said, “We have made a conscious effort to provide thrust to our international operations, and Africa is a very important part of this strategy. it is very encouraging to see our efforts bear fruit. These projects are a continuation of the many pilots we have done across Africa to offer integrated offerings and these orders have been won in the face of stiff global competition. I am confident this is the beginning of a successful new area of enhanced cooperation between Ashok Leyland, Africa and our valued customers. ”
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Orders & Contracts IN BRIEF Valecha Engineering has bagged two projects worth `157.95 crore. Details of the projects are as follows: 1) Valecha Engineering-Arnikonirman Co (JV) has bagged upgrading/improvement work of Jaleshor-Loharpatti Section of Janakpur Parikarma Road (Ch 0.00-23.00) at Kathmandu, Nepal, worth `19.88 crore. 2) Construction of Flyover and Underpass at Hero Honda Chowk at km 36.175 on Delhi Gurgaon Section of Access Controlled Highway of NH-8 in Haryana, worth `138.07 crore of NHAI. Alstom T&D India has been awarded a contract by the Ceylon Electricity Board (CEB), worth seven million Euro (INR 560 million). As per the contract, the company needs to monitor and control Sri Lanka’s electricity transmission network. Also, it will supply its first energy management system and e-terraplatform. This will enable reliable, secure and efficient operation of Sri Lanka’s hydro-thermal electricity system. Electronics Corporation of India (ECIL), has secured an export order valued at `1.8 crore from Toshiba Corporation of India. ECIL requires to supply 8.5m S Band antenna and 4.2m C Band antenna to Toshiba. These antennas form part of weather monitoring radars and will be integrated with a transmitter, receiver and radar processor provided by Toshiba. The radar antennas operating in the microwave frequency band enable accurate prediction of weather. Ricoh India has received an order from the Department of Posts, government of India, valued at `1,370 crore. The order from the government is towards a five year project of Rural Information and Communication Technology (ICT) of Department of Posts, government of India. As per the order, it involves supply, installing and maintenance services of hardware peripheral devices and operating system for the rural ICT. The company needs to cater to about 1,29,000 post offices existing in the rural areas of India. The project needs to be completed over the next five years.
HCC Civil Construction: `278 crore. HCC has been awarded `278 crore contract by the Public Works Department (PWD) of New Delhi. This is the forth order within a month that has added `1306 crore to the order book of HCC. Earlier, HCC has received two contracts from Ministry of Road Transport and Highway (MoRTH) worth `848 crore and a contract from Himachal Pradesh Power Corporation Ltd (HPPCL) worth `179.90 crore. Besides, the company has lowest bids worth `1470 crore for which the contracts are yet to be awarded. Commenting on the new order, Arun Karambelkar, President & CEO, HCC Ltd said, “Majority of the orders that HCC has received in the last one month has come from transportation sector, reflecting thereby the renewed focus of the government on the speedy growth of infrastructure. We are also confident that more orders from other sectors too would start flowing in the coming months.” The PWD contract involve building a flyover parallel to the existing single - carriageway on Rao Tula Ram Marg, a key south Delhi link to the airport, along with construction of an underpass at Benito Juarez Marg and a skywalk. This improvement is expected to decongest the stretch from IIT to the New Delhi airport. The new three - lane flyover will commence from the existing Munirka flyover and run parallel to the RTR flyover before descending near Niryat Bhawan. The length of the flyover will be 2.3 km.
IL&FS Engineering Power: `196 crore Hyderabad-based infra major IL&FS Engineering and Construction Company Limited (IL&FS Engineering Services) informed the bourses that it has bagged a contract worth `196 crore from WBSEDCL (West Bengal State Electricity Distribution Company Limited). The contract work includes construction of rural electrification infrastructure, erection works and household electrification in 24 Parganas (North) district of West Bengal under the Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) - XII Plan. The completion period is 24 months from the day of commencement of the work.
Kridhan Infra Civil Construction: `150 crore Kridhan Infra Ltd (formerly known as Readymade Steel India Ltd), a specialist in pile foundations, has bagged orders totally valued at `150 crores (S$ 31.09 million). With this order company’s current order book stands at `500 crores. Announcing the new business orders, Mr. Anil Agrawal, Managing Director of Kridhan Infra Limited said: “We are overwhelmed on the Project Vendor December 2014
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beginning of the third quarter of FY 2014-15. Undeniably, these projects offer us a great opportunity to showcase our skills in operations and quality. Supported with planning and a highly professional workforce, we are confident of executing this fast-track project in the given timeframe. This symbolizes the commitment and ability of Kridhan Infra to live up to its responsibility towards client satisfaction by executing qualitative projects for them across the length and breadth of the country.” With this, Kridhan, which bagged these contracts through its subsidiary KH Foges Pte Singapore, has now set its strong foothold across all sections of infra projects from high end infrastructure to residential projects and commercial projects.
Aksh Optifibre Limited Telecom: `102 crore Aksh Optifibre Limited has been awarded an order of about `102 Crore (USD 17 Million) for the supply of Optical Fibre Cables to be used for India’s Defence Network For Spectrum (NFS) project. The company emerged as the lowest bidder along with the state run Telco ITI., for Package F of the project which mainly covers West Bengal, Orissa, Bihar, Jharkhand, Andaman & Nicobar Islands & Sikkim. The companies will be involved in supplying and handling end-to-end deployment of an optical fibre cable backbone network for India's armed forces. The Defence NFS project consists of total OFC routes, aggregating to 57,015 km which is divided into seven packages and is planned to be completed in 18 months time. The project will be handled on a turnkey basis, intended for rollout of a nationwide OFC network and will be owned and operated by the Defence Services under the Project Implementation Core Group (PICG) of Ministry of Defence. This mega network will be deployed with state-of-the-art fibre optic cable technology which will form the backbone optical highway infrastructure 48
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and serve as a highly resilient and reliable communication media for the defence sector.
KNR Constructions Highway Sector: `109.56 KNR Constructions has been successful in securing an order worth `109.56 crore from the Madhya Pradesh Road Development Corporation (MPRDCL). The order has been awarded to the company’s 51:49 joint venture with Tomar Builders & Contractors (KNR- TBCPL). As per the order, the scope of work is widening and reconstruction of the Dabra-Bhitarwar-Harsi Road Package-C, under MPRDCL. The project needs to be completed within 24 months from the appointed date. KNR Constructions undertakes and executes construction of technically complex and high value projects across different sectors such as expressways, national highways, state highways and rural roads.
RPP Infra Projects Hydroelectric: `87 crore. RPP Infra Projects, along with its joint venture partner, Saravana Engineering Bhavani, has bagged an order of a hydroelectric project from the Kerala State Electricity Board. The order of civil work of the Bhoothathankettu small hydroelectric project (24 MW) is valued at approx `870 million. The RPP scope of work is about 30 per cent of the total contract. Apart from civil work of the Bhoothathankettu small hydroelectric project, the company requires to execute the construction of concrete power channel, power house, erection, fresh track, draft tube gates, testing & commissioning of intake gates and more. According to the contract, the project needs to be completed in 24 months. RPP Infra Projects undertakes infrastructure development such as highways, roads, bridges, civil construction work, irrigation and water supply projects and power plants.
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Richa Industries Limited is a leading Construction and Engineering company operational in Textile, Pre-engineered Building (PEB), Structural Steel & Turnkey solutions sectors. After achieving growth in textile sector, the company forayed into Pre Engineered Building sector in 2008 and has its fully operational PEB manufacturing plant at Kashipur, Uttarakhand. Sushil Gupta, Chairman - Richa Industries Limited tells Sandeep Menezes that PEB can prove to be a good option for speedy and affordable construction in urban as well as rural areas.
Interface
PEB sector has tremendous growth opportunities India is a cost sensitive market and the initial higher cost barrier is one of the reasons for lower uptake of PEB, Prefab technology. Going forward, do you feel PEB, Prefab construction could be made more affordable? It is a myth that higher cost is the barrier for PEB (Pre Engineered Buildings) uptake. Pre Engineered Buildings are today the most affordable compared to any other building systems. The most innovative, hi-tech, and faster methods have been used in construction of PEB which ensure efficient, cost effective and speedy ways to complete a project. PEB consumes the minimum amount of materials as compared to any other building systems. Compared to conventional steel buildings PEB consumes 40 50
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Madhu Silica Pvt Ltd’s Silica Processing plant - one of the highest PEB building in Gujarat by Richa Industries Ltd
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Crompton Greaves building by Richa Industries Limited per cent less steel because of use of High strength steel, optimal design & reduced scrap. PEB offers long life compared to conventional buildings as materials used are such which offer long life. In multi-storey buildings steel is used along with concrete as composite structures. Composite structures are most affordable today along with all the advantages of PEB. AAC Blocks (Aerated autoclaved concrete) are widely available in Indian market which replaces clay bricks offering 1/3rd the weight. Use of AAC Blocks with steel structures is most affordable solution to all type of buildings including houses, commercial buildings, etc. For buildings up to 7-8 stories steel consumed are less than 5.5kg/sqft. It eliminates the need for shuttering all together. Lack of awareness vis-à-vis convention building materials has led to PEB, Prefab industry not growing to its optimum potential. Comment. Yes, lack of awareness and late entry of PEB in Indian industry has been responsible for its low penetration. It was nineties when Pre-Engineered Buildings technology marked its presence in India. PEB technology was confined to few players for so many years and hence its penetration was low. Also PEB technology remained confined to industrial buildings, ware houses type of buildings in the country whereas world over PEB technology is used in all segments of building industry. PEB is now well recognized in India and it will grow much faster compared to previous years. Its inherent advantages will fuel its growth. Steel offers many advantages over other building materials and is abundantly available in India. Pre-Engineered technology will find its growth in commercial buildings & infrastructure projects. With the new government taking over the nation’s reign and putting huge focus on infrastructure development, how much growth do you foresee across the PEB, Prefab industry? PEB sector has tremendous growth opportunities and we expect a great extent of positive outcome form the government. The reasons are the
sector is not industry specific and investments coming in any form arises the opportunity for our sector. Additionally, NAMO’s focus on infrastructure with the development of railways, airports and roads will create huge business opportunities. The Government is also appraising and clearing the long held projects that will create the need for the PEB as it can help in completing these projects in a short period of time. India had a shortage of 18.8 million urban housing units with rural housing estimated to be much higher. Do you feel PEB, Prefab can emerge as a preferred mass market low cost housing option? PEB, due to its distinctive characteristics, can prove to be a good option for the speedy and affordable construction in urban as well as rural areas. PEB buildings are environment friendly and offer design flexibility, low maintenance and ease of construction. Unlike the United States where PEB is found as a pre-dominant trend of construction in both commercial and residential sectors, the India market is yet to witness this massive constructional shift in the residential sector. Lack of awareness among customers about the multiple benefits of PEB; lack of reach by PEB companies; non-availability of specialized manpower and lack of good erection & construction resources in the country are some of the major reasons hampering PEB systems to become favorable choice in the residential sectors . PEB manufacturers need to respond suitably by improving not just their own capability, but that of their supplier and builder partners as well. Setting new benchmarks of excellence through innovations in PEB process and technology is the need of the hour. In terms of safety and eco-friendly features, how does PEB, Prefab compare with convention building materials? Pre-Engineered Buildings are safer than conventional buildings as these buildings are manufactured completely in the factory under controlled conditions hence the quality is assured. PEB offers high resistance to seismic forces because it has light weight flexible Project Vendor December 2014
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Mahalaxmi TMT industrial building in Wardha by Richa Industries Limited structure whereas conventional buildings have rigid heavy frames and are not viable in case of earthquakes. Also, these buildings are heat and fire resistant. Additionally, PEB buildings are environment-friendly and energy efficient and are created with a high proportion of recycled content i.e. 70-80 per cent. Does the PEB, Prefab industry expect some kind of policy-push from the government and local bodies? PEB is emerging as the most promising industry and it has immense potential. There is a need to classify PEB as one separate industry. What is Richa’s long term business strategy in the PEB, Prefab construction segment? The strict quality control measures, adoption of most modern and state-of-the art technology, innovative concepts and adhering to strict delivery schedules have made Richa today the most trusted name in the industry. Richa has established itself as one of the successful players in Northern India and now we are planning to
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strengthen our presence in pan India. Also, we are focusing now to recognize ourselves as construction & engineering company, in place of PEB, providing PEB, multistorey, structural steel and turnkey solutions to our customers. Tell us about the recently bagged Rs 48 crore order from BHEL? We have received this project from Bharat Heavy Electricals Limited (BHEL) in Agra, Uttar Pradesh. The project is worth Rs 480 million. The area of building will be around 11,600 sq meter with standing seam roof including liner panel and insulation. Richa will construct the building with a clear span of 70.5mtrs.The project involves the construction of HVDC building for Power Grid Corporation of India Limited. The complete scope of work entails Engineering Design, Material Supply, Fabrication, Shipment, Erection and Commissioning of the building. Richa will complete the project by around middle of next year. The project is yet another benchmark for Richa Industries as it will provide us a huge platform to reflect our capabilities and in-depth expertise in the domain of Pre Engineered Buildings.
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054-057] PEB Interface - Samir Sharan - ACME.qxp
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ACME is the leading manufacturer of state-of-the-art PUF Panels with inhouse manufacturing plant, quality testing labs and strong past experience of executing large scale EPC projects. The key advantages of PUF (polyurethane) over conventional elastomers and plastics; it is stronger, tougher, more durable, and more versatile. Samir Sharan, CEO – ACME Cleantech Solutions Limited told Sandeep Menezes that materials used in prefab are definitely more efficient, durable and lesser susceptible to climatic calamities.
Interface
Prefabrication technology holds key to affordable infrastructure India is a cost sensitive market and the initial higher cost barrier is one of the reasons for lower uptake of this prefab technology. Going forward, do you feel prefab construction could be made more affordable. Prefabrication technology holds the key to affordable infrastructure in the country, while it is green and cuts down the carbon footprint in a country that is plagued with the increased emission rates of greenhouse gases. The prefab construction technology is very well accepted, rather replacing conventional construction methods, by manufacturing, logistics and commercial infrastructure sector. As the awareness about the benefits of this technology has grown i.e. the end user is realizing the that the overall project cycle cost and operational cost is much less than the conventional building, it has helped the scale of implementation and demand, in turn helping the prices to drop and this trend will continue in the coming years. This will eventually and definitely help the uptake of this technology with growing time. 54
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Interface
Prefab buildings are designed strictly as per relevant national & international standards. The other factor that will help this technology to be competitive to the conventional means of construction is the factor of scalability and adaptability in areas where the latter cannot be adopted. Lack of awareness vis-Ă -vis conventional building materials has led to prefab industry not growing to its optimum potential. Comment. As mentioned earlier, the growth of this technology will be spurred by increased awareness and financial competitiveness with the conventional means. However, we believe that the uptake of the Prefabricated products and solutions in the country has registered impressive response and that has brought a boost to companies like ACME to seriously look into this space. There is immense potential for this technology as the economy is on the upward path. The growth of prefab can also be attributed to the infrastructure development and specifications-led demand from the customers in the fields of manufacturing, process industries, poultry, dairy, pharmaceuticals, healthcare, textile and many others.
With the new government taking over the nation’s reign and putting huge focus on infrastructure development, how much growth do you foresee across the prefab industry? With the economy growing in the country, there is tremendous potential for the infrastructure growth and the industry is keenly looking towards the new government to pump-in further impetus of the industrial corridors, smart cities and such policy push shall drive the growth in the coming years. The industry will see a huge rise in near future as various governments in Delhi and other states have proposed night shelters to be built using prefab technology. India had a shortage of 18.8 million urban housing units with rural housing estimated to be much higher. Do you feel prefab can emerge as a preferred mass market low cost housing option? Prefabricated technology for construction is best-suited to help the requirement of rural-housing for bringing in benefits to the sector facing challenges of time taken for construction, location of installation where conventional means of construction are not possible owing to lack of
Prefab technology can reduce construction time. Project Vendor December 2014
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Interface
Prefab construction technology is replacing conventional construction methods raw material, workforce, transport and means of construction. These all challenges can be suitably addressed by prefab technology that will save time, use trained engineers, proven designs and scientifically planned architecture that can chart the best possible use of this technology to serve all requirements in the given landscape, ensure effective after-sales-service and mechanized installation with planning through informed-decisions at all platforms. Further, as discussed earlier the acceptability of Prefab technologies by end user in residential sector is a major challenge in India. Though we are observing that few projects are coming up for housing sector also and the implementation will increase in due course. In terms of safety and eco-friendly features, how does prefab compare with convention building materials? Material used in prefab is definitely more efficient, durable and lesser susceptible to climatic calamities and this makes the case for increased implementation of prefab. The prefab buildings are designed strictly as per relevant national and international standards & can be customized for any specific requirements related to quality and safety. The fact of the matter is that most of the conventional building material are being handled by unorganized sector and affecting the environment adversely. The mining activities involved with conventional building material are being controlled by respective state govt / authorities and does not have a national policy in this regard. 56
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It is a known fact that the embodied energy of a pre-engineering building sytem is far better than that of conventional building. Does the prefab industry expect some kind of policy-push from the government and local bodies? At the outset, we thank the current government for its vision and seriousness shown towards infrastructure growth in the country. Importantly, the scope of use of prefabricated structures in infrastructure projects can further be assessed by per capita consumption of steel in India as compared to countries like USA, China, and Canada etc. As per studies done in recent years, the per capita consumption of steel in India is appox 57 kgs PA whereas the same for China and USA is respectively 450 kgs PA and 310 kgs PA respectively. We expect the government to cater to this demand and drive this growth through policy-push and clear roadmap for the developers and the customers to fully leverage the potential of this technology. What is ACME Group’s long term business strategy in the prefab construction segment? As a pioneer in the prefabricated technology space in the country, we are working towards further implementation of this technology in various sectors like infrastructure, residential & commercial constructions, defence, shelters for telecom
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Prefab growth can be attributed to infrastructure development. equipment at telecom tower sites, cold rooms, schools, hostels, clean rooms for production & OTs, blood banks, rural health centers, floriculture, horticulture, roof-top structures, modular housing, warehouses, grain storage, high altitude accommodation, tourists huts, kiosks, and many other sectors that look forward to be benefited by the faster construction facilitated by high-technology engineering. We look forward to participate in the growth of the country through infrastructure development and serve the country. We as ACME have aligned ourselves to cater to market potential for pre engineering buildings within and outside India. With In-house design and development team backed by state-of-the art manufacturing facility, ACME is eyeing low rise insulated pre fabricated buildings for multiple applications. ACME is directly participating in Pre Engineered building opportunities with Govt and Semi-Govt sectors and providing end-to-end solutions under various schemes and program. Our approach is to provide innovative solutions including power generation and its storage, water and HVAC to end users. Tell us about some recent Prefab projects executed by ACME Group? ACME Group is the pioneer in the segment through the telecom sector and helped the telecom industry save millions through its
technologically-advanced prefabricated structures yielding the temperature-sensitive equipment, across the length and breadth of the country. The company is at present serving the sectors of process industries, manufacturing, telecom, residential and commercial accommodation, defence, warehouses and many others with its products and solutions using prefab technology. The model prefabricated infrastructure of the country – The National Games Village for 35th National Games to be held in Kerala has been constructed by ACME Group. The company undertook construction of housing units in the Games Village using PUF based Prefab Technology in EPC mode, covering design, supply, transportation, and erection at the Site including interior services. This facility will be spread over 28 acres of land belonging to Kerala SIDCO in Menamkulam and the facility will house approximately 5000 persons. The use of this technology will not only help Games Authority towards making the National Games 2014 as the ‘Greenest’ & the most energy efficient but also cost effective and time-saving. Further to lower costs involved, the advantage of having a pre-fabricated Village would also ensure negligible operation costs. It can also be relocated to any other site with only 10-15 per cent cost for dismantling an existing structure and re-assembling it. Project Vendor December 2014
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Interarch Building Products Pvt Ltd commenced its operations in 1984, and pioneered the high-end metal interior products market in India. Today, Interarch is a leading turnkey Pre-Engineered Steel Construction Solution provider in India with integrated facilities for design, manufacture, logistics, and supply and project execution capabilities for preengineered steel buildings. Gautam Suri, Founder Director - Interarch Building Products speaks to Sandeep Menezes about the current and evolving scenario across the PEB industry in India.PEB industry in India.
Interface
We see PEB industry growing at over 10 per cent year on year With the new government taking over the nation’s reign and putting huge focus on infrastructure development, how much growth do you foresee across the PEB industry? PEB industry has been growing at a significant pace since many years; with new government in power we foresee the growth at a healthy pace of over 10 per cent year on year. Once the economy comes back on track and all infrastructure projects in pipeline will be cleared. India is a cost sensitive market and the initial higher cost barrier is one of the reasons for lower uptake of PEB technology. Going forward, do you feel PEB construction could be made more affordable? We don’t agree with this fully that initial cost are higher in PEB, it depends on how a company designs and engineer the building. We have seen many examples where a RCC building is much costlier than a preengineered steel building. Also there are certain functional requirements of manufacturing like a large clear span building up to 100 M 58
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Interface some time to change the perception of the Indian consumer who is still more inclined towards RCC houses. In terms of safety and eco-friendly features, how does PEB compare with convention building materials? Our buildings made from Steel are Green as the design and construction material used significantly reduces or eliminates the negative impact of buildings on the environment and its occupants Our buildings are 100 per cent steel which is recyclable up to 90 per cent and also generates less waste and provides healthier spaces for occupants, as compared to a conventional building. Our construction sites help in reducing the carbon footprint by reducing the solid waste and construction waste. We install more 2-3 per cent natural lights/skylights in the building which reduces the need of artificial lights inside the building and saves electricity. At Interarch, our buildings are not just eco-friendly, maintenance free in the long run it enables your projects to achieve higher LEED and IGBC ratings which provides a certification for your project. or a multi-level building with high loads or multistory buildings above 24 floors which will be more economical in Steel as compared to RCC. The biggest advantage is the time benefit which you get while making in steel building; you save almost 30 per cent time and start earning early. Lack of awareness vis-Ă -vis convention building materials has led to PEB industry not growing to its optimum potential. Comment. Since the inception of the PEB technology in India in early 2000, we faced a lot of problems in terms of selling this concept but due to its undivided benefits and advantages like clear span up-to 100 m, clear height up-to 40 M, early occupancy, earth quake proof and fire resistant, low maintenance cost than RCC people have started preferring PEB nowadays. The penetration of PEB is still lower than RCC many new industries are not yet explored by the marketers, recently we have explored some new industries like steel, power, cement and are getting very good response in terms of orders and we are very hopeful that in future we will see all major construction happening in PEB only. India had a shortage of 18.8 million urban housing units with rural housing estimated to be much higher. Do you feel PEB can emerge as a preferred mass market low cost housing option? Yes we will feel the change will come to Indian market but it will take
What is Interarch’s long term business strategy in the PEB segment? We are quite upbeat about the growth of construction sector in the coming year. Stemming from the Pre-engineered buildings industry, what is taking shape is the new Heavy Engineering and larger Infrastructure projects which is the next in line for the infrastructural development of the country. Projects like Airports, International terminals, power plants, ports etc. require heavy steel structures and a different approach in comparison to Pre-engineered buildings. We see a wave which is likely to become a trend soon, from here on, in the Infrastructure division. We are confident just how the past decade we have seen a significant shift of industrial construction to wards pre-engineered construction, the same shift will happen for Infra and commercial projects in future Tell us about some recent PEB projects executed by Interarch? We have recently executed Gd+5 multistory building for Hindustan Unilever limited at 2 locations; we have done a green field expansion for JCB India and a car manufacturing facility for Honda Cars India in Rajasthan. A green field expansion for Yamaha Motors India Pvt ltd in Tamil Nadu and a 100 M clear span building for Ultratech Cement in Raipur and a hospital building for Fortis Hospital.
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062] Economy Reive.qxp
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Economy Watch
Economy slows, Project Investment stagnates during Q2 Dr. M.S.Kapadia ndian economy slowed to 5.3 per cent during Q2 from 5.7 per cent during Q1, even as the feat was marginally better than 5.2 per cent in Q2 of 2013-14. But, more worryingly, manufacturing, the powerhouse of the economy till recently, stagnated at year-ago level, dashing the hopes of a likely rebound due to 3.5 per cent increase during Q1 (against average erosion in earlier four quarters). Obviously, considering strong growth in electricity, which fuels manufacturing, the vast production facility suffers from demand side blocks like lack of export support, terribly lacking projects investment demand as also several structural problems. Agriculture, forestry and fishing was up 3.2 per cent during Q2. Apart from production of kharif crops, the growth in the sector reflects estimated production of fruits and vegetables, other crops, livestock products, forestry and fisheries. Services quickened to 7.1 per cent from 6.8 per cent in the preceding quarter and 6.3 per cent during Q2 of 2013-14. Trade, hotels, transport & communication which gets business from farm and industry sectors expanded 3.8 per cent (3.6 per cent a year ago).
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PROJECT INVESTMENT Goss fixed capital formation remained stagnant at year-ago level, continuing the dismal show of earlier five quarters (barring a sporadic 7 per cent spurt during Q1). Whereas more start-ups are announced, actual project execution has obviously not taken off, notwithstanding investment-friendly policy initiatives of Modi government on taking
ECONOMY PERFORMANCE (Y-O-Y % GROWTH) 2011-12 Q1 Q2 Q3 Q4 2012-13 Q1 Q2 Q3 Q4 2013-14 Q1 Q2 Q3 Q4 2014-15 Q1 Q2
Construction 10.8 8.9 11.9 12.2 10.2 1.1 2.8 -1.9 1 2.4 1.6 1.1 4.4 0.6 0.7 4.8 4.6
GFCF Manufacturing GDP 12.3 7.4 6.7 22.9 12.4 7.6 11.7 7.8 7.0 5.4 5.3 6.5 10.2 4.7 5.8 0.8 1.1 4.5 -4.1 -1.1 4.5 -0.6 0 4.6 4.4 2.5 4.4 3.3 3 4.4 -0.1 -0.7 4.7 -2.8 -1.2 4.7 3.1 1.3 5.2 0.2 -1.5 4.6 -0.9 -1.4 4.6 7.0 0.0
3.5 0.1
5.7 5.3
GDP AT 2004-05 PRICES DURING H1 Agriculture,forestry&fishing Mining & quarrying Manufacturing Electricity,gas&watersupply Construction Trade,hotels,transport&communication Financing,insurance,realestate & business services Community,social&personal services GDP at factor cost By Major Sectors Agriculture, forestry & fishing Industry Services 62
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` billion 2013-14 2014-15 3,359 3,478 500 510 4,166 4,239 544 595 2,053 2,149 7,252 7,490 5,783 6,360 3,617 3,956 27,272 28,777 3,359 7,261 16,651
3,478 7,493 17,806
% increase 2013-14 2014-15 4.5 3.5 -2 2 0.1 1.8 5.8 9.5 2.7 4.7 2.6 3.3 12.5 10 6.8 9.4 4.9 5.5 4.5 1.1 6.8
3.5 3.2 6.9
stalled projects off ground and easing policyrelated hurdles in several sectors. The investment rate as measured by GFCF to GDP at market prices fell to 28.3 per cent in Q2, from 28.6 per cent in the preceding quarter, 29.9 per cent during this quarter a year ago, and recent years’ peak of 33 per cent during the fiscal 2007-08. The ebb of 27.2 per cent in the investment was reached during Q3 of 201314. Despite a double-digits gush in September, capital goods production index declined over Q2, against double-digits expansion during the first quarter. Interestingly, the rot in project investment is more in terms of investment in plant & machinery and less in infrastructure and real estate investment, as real income from construction appears to be getting back its breadth. The income in construction industry increased 4.6 per cent during Q2, against 4.8 per cent in Q1 and near-stagnation in the last two quarters of the preceding fiscal. Whereas alloy, non-alloy steel production speeded from 1.8 per cent in Q1 to 3.2 per cent in Q2; cement production was up by robust 10 per cent average over these quarters. CONSUMPTION Private final consumption expenditure increased by 5.8 per cent. Government final consumption expenditure was up 10.1 per cent. TRENDS OVER H1 Evening out quarter-to-quarter variations, the economy and also the investment segment seem to be on the mend. Thus, real GDP at factor cost expanded 5.5 per cent during H1, reversing the decline to 4.6 per cent in H2 from 4.9 per cent in H1 of the fiscal 2013-14. The improvement was widely spread on a y-o-y basis; barring farm sector and finance sector which recorded lower growth than that a year ago. Project investment fared better with GFCF increasing 3.4 per cent during H1, against decline in H2 and stagnation during H1 of the fiscal 2013-14. Construction income rose 4.7 per cent, against 2.7 per cent in H1 and 0.6 per cent in H2 of the preceding fiscal. Private final consumption expenditure increased by 5.7 per cent, against 4.2 per cent in H1 and around 5.5 per cent in H2 of 2013-14. Government final consumption expenditure was up 9.4 per cent (6.5 per cent). GDP at market prices was assessed at `57.7 trillion.
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Doctors Diagnosis
Port traffic increases 7 per cent in October Dr. M.S.Kapadia
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he seaborne traffic at the country’s 13 major ports increased 7.4 per cent in October, over 11 per cent in September and 2.2 per cent decline in this month a year ago. Barring Kolkata, Visakhapatnam and Cochin that witnessed y-o-y erosion, 10 ports recorded positive growth; with six recording double-digits expansion. Seven per cent decline in freight at Cochin has come after four per cent decline in September, but 5.4 per cent increase in October 2013; the decline was due to. lower POL traffic. Fourteen per cent decline in traffic at Visakhapatnam was due to reducing iron ore loading.
SEABORNE CARGO AT MAJOR PORTS DURING APRIL-OCTOBER 2014 000 tonnes Kolkata Dock System 7828 Haldia Dock Complex 16477 Total: Kolkata 24305 Paradip 41404 Visakhapatnam 34263 Kamarajar (Ennore) 17170 Chennai 31168 V.O. Chidambaranar (earlier Tuticorin) 18299 Cochin 12845 New Mangalore 21436 Mormugao 7660 Mumbai 35278 JNPT 37518 Kandla 54695 Total 336041 Classification by cargo POL 109852 Iron ore 10097 Finished Fertilser 4557 Raw fertiliser 5175 Thermal Coal 47234 Coking Coal 18229 Containers 70257 Other cargo 70640 Total 336041 64
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% increase 8.65 -2.48 0.85 6.89 3.16 16.08 2.84 9.75 1.61 -3.64 20.46 6.98 5.31 2.31 4.64 0.00 -24.16 7.58 27.65 12.26 -2.77 5.44 13.55 4.64
Among the cargoes, barring iron ore that went down 35 per cent and coking coal that declined 18 per cent, the other commodities showed y-o-y expansion during October. These two commodities are also showing cumulative decline over April-October Finished/raw fertilizers increased 28 per cent, over 30 per cent in September and 22 per cent in August. Thermal coal quantity handled at the ports went up 36 per cent, over 27 per cent in September and 12 per cent in August, Containers and other industrial cargo increased 8-9 per cent during the month. Taking April-October period of the ongoing fiscal 201415, seaborne traffic at the ports increased 4.6 per cent annually, against 1.7 per cent in this period a year ago. Only two ports, Haldia Dock Complex and New Mangalore recorded 2-3 per cent decline in volumes. The decline in freight at Haldia was widespread, barring general industrial cargo, while that at New Mangalore was concentrated in POL and iron ore. Among the eleven ports recording positive growth, two ports enjoyed double-digits growth in business: Mormugao recorded 20 per cent increase on the strength of other industrial cargo and thermal coal. Kamarajar (Ennore) recorded 16 per cent increase due to better thermal coal and POL. Among the cargoes, raw fertilizer volume increased 28 per cent, other industrial cargo 14 per cent and thermal coal 12 per cent, even as iron ore showed 24 per cent drop during April-October, affecting adversely the business volume at Haldia Dock, Paradip, New Mangalore and Visakhapatnam. Total POL freight remained at the year-ago level.
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Project cost index spurts in October Dr. M.S.Kapadia
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ndicating that there is perhaps some upturn in project execution, ERIL Index of Cost of Project Inputs spurted 0.37 per cent in October, against declines during AugustSeptember. Also, final estimates of WPI of project investment-related material inputs (available till August) have tended to be higher than those provisionally assessed earlier. Nevertheless, the aggregate increase in project cost index during AprilOctober was one-third of and already dismal 1.2 per cent in the similar period of the fiscal 2013-14. Computed by Economic Research India Pvt. Ltd., ERIL Index measures project cost escalation in terms of WPI of material inputs relevant in project construction. Production of capital goods gushed 11.6 per cent during September, after declines in preceding two months. The average growth over H1 was placed at 5.8 per cent. Production of cement increased 9.7 per cent and alloy, non-alloy steel output 2.3 per cent cumulatively. TRENDS IN OCTOBER The aggregate wholesale price index for non-metallic mineral
products increased by 1.4 per cent during October due to 10 per cent price rise in marbles, 3 per cent each in bricks & tiles and white cement, 2 per cent each in glass bottles & bottle ware and lime and one per cent in slag cement. However, the price of asbestos corrugated sheet declined by one per cent. The combined WPI for basic metals, alloys & metal products was up by 0.4 per cent due to higher price of metal containers (3 per cent), CRC, rounds and angles (2 per cent each) and GP/GC sheets, aluminium, billets, pencil ingots, wire rods, pig iron, sponge iron and joist & beams
(1 per cent each). However, the price of steel rods, copper / copper ingots, melting scrap, sheets, copper wire (all types) and silver declined by 1 per cent. The total WPI for machinery & machine tools rose by 0.2 per cent during the month due to higher price of UPS/stabilizer (7 per cent), heat exchanger (5 per cent), electric switches (3 per cent), engines (2 per cent) and chemical plant equipments and PVC insulated cable (1 per cent). However, the price of electric motors eased 2 per cent and ball/roller bearing, compressors and pump & assembly 1 per cent each.
ERIL INDEX OF COST OF PROJECT INPUTS: OCTOBER 2014
Non-metallic mineral products Structural clay products Cement & Lime Basic metals, alloys, metal products Ferrous Metals Non-Ferrous Metals Machinery & Machine tools Industrial Machinery Construction Machinery Air Conditioner & Refrigerators Non-electrical Machinery Electrical Machinery, Batteries Electrical Accessories, Wires, Cables. Transport equipment & parts Automotives Auto Parts Composite ERIL Index for project inputs Overall WPI
Wholesale Price Index: 2004-05=100 Y-o-Y Incr. (%) Index 2014/13 173.2 4.8 195.6 10.2 167.7 2.0 166.4 1.1 156.8 1.4 169.0 2.3 134.9 2.3 152.5 1.5 141.4 3.9 120.8 3.3 127.2 2.5 138.4 0.9 157.1 4.8 136.1 0.2 135.3 -0.2 137.6 3.1 151.0 1.7 183.9 1.8
2013/12 0.7 8.0 -3.5 -1.2 -1.0 2.5 2.6 2.9 -0.1 3.5 0.9 3.0 4.2 4.2 4.7 2.1 1.0 7.2
Incr. since Mar (%) 2014 3.4 6.1 2.2 -0.7 -0.6 1.6 1.3 0.5 2.8 1.2 2.3 0.0 3.7 0.2 0.1 1.1 0.4 2.0 Project Vendor December 2014
2013 -0.7 5.9 -4.6 -0.1 0.0 2.3 1.9 1.8 -0.4 2.8 1.2 2.2 7.1 2.7 3.0 1.6 1.2 6.2 65
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Advertorial A PARTNERSHIP AS STRONG AS CONCRETE
How Volvo CE added momentum to an equipment rental company’s growth A SUCCESS STORY KNOWING WHEN TO SWITCH GEARS aurav Enterprises was founded in 1985 upon a commitment to provide the highest quality products and absolute excellence in service to customers. The goal was to build lasting customer relationships and ultimately, to be the equipment rental company of choice in every market they served. “As an equipment rental organization, our business thrives on multiple factors such as maximum fleet utilization and uptime, efficient customer service, strategic rental terms, and cost-effective solutions to clients. It is a large canvas to work on, and unless you have an efficient fleet of machines, it is difficult to survive, let alone succeed. We were looking for a Construction Equipment company that understood these dynamics.” says Mr. Rishi Gupta
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KNOWING WHEN TO SWITCH GEARS As someone said, growth is life and no one believes this adage more than Gaurav Enterprises. During the last decade, they have focused on building their fleet of rental equipment and believe that by adopting the best of technology to provide the right solutions for their clients, growth is assured. Thankfully they found an ideal partner in Volvo CE with its advanced fleet of Construction Equipment machines. With the right equipment and machinery, safety training, genuine spares and well trained service personnel, Volvo CE provided the flexibility and muscle power that Gaurav Enterprises needed to improve customer service through flexible rentals. It will be only appropriate to mention here that Gaurav Enterprises was introduced to
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“If you go and build a great experience, customers tell each other about that. Word of mouth is very powerful, and that is not just about us but Volvo CE as well.” Mr. Rishi Gupta, MD, Gaurav Enterprises
Volvo CE by Suchita Millenium, an authorized dealer of Volvo CE in East India. THE VOLVO CE SOLUTION THAT ALTERED EVERYTHING FOR THE BETTER! At Volvo, we understand that no one is more important than the customer and nothing pays as much as true customer delight. A lot has changed for Gaurav Enterprises since the company starting purchasing and renting Volvo construction equipment because of the superior technology Volvo machines provide. Today we own a fleet of 15 Volvo machines comprising of EC290 & EC210 Excavators, SD110 Compactors, G930 Graders, which have proved to be a great investment and has helped the management in scaling up their operations effectively. “Volvo CE has enabled effective control over costs and operational parameters like
equipment availability, operational expenses, equipment run time, etc., which has in turn led to improved equipment utilization and profitability. As it has become possible to perform real-time analysis of key parameters, the management is never short of adequate information for strategic decision making,” avers Mr. Rishi Gupta With an aim to diversify in to large scale infrastructure projects, Gaurav Enterprises is now confident of moving forward because they know that when they buy a Volvo, they get one of the most reliable machines on the market. With ready help on all the products, services and knowledge customers need to optimize their machine’s profitability and productivity along with a global dealer and service network, well-trained service personnel and the right parts, Volvo CE is the friend to have when it matters.
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Tiger Steel Engineering India Pvt. Ltd. (TSEIL) is a 100 per cent owned subsidiary of Tiger Steel Engineering LLC, in UAE. TSEIL is amongst the top PEB manufacturing companies in India. P.K. Nagarajan, CEO – TSEIL told Sandeep Menezes that higher economic growth will primarily drive PEB growth but possible measures such as rationalisation of statutory levies, introduction of GST could provide the acceleration going forward.
Interface
PEB industry to grow at 25-30% over next 3-5 years With the new government having taken charge and renewed optimism across the Indian economy, how much growth do you foresee in the PEB industry? The new Government’s main agenda is development and theme is ‘Make India.’ This means setting up of greenfield projects in manufacturing plants, logistics, warehouses, infrastructure development in power, shipyards, railways etc. All which will drive the demand for PEB. Over the Next 3-5 years, PEB is set grow at 25-30 per cent. India is a cost sensitive market and the initial higher cost barrier is one of the reasons for lower uptake of PEB, Prefab technology. Going forward, do you feel PEB construction could be made more affordable? Currently PEB components are manufactured off site at state-of-the-art manufacturing plants. There is an incidence of excise duty of 12.36 per cent which is not applicable in case of on site fabricated steel structures. There are two ways to address this disparity one is to allow the ultimate customers to avail of Modvat Credit of the 68
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Warehouse Project for Shree Shubham Logistics at Jalgaon excise duty paid on the PEB or make excise duty nil all over India. These measures will help in reducing the PEB prices and make it more affordable. However the larger point is the higher economic growth, which will primarily drive growth in PEB. Measures such as rationalisation of statutory levies, introduction of GST will provide the acceleration going forward. India had a shortagee of 18.8 million urban housing units with rural housing estimated to be much higher. Do you feel PEB can emerge as a preferred mass market low cost housing option? The key issue is the speed of construction to meet the demand for housing units both in Urban & Rural India. Steel based construction will have an edge over the conventional brick & mortar construction methodology, more so due to scarcity of resources such as water, shortage of skilled masons and rising costs of conventional building materials such as bricks, sand, etc. The main advantages of steel based construction are faster execution of projects, better earthquake resistant properties and higher strength weight ratio. Therefore using pre-fabricated technology is a good solution for low rise residential building applications since the building components can be manufactured off-site and transported to job site in knock down construction and be installed quickly. Even though the concept sounds good, for it to take off on a mass scale, we need to work on creating awareness, training & development, also developing relevant building codes, standardisation of details that integrate all the building elements like floor, wall, services like electrical & plumbing etc. There is also a mind-set which needs to be overcome that buildings in brick and mortar are rock solid and will serve many generations by building in steel and demonstrating. Our view is that steel construction in residential construction though initially slow to take-off is expected to pick up momentum in years to come. Therefore in the medium term, we will see a mix of solutions being adopted like prefabricated steel composite construction, prefabricated RCC etc. In terms of safety and eco-friendly features, how does PEB compare with convention building materials? PEB are safe, designed to the Indian and other International codes, ensuring its structural stability and Performance. Since our buildings are made out of steel its green (don’t require cutting down valuable forests), as the design and construction material used significantly reduces or eliminates negative impact of the buildings on the environment and its occupants. We employ energy efficient methods for
steel fabrication that helps to substantially reduce the green house gas emissions at our state-of-the-art manufacturing facilities. We use natural lighting, natural gravity ridge ventilators & louvres for achieving required air changes to provide healthy and comfortable indoor environment inside the plants. Does the PEB industry expect some kind of policy-push from the government and local bodies? Government support in creating positive investment climate, privatisation, clearing stalled projects and faster clearances for new projects will definitely drive the demand for PEB, some of our suggestions are as under: Quickly reinstate the capital subsidy for agro ware housing sector. National policy on housing that will help in growth & development of this sector. Rationalisation of statutory levies like excise duty & introduction of GST. What is TSEIL’s long term business strategy in the PEB construction segment? Tiger Steel in India currently has three manufacturing sites for PEB in India - one at Murbad near Mumbai in the western region, second one at Haridwar in the North and third one in at TADA in A.P through tie up with India Metal one Steel plate Processing Pvt Ltd (Joint Venture between Metal One & Keiyo Blanking Kogyo, Japan). Tiger steel was first to set up PEB manufacturing facility in India in 1998 and since then executed projects in India for Japanese epc companies Like Sumitomo Constructions Corpration, Shimuzu, Takenaka, Doosan, Indian and Multinational companies like Reliance, HLL, ITC, Louis Dryfus, Cargill, Ashland, International Tractors, PTC, Motorola, Samsung, Saint Gobain Glass, Tube Investments and many others. At Tiger Steel, our strategy is to provide innovative solutions to needs of our customers in PEB construction segments such as industrial, warehousing, commercial & residential. Tell us about few of TSEIL’s recently executed PEB projects in India? Few of our projects in India include: Tube Products India (Murugappa Group) – Higher Diameter Tubes Plant at Tiruttani, Tamil Nadu. Yamaha Vendor Park at Orgadam, Chennai. Shri Shubham Logistics Dry warehouses at Jalgaon, Jodhpur. Denso at Jhajjar. Honda Cars at Tapukhera. Project Vendor December 2014
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070-072] Water Interface - Vishal Sharma - Ecolab.qxp
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Ecolab (ECL) is a leader in water, hygiene and energy technologies and services that protect people and vital resources. With 2012 sales of $12 billion and 44,000 associates, Ecolab delivers comprehensive solutions and on-site service to promote safe food, maintain clean environments, optimize water and energy use. Vishal Sharma, Vice President and General Manager, Managing Director India, Ecolab told Sandeep Menezes that the introduction of ‘smart cities’ will need a better standard of treatment – from inlet to discharge.
Interface
Water demand in cities will lead to treatment volume increase Larger cities across the country will lead to the demand for water growing at 18% to 20% per annum. Tell us about the cascading benefits & challenges to water treatment segment. As water demand rises in large cities the treatment volume will increase, and with the introduction of ‘smart cities’, we will need a better standard of treatment – from inlet to discharge. So overall the treatment needs growth will be twice the water volume growth. This will also enable new technologies, ensuring that government buying moves from price-based tenders to quality - and performance -oriented ones. According to recent reports, Indian water and wastewater treatment chemicals market revenues are expected to grow at a CAGR of over 9% during 2014-19. Tell us about the main growth drivers. Many factors contribute to this – including what I mentioned above – as far as personal, household and commercial water consumption goes. Add to that urbanization, migration from villages to cities, 70
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Water intake and discharge laws will only become more stringent industrialization (the PM’s Make in India initiative for instance), increasing standards of sanitation and the Swachh Bharat programme, the construction of tens of thousands of toilets, 1.5 per cent annual population growth, and the pressure on water availability leading to better water management and the increasing need to recycle. All this will lead to strong growth of water treatment needs. The average per capita water consumption currently in the residential segment in India is less than 20 per cent of the developed world. The planned 6 per cent -7 per cent GDP growth will drive even more consumption. However, it needs to be understood that commodities will have a tough time as technology takes over and markets move from pure price to a performance and quality mix, and the total cost of operations versus product price equation shifts. Due to the increasingly stringent wastewater discharge requirements in India, many MSMEs are turning to specialist companies for sustainable solutions. Going forward, how do you foresee the scenario? This trend will only increase. Solutions will be needed, not products. Technology and outcomes will be dominant. The laws on water
intake and discharge will only become more stringent. Several industrial areas are already water-deficit, so the need to recycle and minimize discharge will increase. Delhi and Mumbai, which generate around 17% of the country’s sewage, have nearly 40% of its installed capacity. This shows a huge requirement of urban wastewater treatment infrastructure. Comment. We all can see open drains and the sewage lying around. We know where this gets discharged, and in what form, and the resultant problems that creates from a hygiene as well as cost point of view. Cities need a dramatic change in treatment capacity, and this will happen. It’s a matter of time. Wastewater treatment infrastructure will need to make up the current deficit and keep pace with the population needs and the changing standards. In spite of the huge water scarcity across India, water desalination projects have largely not been taken up except in Tamil Nadu. Comment. Chennai has been the most troubled with water access. But, other large coastal cities have some access to alternative resources. Hence, Chennai moved first and fast on desalination projects. Going forward, depending on the demand-supply gap, other coastal cities could follow suit. Around $20 billion will be invested in water treatment, irrigation and recycling nationwide during the 12th Plan period. How does Nalco look at this huge growth opportunity? Is there a business strategy to tap into it? Nalco is focused on industries and institutions. Water treatment in the municipal or residential sectors is not our core focus currently. Additionally, we are more focused on chemistry versus capital projects, though we do selectively pursue the latter. However, the trends and economic momentum will provide opportunities to every player in the water area who can create value for the customer. Our core competence is in getting the customer the results they need and creating a win-win for Nalco and our customer.
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Logistics – At its best experience in both international and domestic sectors. “Passionate about Projects” sums up Goodrich Logistic’s approach. Its depth of knowledge ensures smooth and reliable service despite many challenges. The ability to arrange and charter heavy lift vessels and trailers gives Goodrich Logistics Pvt. Ltd a unique competitive edge.
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oodrich Logistics Pvt. Ltd. is a wholly owned subsidiary of Goodrich Maritime Pvt. Ltd. The company has its headquarters in Mumbai and is supported by various branches and offices in India as well as overseas. This subsidiary has been formed to have an undivided focus into various activities like global freight forwarding, customs broking, warehousing, CFS operations and projects cargo and logistics. GLOBAL FREIGHT FORWARDING A fast-growing activity at Goodrich Logistics, global freight forwarding, covering sea as well as air freight, is a service which is being extended to all its locations in India. With the parent company having a liner services background and through its worldwide network of offices and agents, Goodrich Logistics is in a position to offer highly competitive rates and services. CUSTOMS BROKING AND INLAND TRANSPORTATION Goodrich Logistics offers clearing services at all ports and ICDs in India with proper customs broking license. Additionally, inland transportation services are also offered with owned and leased trailers. PROJECT CARGO & LOGISTICS Goodrich Logistics, specializes in project cargo management. A highlyevolved and professional 3PL service provider, it has wide-ranging project
Project Vendor December 2014
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074-075] IP Interface - Saurabh S. Dhanorkar - Finolex.qxp
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Finolex Industries Limited (FIL) is one of India’s largest rigid PVC–U pipes and fittings manufacturer and the second largest PVC resin manufacturer. FIL is headquartered in Pune and operates through its state of the art manufacturing plants located in Urse (Pune), Ratnagiri (Maharashtra) and Masar (Gujarat). Saurabh S. Dhanorkar, Managing Director - Finolex Industries Ltd told Sandeep Menezes that investment in the irrigation sector will pick up over the next few years creating a huge demand for PVC pipes and fittings.
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Going ahead we expect the pipe demand to be robust Though last year the pipes industry barely registered any growth? Going forward, how much market growth do you expect? We have to keep in mind that the demand for pipes is seasonal in nature with a tendency to slow down during monsoon. This is because when it is raining it is difficult to dig trenches for laying underground pipes for agriculture and also the construction activity runs at a slower pace. The slow down last year was because of an extended monsoon which continued right up to February 2014. If you look at the long term average, the CAGR of pipe industry is in double digits. Going ahead we expect the pipe demand to be robust. What will be the main future demand drivers for growth of pipes industry in India? Even after so many years of independence India still lags way behind developed countries in terms of reach of irrigation. Out of the total cultivated land only 43 per cent has access to irrigation. The rest of the cultivation is rain 74
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fed. The new Government has already accorded top priority to irrigation with the slogan “HarKhetKoPaani” (water to every farm field). We expect investment in the irrigation sector to pick up over the next few years creating a huge demand for PVC pipes and fittings. Another growth driver would be the increased focus on sanitation and toilet facilities. The ‘Swach Bharat Abhiyan’ (Clean India Drive) launched by the new Government is already eliciting a good response and this will drive growth for pipes and fittings. PVC-U is the most widely used of all plastics used for pipe installations. It is rigid, versatile, and is suitable for both above or below ground installations. Going ahead, do you feel there will be an increased shift towards PVC-U pipes? UPVC is a superior material compared to metal or concrete for the following reasons: a) PVC has better flow characteristics as compared to galvanized iron or cement pipes. b) PVC is corrosion free. c) PVC is easy to install. d) Transportation of PVC is easier because of its low weight per metre. We are already seeing a shift towards UPVC from the traditional material and we expect this trend to continue in the coming years. What are Finolex’s future growth plans in the PVC-U pipes and fittings segment? How does Finolex plan to double its turnover in next five years? Finolex pipes has already been growing at a CAGR of 15 per cent over the past ten years and we expect this trend to only get better in the coming years due to various new opportunities emerging on the horizon. We already have three ultra-modern plants in India having a total production capacity of more than 200,000MTs. We plan to add approximately 30,000 MTs of new capacity every year. All the three locations i.e. Pune, Ratnagiri and Masar have adequate infrastructure for brownfield expansion and as such capex requirement for such expansion will be
marginal. We also plan to introduce new type of pipes and other products in our portfolio to help us to achieve our target of doubling the turnover in five years. Finolex pipes and fittings are sold through a large dedicated and well-oiled network of dealers, sub-dealers and retail outlets totalling to more than 15,000. This network is capable to handle many more products equally efficiently. Finolex has decided to introduce new products covering water management through this network. Finolex is currently in discussion with various players to identify such opportunities and we expect to start rolling out new products during the next financial year. We do not expect to make a large capital expenditure for this initiative. The idea is to leverage the existing strength of the distribution network so that the Company as well as the dealers are able to increase the return on investment. Finolex recently forayed into managing water for irrigation, and industrial and domestic usage business. Tell us about the strategic objectives behind this foray? As an organization we are keen on ensuring that the available water should reach the end user in the most efficient manner. Finolex understands the value of what water can do in the urban and rural context. A pipeline which brings water to farmer’s field is his lifeline. If this pipeline breaks down, then the farmer stands to lose not only his crop, but his entire livelihood. This is why we have laid a very high emphasis on our product quality. We consider it our primary responsibility to ensure that the pipeline not only brings life into his crop but also brings him prosperity. The company has been continuously engaged with concerned agencies to create solutions and is partnering many initiatives to help efficient water transportation as well as conservation. It is now taking this initiative to the next level by creating new products and technologies which will find applications not only in agricultural but also domestic and industrial usage.
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I
f you trace the history of water heating, we need to go back to the 1st century BC when ancient Romans used to bathe in public baths heated by underground furnaces or hypocausts. In the 1800s, in the west, modern indoor plumbing was purposely located near home’s fireplace to provide warm water. In 1868, an Englishman named Benjamin Maughan invented the electric geyser, the first instant water heater. In 1889, a Norwegian, Edwin Rudd invented the first gas-fueled water heater while in 1891, an American, Clarence Kemp patented the first commercial solar water heater. In 1927, a German company, Stiebel Eltron marketed the first electrically powered water heaters. GRADUAL GROWTH WITH ADAPTATION TO TECHNOLOGY If you look at the water heating methods in India, they are primarily boiling, immersion heating rod, electric water heaters, solar water heaters and gas water heaters. In terms of organised water heating, electric water heaters are the most common water heating method with a penetration of close to 10 per cent. While electric water heating is the conventional method, solar water heating is gaining significance in the last 5 years or so. Gas water heaters have been stagnant over the last couple of years because of low diffusion of piped gas networks. Since availability of hot water for bathing purposes becomes a necessity during winter months, boiling of water is the most common and affordable
The evolving water heating industry in India From boiling water on stove to having solar powered heaters on the roof, the water heating industry in India has seen a phenomenal change; Mathew Job traces the growth story.
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Racold Pronto 6Ltr
practice in the lower socio economic classes (SEC C and below). Higher SECs use electric or solar water heating. The water heater industry is currently in the stage of significant growth after recently being freed from government restrictions of the “small scale industries� tag. With the penetration still low, we have seen many large players, both national and multi-nationals, entering the category. The category is rapidly moving towards higher involvement with consumer becoming more discerning towards brands while purchasing water heaters. Consumer behavior and habits are changing, with higher focus on having a trendy bathroom. CHALLENGES & OPPORTUNITIES The challenges and opportunities for the industry as a whole relate to the penetration of the category which is still low at around 10 per cent. This signifies that the potential for the category to grow is immense. With the disposable income in the Indian households going up, the penetration is definitely going to increase in the next few years. It is also pertinent to note that water heater ownership is not restricted to a single unit in a household but has a potential of multiple units, with multiple bathrooms and sometimes 78
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Racold Pronto 3Ltr even kitchens. So that expands the scope of the category further. The growth of the Indian water heating market is driven by new households and largely depends on the construction growth. Construction is the major market driver as many water heaters are installed in new homes. The replacement and refurbishment market is still small due to longer product replacement cycle. However, we have challenges in terms of infrastructure with electricity shortages and frequent outages being major constraints for higher penetration of electric water heaters, especially in Tier 2 and 3 towns. As per our internal estimates, roughly 30 per cent of the household electricity consumption is by water heaters. Bureau of Energy Efficiency (BEE) has introduced star ratings for electrical water heaters category as well. This has ensured that manufacturers invest in R&D and bring out products beneficial to consumers. At the end of it all, the consumer reigns supreme with the manufacturers engaging actively with the consumer in order to meet expectations. The product offerings are getting more superior and sophisticated and consumer centric. HOW TO SELECT A RIGHT HEATING SYSTEM? The suitability of the type of water heater depends upon the available infrastructure and usage requirements. Both Electric and Solar water heaters are popular methods in India that are gaining ground. With the penetration of water heaters being low in India, both these categories have tremendous scope of growth. Some of the key factors to be considered, while implementing a new water heating technology include: 1. Source of Energy- Renewable, electricity or Gas. 2. Energy Efficiency especially in case of Electric Water Heaters (BEE Star Ratings). 3. Cost (Implementation and Running). 4. Durability and maintenance. (The author is Managing Director, Racold Thermo Ltd)
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CCMA conducts successful seminar in Jaipur
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onstruction Chemical Regional Seminar branded C3R was held in Jaipur on 7th November 2014 and was well attended by over 300 Delegates. Mr.S Chauhan of BCPL was the convenor. C3R? an unique seminar - covering Effective use of Construction Chemicals Construction Chemicals was innagurated by distinguished Chief Guest Mr.Yunus Khan, Ministry of PWD and transport Government of Rajasthan. In a glittering inaugural session Mr.Samir Surlaker, President CCMA (Construction Chemicals Manufacturers Association), welcomed all and invited Delegates to play an interactive role. Mr.Yunus Khan in Inagural Address exposed the audience as well as CCMA members to tremendous growth of infrastructure in Rajasthan and encouraged Construction Chemical Industry to come to Rajasthan and contribute in Durability of construction. Mr.Upen Patel BASF introduced CCMA activities and Mr.S Chauhan proposed vote of thanks. C3R has a neutral flavour
wherein no brands are promoted but Construction Chemical Technology is promoted to increase Awareness. These were following basic modules: Admixtures, Waterproofing, Tiling Solutions, Repairs, sealants and Ready to use plasters. Mr.Upen Patel Director BASF set the tone to the seminar by explaining various chemicals for construction. The topics invited lot of interaction from members of ICI, IIA, IE, who had supported C3R. There were excellent suggestions from Audience. Audience interaction was very good. Construction Chemical Manufacturers Association is now over 50 members strong association of Construction Chemicals Manufacturers collaborating jointly to promote cause of spreading awareness and to focus on right use of right chemicals. CCMA aims at standardizing and marking Construction Chemicals products to give confidence to end users and Construction Industry. CCMA shall introduce Training
programmes. CCMA is also now a part of several BIS committees. Not resting on laurels. CCMA plans further Regional seminars all over India. An hand book is planned on the Right usage in collaboration with Indian Concrete Institute. Attempts are already on way to introduce the technical topics in the academic syllabi. With all this holistic approach, the industry is confident of growing from present revenue of about 3000 crores to 5000 crores in next 5 years. This growth is totally depended on Government accepting Construction Chemicals as recognized industry and back up with incentives and rationalization of Government taxes, duties and levies. C3R Jaipur was a grand success as per feedback from participants. Mr.Subu Venkataraman, MD, Sika summarized the proceedings lucidly and summod up the objective of seminar. The next edition of C3 our International Seminar is scheduled on 6th and 7th February 2015 at Kolkata. Project Vendor December 2014
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080-082] IP Expertlspeak - Avinash Jain - Arise India.qxp
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ndia which is today home to more than 1.2 billion people has huge demands from the available resources which are already stretched to the maximum levels. In here while land resources are still being regenerated, water resources are the ones which face the maximum pull because of the increasing requirements. Water is known as the number one requirement for sustenance, where population explosion along with rapid modernization and urbanisation has increased the demand for water exponentially. In here, the increasing demand of water for consumption, sanitation and sustenance has made it imperative to search for newer vistas of water generation which looking at the depleting water tables, has refocused on the urgent needs for new vistas of pumping. This increased demand for water creates an indirect demand for pumps, which further creates a demand for advanced pumping machinery which produces more water by consuming lesser resources. It is thus that while the industry outlook is a positive one, there are numerous growth drivers which going forward will help sustain the relevance of the sector. Drivers like increasing population; focused water relative food consumption patterns, industrialisation & urbanisation and depleting water resources are fuelling the needs of cutting-edge pumps that are becoming one amongst the major needs of the concurrent times. An industry that is worth more than Rs. 8000 crores, the Indian Pump Industry is focused mainly on two
Creating new optimism for Indian Pump Sector Avinash Jain explains that the increased demand for water creates an indirect demand for pumps, which further creates a demand for advanced pumping machinery which produces more water by consuming lesser resources. 80
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pump technologies - Centrifugal Pumps and Displacement Pumps. Servicing wide-ranging industry verticals like Agriculture, Power & Power Generation, Oil and Gas, Food and Beverages, Water Processing, Chemical & Hydrocarbon Processing amongst other industries; pumping machinery have become the main stays of Indian economy that have enhanced the suitability of the fluidhandling product sector of the country. While issues plague the growth of the sector, some major ones like wastage of water, absence of water loss monitoring and lack of regulatory binding, overexploitation of groundwater and reduction of groundwater levels and climatic changes cut a sorry figure for the sector. Thus the urgent need today is to become one with national policies like National Water Mission and Water Policy and Action Plan for India 2020. While the National Water Mission seeks to improve water-use efficiency across the country by nearly 20% in the coming years, the Water Policy as a vision of 2020 seeks to involve communities and people for optimum management of water resources. Today emergent globalisation has enabled widespread availability of production grade raw materials, because of which manufacturers are able to produce better quality pumping products and fulfil the need of consumers. While international pump manufacturers have till now enjoyed the advantage of cheap labour and readily available raw materials, the opening up of world economy has ensured that the Indian manufacturers are now playing on level grounds. Today factors like effective operational abilities
and reliable & performance oriented designing have enabled Indian manufacturers to deliver a product line that is at par with international standards. This augurs well for the Indian Pump Industry which has since its inception being stuck down by a largely unorganized setup that has shackled the growth of the sector. We believe that going forward, the domestic manufacturers have to up their product quality and focus more on creating localized technologies that reduces the dependence on imports from foreign countries. By creating significant growth drivers for the sector which include the incorporation of newer technologies we can reduce the dependency on foreign players and thus create a priceefficient product line which enables us to reach out to potential untapped markets and serve their emerging requirements. Apart from saving essential foreign exchange by reducing imports, an enhanced pump technology can also help the sector earn critical foreign exchange in ways of exports to a wide market base across the world. Today with depleting water resources being a perennial issue world-wide, we believe that the scope of expansion of Indian pump industry is humongous. In the sectoral view, the impetus going forward should be focused on developing energy-efficient technologies, and reduce the utilization of non-renewable sources of energy. We are of the opinion that going forward the industry’s impetus should be on creating an energy-efficient line of products which will help take the sector deeper into the consumer market of the country. In here, the utilization of energy-efficient materials will surely play a greater role in the coming future, as today the consumer looks for products which offer them all-round savings. There are numerous positives and negatives of the sector which we believe is necessary for the creating a churn in the sector. And by delving into the above proposed initiations, the sector will definitely be enabled to create a more holistic line of operations. As envisioned by the Hon’bl Prime Minister, we are not far away from creating an empowered India that creates its own production; we believe that day is not far when the Indian Pump Sector realises its true potential and becomes a lead contributor of the India’s success story, the world over. (The author is Managing Director - Arise India Limited.)
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Kobelco Cranes to expand mfg capacity at Sri City
Aerial view of 8 MTPA Iron Ore Beneficiation Plant at Dabuna
Essar Steel commissions pellet complex in Odisha PV News Bureau
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ssar Steel recently announced the commissioning of an integrated Pellet Complex in State of Odisha comprising of Iron ore beneficiation facility at Dabuna (Keonjhar), 6 MTPA Pellet plant at Paradeep (Jagatsinghpur) and 253 kms long slurry pipe line with 12 MTPA carrying capacity connecting the beneficiation facility and Pellet Plant. Essar has invested around `6000 Crs. in setting up this integrated complex. The beneficiation facility is designed to use low grade iron ore fines. The Slurry pipeline is the most cost effective and fastest mode of transportation that eases significant pressure on rail and road network, with reduced carbon foot print and minimal environmental impact. With the commissioning of this integrated complex, Essar Steel has become the largest Pellet producer in the country with an annual Pellet production capacity of 14 MTPA – 8 MTPA at Vizag complex and 6 MTPA at Odisha complex. A further 6 MTPA Pellet plant at Paradeep is scheduled to be commissioned shortly including the corresponding upscaling of the Beneficiation Plant, taking the annual Pellet Production capacity of Odisha Complex to 12 MTPA. While dedicating the facility to the nation, Chairman of Essar Steel, Shashi Ruia said, “Essar has always
put a lot of emphasis on sustainable development. The way this state of the art complex has been designed puts maximum emphasis on achieving our goals in the State of Odisha. It is a matter of pride that Indian engineers have delivered this challenging project keeping the balance between growth and sustainability.” CAPTIVE INFRASTRUCTURE The Odisha Pellet complex is backed by infrastructure that includes a 120 MW power plant by Essar Power and a captive berth at Paradeep Port set up by Essar Ports. Firdose Vandrevala, Executive Vice Chairman, Essar Steel India said, “It is our policy to make a meaningful contribution in the development of the State and the Communities we operate in. With the commissioning of this integrated facility, we will be putting this policy into practice. We are committed to a long, sustainable and fruitful partnership for the growth and prosperity of the State.”
PV News Bureau obelco Cranes India, the Indian arm of the Japanese crane manufacturer Kobelco Cranes recently signed a memorandum of understanding for expanding the existing production unit at Sri City. As the current production facility, which started commercial production of hydraulic crawler crane during Feb 2012 in a plot of 10 acres, is bursting at the seams, Kobelco wants to expand its facility by acquiring additional space. Kobelco's facility expansion will create job opportunities for more than 100 people. Yutaka Goto, President, Kobelco Cranes India and Ravindra Sannareddy, MD, Sri City signed a lease agreement for an additional 10 acre-plot in Sri City, in the presence of N. Chandrababu Naidu, hon'ble Chief Minister of Andhra Pradesh, who is on a visit to Japan along with a delegation. Ravindra Sannareddy said, “I am glad to state that Kobelco was one of the early entrants to Sri City, and perhaps their success made Sri City a referral destination for investments, not only from Japan, even from others across the world. With its expansion, I am confident; Kobelco Cranes would capture a larger market share." Sri City has become a gateway for investments in diverse sectors. Its location advantage opens a floodgate of business opportunities between Sri City and the rest of the world. As of now, 100 companies from 25 countries have invested in Sri City, representing portfolios such as automotive, locomotives, electronics, engineering, pharmaceuticals, warehousing, food processing, IT and FMCG.
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Shakti Pumps (I) Ltd is one of India’s leading manufacturers of 100 per cent stainless steel pumpsets. The company is renowned for producing stainless steel products like pumps, energy saving submersible motors, SRN booster pumps and Solar Pumping Solutions in India. Dinesh Patidar, CMD – Shakthi Pumps told Sandeep Menezes that the main demand will come for industrial process pumps which are largely used for special and unique applications.
Interface
Indian pump market is estimated to be worth `10,000 crore What is the current market-size of India’s pumps sector? Going forward, how much growth do you foresee? With growing population, the per capita water availability has reduced to about one third since 1940, resulting into growing demand for water and water pumps. Demand wise agriculture and domestic water pump are the leading segments. Pump market in India is estimated to be worth Rs. 10,000 crores and growing at 10-15 per cent per annum. Apart from agriculture and domestic markets, growing urbanization, development of infrastructure and industrialization especially in water & waste water, oil & gas sectors, are driving the water pumps business in India. Economic development coupled with urbanization has been witnessing strong growth. The world population is forecasted to reach 8 billion by the end of 2020, creating demand for water and water pumps in both domestic and export segments, both of which are growing steadily. 84
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SEZ Division - Shakthi Pumps Although the water and waste water pump segment will witness steady growth in future. Do you feel main demand drivers will continue to remain government investment in urban and rural infrastructure development? Agriculture segment accounts for major share of the pump market in India. It will remain as a thrust market as government adds more significance to farm sector to enhance agricultural production and ensure food security. This will ensure steady growth in demand of pumps from agriculture and rural market. Waste water treatment segment is gaining importance as government has realized the importance of recycling and treatment of waste water in the wake of water scarcity everywhere in the country. These are certain measure which will give a fillip to the growth of pump market in the years to come. The market for industrial pumps has been growing at over 10-12% every year. Tell us about the main growth drivers? Industrial process pumps are largely used for special and unique applications in the industry, the market of which is growing steady with industrial expansions, setting up of new units and replacement market which will positively impact on demand of industrial pumps. Continuous research and development for technological improvement in product performance and quality is an ongoing process for sustainable growth to remain competitive in the market. Rising cost of oil has positively influenced the demand for energy conservative pumps and pumps driven by renewable energy sources. Tell us about it? Energy efficiency has been the buzz word in every segment. Equipment like motor, AC, Fridge, TV, electrical lamps is rated for energy efficiency by Bureau of Energy Efficiency (BEE). Now it assumes more significance in the wake of higher cost of fuel and environmental factors. Keeping these factors in mind, it is right time to opt for energy efficient products and equipment and systems using renewable energy. These measures will help us to safeguard environment to a great extent. Identifying these trends early on, our company pioneered the development of stainless steel submersible pumps and motors in India. Lately we have also developed a duel power solar water pumps which operate on solar energy 86
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as well as power from the grid. This is an innovative move with technological support which was not possible few years ago. Now Shakti provides complete and integrated water pumping systems which can operate on solar energy independently and also on grid supply. The advantage of solar pumping system is that it can operate as an off grid standalone system at the remotest un-electrified locations of rural India that proved to be a great blessing to farmers there. Recently Shakti Pumps reported a sharp 44% year-on-year decline in net profit. Comment. Net profit decline by 44 per cent was due to sharp dip in top line from Rs.76 crore in last year to Rs.55 crore in this Q2 FY15. This was due to a significant slope in top-line proportion of the fixed cost, increased HR, Admin and finance cost so that profit came down. Operating level margins improved because of effective planning and execution. Now with the new governments focus on infrastructure development and optimism in the Indian economy, how do you foresee future growth scenario for Shakti Pumps? Allocation of huge amount of funds by the government to various urbanisation and industrialisation projects will surely bring opportunities for pumps for various applications. The focus on farm sector will revive the agricultural production in turn creating greater demand for agri pumps and solar water pumping systems. In the wake of positive market dynamics and positive economic indicators, we are confident and optimistic on our growth plans. Going forward, does Shakti Pumps intend to focus on any particular product segment or foray into new business areas? We are focused on our core product competencies like Pumps for Agricultural and Domestic Applications, Solar Pumps and Pumping Systems. We have been working on these three segments particularly Solar Pumps & Pumping Systems as it assumes greater importance as a sustainable renewable energy pumping solution. Union Government has also introduced various schemes to tap renewable energy effectively and come up with schemes for solar water pumping systems.
087] Advertorial - Loya.qxp
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Loya Pre Engineered Buildings Pvt. Ltd.
IT’S VALUE ENGINEERING
L
OYA PEB is a pioneer in manufacturing Of Pre Engineered steel Buildings (PEB) in the Marathwada region of Maharashtra state. In traverse of 3 years , we have achieved an order value of Rs. 100 Crores and installed more than 3 millions Sq. ft. Of Pre engineered Steel Buildings. The factory is located at Shendra – Aurangabad and has an installed capacity of 24000 metric ton per annum. Recently a massive expansion is taken up for doubling the installed capacity. In addition to above company has decided to venture into an entirely different product variety designated as Light Gauge Steel Framed Structures (LGFS), which possesses an application in residential & Institutional Installations which are more cost effective as compared with PEB for an equivalent application. The young and dynamic promoters of LOYA PEB are committed to quality performance, timely completion and professional execution. Association with LOYA PEB means value for money for its customers. PEB has many utilities. Apart from usage in Industrial buildings it can
Sanjay Loya also be used for commercial buildings, automotive showrooms & Service Stations, warehouses, malls, schools, sports facilities and cold storage. A PEB possesses a distinct aesthetic advantage & looks elegant, takes less time to build and is cost effective. Having started the conventional industrial construction work in the year 1989 with routine industrial buildings, the company ventured into
manufacturing of PEB with the objective of providing turnkey building solutions to its clients & with the same approach company has established a totally integrated manufacturing facility for manufacturing all the contents of an ideal PEB. Within a short span of time, the company has grown substantially and has completed medium and large-scale projects on PAN India basis with the major clients spread over various locations in Maharashtra, Gujarat, Madhya Pradesh, Haryana and Uttaranchal, recently one project completed in Tanzania, South Africa. With its Metal Building Systems designing technology, LOYA PEB offers the best possible design for the building at the most economical rate. Further to above the promoters as well as the operating officials portray the identical approach towards customer satisfaction leading towards Customer Delight, which has yielded in generating repeat orders from the same client base across the country. Customer can visit us on www.loyapeb.com for more details....
Project Vendor December 2014
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088-089 IP Expertspeak - K Murali - Gulf Lubricants.qxp
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he Indian Prime Minister Mr. Narendra Modi launched the ambitious “Make in India initiative” on September 25, 2014 with an aim to make manufacturing a key engine for India’s economic growth. His dream is to make India a manufacturing hub albeit with the support of foreign investment which will create jobs and ultimately raise the purchasing power of us Indians. The 25 sectors in which India has the potential of becoming a world leader includes automobiles, chemicals, information technology, pharmaceuticals, textiles, ports, aviation, leather, tourism and hospitality, wellness and railways, all of these are crucial for the industrial lubricant business. Thus industrial lubricant business foresees a simultaneous growth as all the manufacturing sectors gears up for its ‘Make in India’ campaign and the government keen to shape business friendly policies, especially in the oil sector, which is set to open anytime now. It is believed that lubricant industry is prolonged to witness a structural shift of volume growth to value growth and gaining market share. India is the third largest lubricant market globally in volume terms behind the US and China. Industrial lubricant is the largest market segment in India, accounting for over 54 per cent of the total market. Power generation, chemicals, automotive and other manufacturing, railways, marine, and metals are the leading end-use industries. These all together account for nearly 80 per cent of the total lubricant consumption in India
Make in India: Mantra for Indian lubricant industry K Murali expects the Indian lubricants market would grow at a considerable CAGR rate thus exceeding $7713 million by 2017. Also the industrial lubricant business foresee growth as all manufacturing sectors gear up for its ‘Make in India’ campaign. 88
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THE INDIAN SCENARIO The lubricants industry in India is dominated by national oil companies namely IOC, BPCL and HPCL that account for almost half of market share. Rest of the market comprises of private multinationals like Shell, Exxon Mobil, Total, IPOL and numerous smaller and loyal players. As demand in the sector is expected to rise in the recent future, foreign companies are keen to invest investing in India. In the light of the recent events, Gulf Petrochem made an opportunistic approach in investing in Indian lubricant market. Gulf Petrochem acquired Sah Petroleums Ltd and now plans to take the brand IPOL international. Volume consumption of lubricants in India has consistently declined over past few years as a result of improving lubricant and engine quality. In addition the year 2013 was accompanied by slower GDP growth rate and subdued industrial activity that also affected the industry margins. The rate of growth is at 2.3 and 1.6 per cent per year vis-àvis 0 – 2 per cent globally 2.5 per cent of world lubes market, perhaps, amongst the highest in the world. The Indian lubricants market would grow at a considerable CAGR rate thus exceeding USD 7713 million by 2017. India is a massive market for process oils. Process oils are the biggest contributor within industrial lubes. India is a huge market for process oils as well, accounting for 53 per cent of the overall industrial lubricant demand. Rapid expansion of the power generation and distribution infrastructure has created a strong demand for transformer oils in India. Industrial engine oils including marine and railroad, metalworking fluids, and hydraulic fluids are other important product categories. Industrial lubricant demand is dependent on industrial production and growth trends in the economy. The per capita lubricant consumption in India is quite low compared to developed countries. However, a comparison with other developing countries like China and Indonesia reveals significant potential in India for growth in lubricant consumption. MAKE INDIA: A BOON! Manufacturing ventures are absorbing best practices from around the world. In this process, they are changing their approach from buying the cheapest lubricants to reducing
the overall cost of lubrication. This takes into account the life of the lubricant and cost of downtime. This portends well for higher-performing lubricants—especially synthetics and semi-synthetics. Power generation, automotive manufacturing sector, higher investment in infrastructure division and project execution by construction companies generate excellent demand in machinery manufacturing, metals and other core industrial segments. Industrial lubricants are majorly used in the core industrial sectors such as spamming cement, coal, steel, engineering, sugar, marine, defense, railways, power, surface transport, fertilizer and others. The business is driven by growth in infrastructure investments, manufacturing, mining sector and increased manufacturing exports. In this segment demand for high performance lubricants are driven by applications such as compressors, textile machinery windmills, captive power plants and others. One of the essentials in lubricant science is world-class technology. Lubricant technology is driven by the changing needs of the customers and stakeholders. Different models will require different types of advance technology lubricants as stress factor will vary from model to model. Development in power, automotive, manufacturing and construction sectors generate excellent demand in core industrial segments. As the global lubricants market volume expected to grow from an estimated 38,635.3 KT in 2014 to 42,780.7 KT by 2019, with a CAGR of 2.4 per cent between 2014 and 2019, India is set to put its foots into the path of economic growth as well. On the other hand, there has been a shift in the preferences amongst the consumers in buying lubricants. Brand name, price, accessibility and services offered are becoming the deciding factors for choosing between brands. Thus, the strategy in the Indian automotive segment has progressively been shifting from the sales push, commodity type marketing strategy to a brand pull, fast moving consumer good (FMCG) product type of marketing strategy. This is especially in case of the Bazaar trade, which currently accounts for around 40 per cent of the sales of the automotive lubricants in India. With the product definition of a lubricant is undergoing a change from a commodity to a FMCG, a wide distribution network and a good brand image are the most important success factors in the automotive lubricant industry. In the medium term, the players are expected to increase advertising expenses with a lot of focus on development of brand image and improving brand equity. With the slower growth rate in the automotive segment, declining margins on account of rising base oil prices and increasing competition on account of the presence of a large number of players in this segment, players are expected to focus on Industrial lubricants as the key area for future growth in the Lubricant Industry. Thus, with the competition in the industry intensifying, a period of price competition followed by consolidation is expected over the medium term, with smaller players either exiting the industry or merging with larger players. (The author is Country Head – India, Gulf Petrochem.) Project Vendor December 2014
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090-091] PEB Expertspeak- Abhishek Saraf - Squarfoot.qxp
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all cladding or Wood Wall Tiles are ideally meant to serve protective as well as aesthetic functions; it can not only complement the beauty of your home decor but also maintain its originality and quality for years to come. Wall claddings come in a variety of designs and materials such as wood claddings, stone claddings and many more, however of late the emerging trend among architects, designers and home owners is to incorporate the essence of nature in their decor by effectively using eco-friendly wall cladding, flooring solutions etc. Environmentally friendly wood wall tiles have become the flavour of the season due to its natural and elegant appearance, stylish design possibilities and moreover its benefits in terms of insulation and easy installation. Wood wall tiles give you a more responsible choice in decorating walls, ceilings and floors while at the same time contributes to a greener and more sustainable environment. Such tiles are made from coconut-shell chips, which are found in abundance in India and many parts of Indonesia. Coconut shells are readily available, and so far only a small portion of it is used for the making of charcoal, which creates a low added value. The other innovative uses of these shells which are of higher value are either still not available or their applications remain unknown. The use of coconut chips as tiles and flooring solutions not only champion the cause for a greener environment but also contribute to fighting our
Wall claddings: The eco-friendly way Abhishek Saraf explains that recently the emerging trend among architects, designers and home owners is to incorporate the essence of nature in their decor by effectively using ecofriendly wall cladding.
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country’s poverty. The production of this eco-friendly, cocomosaic tiles require a minimum of 40 workers on a monthly basis. The coconut chips are then assembled by skilful artists into tiles. All the processes that go into the production of wood wall tiles until they are boxed and ready to ship are tedious and mostly involve hand work. By producing tens of millions of coconut chips, we can imagine how these beautiful coconut chips really help the design enthusiast, while also caring for the environment and fighting poverty by creating jobs. Wood wall tiles are easily the more economical option when compared to other wall cladding solutions in the
market today because of the lower production and installation costs involved. Coconut-shell chips are becoming a popular choice among design enthusiasts not only in residential but also commercial applications across the nation due to its many advantages, namely: lightweight, durability, and exotically decorative. They are easy to maintain, easy to design with and easy to install, therefore you can have the style that you desire while being environmentally conscious and active in your choices. (The author is Joint Managing Director, Square Foot, a leader in integrated flooring solutions.)
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092-93] Chemical
Expertspeak - S. Ravichandran - Berger Paints.qxp
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hen one talks about the coatings market for industries, it is of paramount importance to study as whether we are including all facets of the industry and the different kinds of coatings that are being used for protection of materials, as coatings for metal or concrete or wood. The coatings can be an aid for protection of assets from the effect of corrosion; deterioration of any material from the effect of the elements (air/water/heat/abrasion/microbes). The current market size is not pictured precisely for the challenges included in categorising the various segments to capture the data and now we have them aplenty which is either overlapping the segments or not being considered to get the right picture since the industries themselves are not declaring their share of business in a commonly agreed manner. The market size for industrial coating segment as per figures given in the media by market research is close to `7550 Crores (2011-12)[Nielson report January 2013 “Market Study on Indian Paints and Coatings Industry 2011-12�.]. The industrial paint has a share of 29 per cent in the total paint consumption of India and the country primarily is an architectural based market. The value growth between the period of 200708 and 2011-12 also shows a fast trend in decorative growing at 14.7 per cent whereas the industrial coating industry grows humbly at 9.8 per cent. The industrial paint market is covering a vast segment to include the Auto OEM’s, Auto Refinishes, Coatings for Canned food and beverage, Coil, Wood coatings, Road Transport Coatings, Railway locomotives,
Industrial coatings market: Trends and future growth S. Ravichandran feels that the main future demand drivers shall be quality as many industries have started calling for products that are expected to last longer for extending protection to infrastructure while maintaining colour and gloss retention property. 92
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Coach and Wagon coatings, Powder Coatings, General Industrial Paints as used in machinery and equipment industries, Protective Coatings as used in projects and maintenance of industrial infrastructure, Marine and offshore industries and pipeline coatings. A few of the growing segments are not to be seen as included in either of the segments (Decorative/ Industrial) as separate even though there is a close segment of coatings used in construction chemicals and floor coatings. The road marking paints comprising of hot application is also inadvertently not getting covered under industrial paints market, while some of its variations like cold applied road marking products are being captured as a part of decorative sales. Another important segment that is not getting captured is the sale of in tumescent coatings. One another segment is the lining industry that uses pure high build mastic epoxy resins in water proofing of concrete structures which is also not considered under industrial coating segment.
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Lost in the wild are certain coating segments which do not have proper demarcation and probably not getting classified or included. There are products used in the industry with the purpose of corrosion protection but are in metallic state and applied by means of dipping/ electrolysis/ metallic spraying etc and are classified under metallic coatings, not getting added to market analysis of coatings. Another such segment is from the safety coating industry which includes the cementatious fire proof coatings and refractory coatings. Space and Defence Coatings is another segment which is not getting sufficiently captured to its entirety of the products used and invariably these products are probably getting included in other categories. The other industry is the pipe coating segment which includes lining materials for the common goal of protection, but has a range of products to include cement lining, FRP lining, and polyethylene tape linings. The evolving trend is protection of environment from the harmful effects of excessive use of solvents, and the reduction of heavy metals from use in coatings to reduce the carcinogenic effect on the exposed humans as in manufacturing or application period. The second important arena is the use of water based products or by moving to the trend of solvent-less and high builds coatings which have reduced emissions of volatile organic solvents. The corporate leaders have started imbibing the trends even before any inclusions in the legislations and we find red lead, chrome and other such heavy metals being regularly phased out, but the irony is major consumer like the Roadways, Refinish market, Railways are still floating tenders with the old specification encouraging use of products that are not user friendly to the next generation. The main future demand driver shall be quality as many industries like the shipping, windmill, infrastructure (metro rail, airports, and steel bridge) have started calling for products that are expected to last longer for extending protection to infrastructure while maintaining the colour and gloss retention property. This opens up coatings like
fluoropolymer coatings (polyvinylidene (PVDF) coatings, FEVE-Poly-fluoroethylene/vinyl ether), silicone-modified polyester coatings, polyurea coatings, polyaspartic coatings, nano coatings, ceramic coatings, self healing coatings, moisture cured coatings, polysiloxanes, and the like. If this trend continues then we can expect zero VOC as a norm and solvent-free coatings and waterborne coatings will take a lead giving more challenges to the formulator. The industrial customer be the larger industries or the micro industrial export oriented customer are now well informed and understand the importance of quality leadership and are focussed to check right from drawing the paint specifications to installation of coatings with proper coating inspection to ensure the performance without drainage in poor application practices. The starting trend is visible from the importance attributed to having third party coating inspectors. International Maritime Organisation has given the Performance Standard for Protective Coatings calls for coating inspectors to be certified to SSPC Protective Coating Inspector Level-2/ NACE Coating Inspector Level 2/ FROSIO Inspector Level III which is mandatory to permit the ships to sail for five years guaranteed coating performance. This development is ensuring the importance of coating inspection and now the industry is showing up with recommendations of coating inspectors at site during application of protective coatings. The cost of corrosion worldwide being over US$ one trillion[NACE International Gateway india Section “http://corcon.org/�] today, it is highly imperative for every industry to look into possible measure to combat corrosion. The market shall open up high performance coatings in every sphere be it in concrete segment or the ever growing metal segment which is in use in all facets of material world from space industry to the ground level chemical industry. (The author is National Business Development Manager, Berger Paints India Limited.) Project Vendor December 2014
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094-95] CM Interface - Santosh Nema - RAK Ceramics.qxp
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RAK Ceramics is a $ 1 billion global conglomerate that supplies to over 160 countries and has been officially recognised as the world's largest ceramics manufacturer with a global annual production output of 117 million square meters of ceramic and porcelain tiles, 4.5 million pieces of bathware and 20 million pieces of tableware. Santosh Nema, CEO, RAK Ceramics India told Sandeep Menezes that the biggest concern of the industry is the import of Chinese tiles which has eroded profit margins of all brands in the market.
Interface
We are looking at 40% revenue growth in next fiscal year What are the current tile market trends in India? The current trend in market is towards digital printing on tiles, increasing options for wall tiles and comparatively thinner tiles. With a liberating Indian economy with greater numbers of middle class, the consumers are demanding more options than a decade before. Tile manufacturers understand it quite clearly and one can see the different technological advancements churning new tile designs everyday. What are the opportunities and challenges especially given the unorganized nature of the industry? The Indian market is ripe for innovation with the growing middle class becoming more demanding in the choices of home decoration, furnishing and reconstruction. The conventional size of 600x600mm is slowly giving way to larger size of 800 X 800 mm & 1000 X 1000 mm. Digital printed tiles are going to be the future in this industry with random patterns and high resolution edge-to-edge printing resulting in 94
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094-95] CM Interface - Santosh Nema - RAK Ceramics.qxp
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Interface greater clarity of tiles. Thus, with these innovations in place and consumers getting to know the importance of it, there will be a shift in the percentage of unorganized players to organized players with organized players having a greater share in the market. What are the main challenges facing the industry? The biggest concern of the industry is the import of Chinese tiles in India which has eroded profit margins of all brands in the market. Import of raw material and finished goods is also an issue in our country. The duty on import of raw material is higher than finished products. We have been struggling with government bodies so that the import duties are minimized and all products become competitive. What are the major factors contributing to the growth of the market? India is experiencing a construction boom which has resulted in a surge in demand for tiles for the ever growing middle class. Consumers have started looking beyond the conventional stone and marble floors and slowly accepting maintenance free vitrified tiles. Virtually every design is now available in high gloss polish, lapato, satin and rustic finishes giving
an enviable choice to consumers. Though the market is still largely unorganized (contributing nearly 55 per cent), with the entry of big brands including some international brands, it is slowly changing by the day. Outline your business in India, especially products? RAK Ceramics started its operations in India in 2004 and setup its own manufacturing plant in Samalkot, Andhra Pradesh in 2005. In India, RAK Ceramics has the largest and most modern vitrified tile manufacturing plant in Andhra Pradesh with manufacturing capacity of 30,000 sq. mts. of vitrified tiles and about 1,500 sanitary ware pieces per day. What kind of revenues are you looking at in the next fiscal? Tell us about financial targets for the current fiscal and how did your company perform in the recent years? We are looking at 40 per cent growth in our revenues in the next fiscal year keeping in line with the growth in the tile industry. With impending launches of Slim tiles, Nanopix digital printed tiles and ceramic wall tiles, we are excited and on course to achieving our targets for next fiscal year.
Project Vendor December 2014
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096-098] CM Expertspeak - Sitaram Saboo - Mohit Inds.qxp
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utoclaved Aerated Concrete (AAC) Blocks is manufactured using fly ash mixed with cement, lime, water and an aerating agent. The resultant building material, comprising millions of tiny air pores, is set and cut into blocks and panels of varying sizes. The Blocks are an eco friendly and sustainable construction building material made using non polluting manufacturing process. It makes productive use of recycled industrial waste (fly ash). The first Advantage of Autoclaved Aerated Concrete is designed for consumers who are environmentally conscious. It helps reduce at least 30 per cent of environmental waste, decrease over 50 per cent of greenhouse radiation and over 60 per cent integrated energy on the surface of brick. Tiny air pores and thermal mass of blocks provide excellent thermal insulation, thus reducing heating and air conditioning costs of a building. These Blocks is 3-4 times lighter than traditional bricks and is available in custom sizes. Lightweight blocks reduce mass of a structure, thus decreasing the impact of an earthquake on a building. It reduces overall construction cost by 4-5 per cent as it requires less jointing and reduced need for cement and steel. AAC Blocks gives Variety in size and thickness of blocks helps increase carpet area. It reduces overall construction time by 20 per cent this resulting in labour cost savings as well.
AAC blocks: Eco-friendly substitute to bricks AAC blocks are a certified green building material while also being porous, non-toxic, reusable, renewable and recyclable; therefore Sitaram Saboo feels that it can be used for commercial, industrial and residential construction. 96
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AAC Blocks manufacturing facility of Mohit Industries Ltd at Umargaon in Gujarat. Below are some advantages of AAC Blocks which makes it superior to any other material in its class: AAC Blocks is equivalent in area to approx. 9 standards clay bricks yet less Âź the weight, leading to fast laying. Installation of NXTBLOC is 2.5 times faster than of bricks AAC Blocks wall has an excellent sound Transmission Class (STC) rating of 44db, resulting in the most ideal material for the construction of walls in auditorium, hotels, hospitals, studios, etc. AAC Blocks has exceptional thermal insulting qualities, keeping warm air in summer and cold air in winters leads to saving in air conditioning load and enhanced energy efficiency AAC Blocks has an attractive appearance and is readily adaptable to any style of architecture. Almost any design can be achieved with NXTBLOC. AAC Blocks has an Excellent Earthquake Resistance and Load-bearing Capacity. AAC Blocks ensures building safety, both as infilling masonry as well as in load-bearing constructions. Despite the light weight of our AAC BLOCKS, its homogeneous structure permits the load of a building balancing in all directions. AAC Blocks is a non-flammable building material and does not release any toxic gases in the case of a fire.
AAC Blocks due to light weight and low density, overall dead load reduces, thus saving structural steel consumption compared to bricks. Operating cost savings can be realized through reduction in maintenance, energy bills and insurance. AAC Blocks are not affected by harsh climatic conditions and will not degrade under normal atmospheric conditions. AAC Blocks due to its impermeable structure it is impossible for insects and rodents to inhabit in them. Time consumed in building walls decreases due to light weight of the AAC Blocks and its size over conventional clay bricks decreasing lead time as well as installation time. High pressure steam curing auto cultivating process gives AAC unmatchable strength to weight ratio, higher then even M 150 Concrete, and far exceeds than building code requirement. Environmental conservation has also become a key focus area, as buildings account for about 35-40 per cent of energy consumption and also account for about a third of the global greenhouse gas emissions. Growing emphasis on sustainability is thus expected to spur demand for green building materials Like Auto Clave Aerated blocks. Project Vendor December 2014
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096-098] CM Expertspeak - Sitaram Saboo - Mohit Inds.qxp
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Expertspeak LESSER CARBON FOOTPRINT ON THE ENVIRONMENT AAC BLOCKS are manufactured by the autoclaving process, which is less energy intensive as compared to the thermal baking process used for manufacturing of Conventional clay bricks results in lower greenhouse gas emission as compared to the conventional clay bricks manufacturing process. Diminishing of Green House Gas emissions provide earning of Carbon Credit in future to the company. CURRENT AND ESTIMATED FUTURE MARKET DEMAND FOR AAC BLOCKS IN INDIA China has over 1000 AAC Block manufacturing units whereas India still has just about 50. This clearly shows that scope is unlimited.There is a central government gadget notification mandating government departments and CPWD to use 100% Fly Ash based Bricks in their all constructions directly or through contractors. This factor will help the marketability of this product immensely. Fly Ash policy of the Government also mandates that 20% of Fly ash Generated by a power plant must be given free of cost to SME sector on a priority basis. In INDIA, according to market analysis, currently AAC Blocks manufacturer only produce 20% production as actually demanded in market. They would be highly Demandable in near future. MAIN GROWTH DRIVERS FOR INCREASING DEMAND OF AAC BLOCKS Increase in low cost housing: Shelter is the third basic need in the human life next to food and Clothes. Still majority of the population in our country does not have proper shelter. It is one of the agendas of our Government to provide house to every individual by 2024. Thus there will be huge demand for low cost housing and there cannot be a better material than AAC Blocks to accomplish such dream houses. Smart Cities, Industrial Corridors: Government of India has envisioned the concept of building 100 smart new cities in the country. The government looking forward to the smart cities that will have better facilities, better connectivity and better environment. Smart cities will be the highly advanced economic development hub where information technology is the principal infrastructure. The concept of the “Smart City” has been developed as a natural response to the process of urbanization, the economic importance of cities and the increasing demand for sustainable living. The Government‘s continued support, focus, and encouragement to the construction Industries for using green building material as given to AAC Blocks an additional impetus for building smart cities and Industrial Corridors. The Concept of smart cities and Industrial corridors will increase the demand for AAC Blocks as it ensures faster construction compared to the Conventional clay bricks. AAC Blocks are well suited to light weight, fire resistant, energy resistant, weather & earth quake resistant, long lasting, Substantial Eco friendly requirement for construction of Buildings. (The author is Chairman of Mohit Industries Ltd.) 98
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099] NOE Formwork India ad.qxp
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100-101] CM Interface - Anil Kumar Pillai - JSW Cement.qxp
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JSW Cement is one of India’s leading cement manufacturers with its products being sold in Andhra Pradesh, Karnataka, Tamil Nadu, Kerala, Maharastra and Goa. The company produces three varieties of products: Portland Slag Cement (PSC), Ordinary Portland Cement (OPC) and Ground Granulated Blast Furnace Slag cement (GGBFS). Anil Kumar Pillai – Director & CEO, JSW Cement told Renu Rajaram that cement demand has been buoyant this year due to demand for highways, road ways, smaller towns converting to real estate hub and emergence of smart cities.
Interface
Inappropriate regulations, enforcement of standards are major challenges
As one of the leading manufacturers of cement in India, what services are provided by JSW Cement focusing on sustainability, and to develop approaches of green built concept? In order to reduce the carbon emission levels and to conserve the natural resource like Lime Stone, JSW Cement has commissioned a green field and state-of-the-art technology integrated cement plant of 4.8MTPA at Nandyal, AP; 0.6MTPA at Vijayanagar (Karnataka) and1.0 MTPA Dolvi (Maharashtra). The plants are dedicated to produce 100 per cent eco friendly cement (Portland Slag Cement) and Ground Granulated Blast Furnace Slag (GGBS) by utilising blast furnace slag generated by JSW steel, as sustainable building materials. By focussing on manufacturing of slag products, the company achieved in conserving limestone by 40 per cent there by reduction of CO2 emissions by 50 per cent as an approach of Green Built Concept.
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Trends point to the fact that blended cements are gaining acceptability. Please discuss your latest low carbon-emitting concrete innovations and strategies? The Ground Granulated Blast Furnace Slag (GGBS) is a useful byproduct recovered from blast-furnaces used in the manufacturing of Portland slag cement and as a supplementary cementatious material in production of concrete. JSW Cement is focussing to develop the Low Cement Concrete Technology (LCCT) by replacing OPC with GGBS up to 70 per cent as low Carbon Foot Print Strategy. Brief us on the company’s target of cutting its carbon-dioxide emissions? The average CO2 emission for tonne of cement is reported as 0.66t CO2 / t Cement. 0.5 t CO2 / t Cement is reported as the Indian best and that of Global best is as at 0.52 t CO2 / t Cement. The Ultimate target of JSW Cement is less than 0. 35 t CO2 / t Cement. In launching these ‘green’ initiatives to present a sustainable environment, what barriers or challenges your company had to face? Inappropriate regulations and enforcement of standards. Lack of awareness about product application. Inadequacy in Govt. Policies for providing incentives for using Industrial by- products, Non allocation of sufficient funds for Research and Development towards utilization of Industrial by-products for various applications. Due to lack of knowledge and experience on alternative building materials, people still prefer to use traditional building materials even in Government Departments. What are the recent trends being witnessed in the cement sector? The production and consumption of blended cement such as Portland Pozzolana Cement (PPC) and Portland Slag Cement (PSC) has been on steady increase worldwide in recent years. This trend points to the fact that blended cements are gaining acceptability and being considered as suitable or even superior substitute for OPC in various types of construction. India is the second largest producer of cement in the world after China. The cement production reached 375 Million Tons. Out of which production of blended cements is reported as high as 70 per cent. The shift towards blended cement in the last 15 years provides various environmental benefits such as conservation of limestone reserves,
reduction in green house gas emission and gainful utilization of industrial by-products like fly ash & slag. What are the main reasons for buoyant cement demand this year? On an average, tell us about your expected growth rate this year? Well, the cement demand has been buoyant this year due to the infrastructure boom. The same can be attributed to the demand for highways, road ways, smaller towns converting to real estate hub and the emergence of smart cities. On an average a 15-20 per cent year on year growth is what one is looking at. With the present housing shortage of 26.5 million homes, what growth do you see for the sector in the next two to three years? There is a visible migration of people from smaller towns to cities in search of Jobs. At the same time, the infrastructure growth in smaller towns is also making it growth opportunity areas. We are witnessing the emergence of smart cities in the near future. A good infrastructure helps in creating opportunities and gets people to come and settle in. This results in demand for homes today the demand is more than supply but we are looking at a healthy growth in this sector for the next couple of years. What are your expansion plans? We are looking at increasing our facilities in our Dolvi Plant in Maharashtra. With all three facilities now ready and working to optimum production capacities - there is a need to take the brand forward in terms of network expansion and brand visibility. What do you think of the Make in India campaign? India has the bandwidth to take on any country in the world as far as the manufacturing space is concerned. Technologically and manpower skills are two of our biggest strengths today. India has the ability and the potential to develop and manufacture world class products and this is across categories. What India needs at this point in time is the solid infrastructure that acts as the back bone to the growing economy. With the emergence of new highways, airports, ports, railway networks, smart cities, we only see India growing steadily. Amongst the BRICS nations, India has the edge due to its young skilled population and availability of Natural resources. Project Vendor December 2014
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Wonder Cement, part of the RK Marble Group, is a green field project at Chittorgarh, Rajasthan with present plant capacity of 3.25 million tonnes per annum. The company has around 2500 dealers in Rajasthan, Gujarat, Madhya Pradesh, Haryana, Uttar Pradesh, Delhi and Punjab. S.M. Joshi - President (Plant), Wonder Cement told Sandeep Menezes that infrastructure is needed to support other businesses therefore if government spending on infrastructure increases then cement consumption will also increase.
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Investment in infra, housing determines cement consumption
What is the current and evolving scenario across the cement industry? The cement industry's capacity is roughly 350 million tonnes per annum in India, while the capacity utilization is roughly around 70 to 80 per cent. The per capita consumption in India is below 200 kg per person but when compared to developed nations it is half therefore the growth potential is roughly double. A 100 per cent capacity increase is required while if consumption growth is increasing at the rate of roughly 10 per cent then in next eight years the capacity will need to be doubled. Tell us about the main growth drivers for the cement industry? The quantum of investment in infrastructure and housing determines cement consumption. Infrastructure development is basically government schemes such as roads, bridges and dams. It is also dependant on GDP growth and improvement in the national economy. Infrastructure is also needed to support other businesses therefore if 102
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Interface after three to four years again balance is reached. Therefore the demand is expected to grow in 2016. Tell us about your proposed second line capacity expansion plans? The second line is under execution and work has started. This second line should be ready by the end of 2015. The proposed expenditure on the second line is roughly estimated at Rs 1200 to Rs 1400 crore. The projects financial closure is currently under progress.
Wonder Cement plant at Chittorgarh, Rajasthan. government spending on infrastructure increases then cement consumption will also increase. It is alleged that cement industry is one of the most polluting industries in India. Therefore do you feel additional investments need to be done on better eco-friendly technologies? I don't know why it is felt to be polluting - it is not at all polluting. When environmental clearances are given by the ministry of environment and forest - they have stringent conditions on emissions. Fortunately in cement manufacturing no toxic gases are coming out - it is only dust particles which can come out. For that the present norms are 50 mg/N m3 and we already have installed machines to bring down emissions to below 30 mg/N m3. Therefore the technology that we have installed can meet future norms also. What is the current demand supply across India's cement industry? The demand supply scenario of cement industry in India is cyclical. Every six to eight years there is a downward trend and then again bumper profits in this business. This is mainly because when there are bumper profits everybody enters the business and then capacity addition is very high which ultimately results in an oversupply situation. Then
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There is a 40 MW captive power plant for current power requirements but the second line will require additional power. Comment. Our current 40 MW captive power plant is enough for present line one. For line two, we will be putting up another 40 MW power plant but not with the construction of this line. With this second line, we are putting up a waste heat recovery system which will have 18 MW capacity. Therefore there will be shortfall of 22 MW but actually 18 MW because 4 MW is actually internal consumption of the power plant - our plant requirement is 36 MW. For the balance, we have a grid connection also. For the waste heat system - the orders have already been placed. The orders for the 40 MW second power plant have not yet been placed - but it will be a PET coke based plant which is more economical.
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lobal warming has led to a rise in demand for innovative industry products in architecture and building materials. The concept of green construction emphasizes on using the natural resources efficiently that includes eco-friendly building materials. While designing a building, it is necessary to pay attention to a lot of apertures to maximize air circulation and natural light. Besides this, energy-saving building design, high quality building, and environment-friendly materials are some other steps that can be adopted. Construction industry in India is the second largest economic activity after agriculture. Construction and construction material are major areas where man has been dependent on natural resources. Recent awareness and focus on afforestation, control on mining of metal ores, stones, minerals, aggregates and sand has come after visible effects of environmental damage. There is a clear need to be more efficient in using our natural resources. The construction sector at large and cement sector specifically has also done its bit to adopt greener technology to reduce and mitigate some of the damaging effects. Some simple and basic steps can have a dominant impact towards environment friendly construction and development. As more eco-friendly materials hit the market and become more affordable, it’s more common for them to be used not only in home construction, but in building commercial buildings. Many companies today are more concerned with the materials used in their
Growing acceptance of eco-friendly
construction materials Prashant Pitti explains that many companies today are more concerned with the materials used in their buildings – and using green items not only makes the building more sustainable, but will actually save company money on energy costs. 104
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Alternate construction materials can reduce costs.
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Expertspeak buildings – and using green items not only makes the building more sustainable, but will actually save company money on energy costs. The Indian construction sector has well and truly moved out of its nascent stages. Government has identified Infrastructure as one of the key drivers of economic development in the country. This has proven to be major driving force behind growth of construction industry. Half of the demand for construction sector in the country comes from the infrastructure sector, while the rest comes from industrial activities, residential and commercial development etc. The real estate business has recently started to realize the importance of sustainable projects – but an integrated approach needs to be adopted. The ways of meeting the demand for cost-effective, yet environmentally friendly homes is through the use of alternate construction materials such as recycled fly ash, concreate blocks. This medium can be utilized to build budget housing of fairly high quality. By using alternate construction materials and methods, construction costs can be reduced by a minimum of 10-15 per cent in terms of materials and up to 20 per cent in terms of skilled manpower expenses and construction time. Usage of appropriate building materials plays a vital role to make high quality environment friendly building. Several industry players have already made products with new innovation which minimize environment contamination, reduce energy usage and optimize alternative energy. Several technology innovations of production processes have been developed in order to make the materials industry eco-friendly. Apart from this, continuous construction activity undertaken by using alternative materials and energy source can reduce carbon dioxide emissions. In last three decades, cost effective appropriate technologies have cross the borders of laboratory and research organizations and have reached real construction sites. Many experimental and demonstrative projects have been constructed across the country proving the strength and feasibility of these technologies. Like other materials, flyash bricks and blocks has been used in over 40 countries over the past 25 years to produce over 100,000 houses and apartments, schools, hospitals and commercial buildings and are made up of fly-ash (an industrial waste, which is abundantly available in India). These bricks are three times more capable of reducing heat and cold impact in the building, eco-friendly in nature as it’s made up of fly ash. The LCB (Light weight Concrete Block) offers superior insulation, cost-effectiveness, durability and environment friendly compared to red bricks and other blocks. The blocks help in reducing the weight of building up to 50 per cent. Moreover Blocks are ten times bigger than bricks, makes walls which will complete your building construction two times faster. The blocks are made up of concrete, unlike soil used in red-brick. Hence, the blocks gain strength with time only making it stronger in future. The density ranges from 1800kg/m3, as compared to regular fly ash bricks density usually is 650kg/m3. A number of cost effective appropriate materials and technologies have been developed, standardized and are being used in the field with success over the years. Many of them have even proved themselves.
While designing buildings it is important to insist on environmentfriendly materials.
(The author is Director, Ultimate Infra.) Project Vendor December 2014
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Expertspeak INDIA'S ENERGY PREDICAMENT ecently, the Cabinet Committee recommended blending of 10 per cent ethanol with petrol in India. While the earlier mandate of 5 per cent is yet to be implemented fully, one wonders if the recommendation of 10 per cent is far too ambitious. Way back in 2002, India was one of the first countries in the emerging economies (apart from Brazil) to endorse fuel ethanol as a blend of choice in petrol. The Bill was passed after due evaluation of the impact of 5 per cent blending with respect to availability of feedstock (in this case cane molasses, a by-product of sugar milling) and the impact on vehicles. The program ran for a year and half but was allowed to lapse in July 2004. India's tryst with alternative fuels can at best be described as uneven. As we have seen in many other countries which followed India and which have since then whizzed past to higher targets, the mainstay of the alternative energy policy has been the determination of the government to stay the course, even in adverse conditions. The National Biofuels Policy presented by the Ministry of New & Renewable Energy (MNRE) in 2012 clearly spells out the importance of biofuels (ethanol, biodiesel and biomass based fuels) as a step towards mainstreaming alternative fuels in India's quest for energy security. Also, in the current context of de-control of diesel and petrol prices, ethanol blending makes imminent sense. India needs to only look at successful trends around
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Energy security in India Mainstreaming alternative fuels Pramod Chaudhari explains that it is not too late for India to catch up with the rest of the world if policymakers strongly focus on the importance of alternative fuels including ethanol, as a stepping stone towards a bio-based economy. Praj Biofuel plant 106
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the world and calibrate its roadmap to an achievable, time bound and non-reversible biofuels policy. While every nation has varying concerns that demand individual resolutions, a few common axioms appear on the horizon. Take Thailand and Colombia. These are illustrations of developing economies which have stayed the course and reaped the benefits of a strong biofuels policy. Both countries launched their biofuels program much after India. Today, both countries have a robust blending program in place. The policy implementation took into account pricing, availability as well as consumer education and vehicle manufacturers' buy-in. In both countries, the Ministries of Energy and Agriculture are responsible for the governance and promotion of energy crops, respectively. Tax incentives have been put in place to help promote ethanol as fuel blend as well as in the cultivation of energy crops. The program is running successfully for the last seven years. Thailand is now on its way to phasing out Octane 91 Fuels and has also instituted special incentives for E20 compatible vehicles. The recently announced ethanol blending program is heartening the pace of implementation is far too slow. While it was advised that the prices should be market determined, there seems a reluctance to follow it. It is not too late for India to catch up with the rest of the world if policymakers strongly focus on the importance of alternative fuels including ethanol, as a stepping stone towards a bio-based economy. BIOFUELS, THE RAY OF HOPE The fuel ethanol industry has already taken on the mantle of producing ethanol from non-food agriresidues. Termed as Advanced Biofuels or Cellulosic Ethanol, the current technology utilizes the sugars trapped in biomass to be converted into biofuels. ACTIONS TO USHER IN A BIO ECONOMY Accord vital status to biofuels for ensuring India's energy security Stick to declared timelines Use Indian expertise to fine-tune tried and tested solutions for implementation Fund and encourage research, especially for second generation ethanol production Ensure fiscal incentives for production and use of biofuels Create an independent biofuels mission in advisory bodies such as the National Action Plan for Climate Change (NAPCC) Clarity on not just the blending level mandated, but Project Vendor December 2014
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also on the detailed implementation procedures Regular monitoring of program implementation to ensure that progress is on track, and the targets set are realistic Accurate forecasting of ethanol availability at least one season ahead to develop a viable strategy for sustainable ethanol production Enhancing the effectiveness of the first generation ethanol program by ensuring availability of adequate feedstock Government support is essential in the initial stages to help the sector attain economies of scale and technical maturity, especially in second generation ethanol production which can utilize a vast surplus of agricultural residues and create additional income streams for farmers. Such support could be in the form of viability gap funding, significant accounting policies (tax exemption, accelerated depreciation etc.) or limited period subsidies A review of State-level policies could be undertaken to serve as best practices at the national level. The participation of State Governments is particularly essential to successfully implement biofuel programs in the country. Single window clearance for new biofuels / bio-energy projects would be highly desirable. (The author is Co-Chairman, National Committee on Renewable Energy, Confederation of Indian Industry and Executive Chairman, Praj Industries.)
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As part of the Avvashya Group, Allcargo Logistics is an integrated logistics multinational, headquartered in India. Its services comprise global Multimodal Transport Operations, pan India CFS/ICD operations, Project and Engineering Solutions (Project Logistics & Equipment Hiring Solutions), Ship Owning & Chartering and 3PL & Warehousing services. Armin D. Kalyaniwalla, Chief Executive Officer - Projects Division, Allcargo Logistics told Sandeep Menezes that GST will make the whole of India a single market, thus reducing drastically the wastage of time, fuel and investment.
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We see double digit growth in project logistics industry over next five years
India spends around 13% of its GDP on logistics; this is higher than USA (10%), Europe (11%) and Japan (10%). Inefficient practices have inflated the industry size, how can we improve supply chain efficiencies? For India to improve its ranking as an economy in globally recognized indices such as Logistics Performance Index, Ease of Doing Business rankings and Cost of Business Transaction and others, we need to take a more macro overview of the challenges rather than just looking at a particular service or a transaction in isolation. To start with, we need to understand which countries we can benchmark for evaluating our performance or scope of improvements. It could be Singapore, Dubai, China or even US or European countries for that matter. Now we need to identify and highlight the variables which make us spend over 13-14 per cent of GDP on logistics, whereas these economies spend on an average between 9-11 per cent. 108
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India’s logistics challenges are related to wastage in time, fuel and investments. What we understand from this proactive evaluation that there are many variables in terms of lack of infrastructure at ports, roads or rail lines connecting ports, state as well as central level taxation policies, multiple check points across states between the union of our country, procedures, single window clearance, lack of transparent guidelines and implementation of business policies, are the reason why we are faring far behind than others. Thus if we plan to bring efficiency in logistics and supply chain in our economy, this can only happen if all these variables are taken collectively as a single set to develop a seamless mechanism of policies, taxation and infrastructure for EXIM trade to and from India. What is the current size of project logistics industry in India? Tell us about the estimated future growth rate of the industry? With India estimated to invest over USD 500 billion in infrastructure alone in the next decade, the overall project logistics market especially for core projects like power plant, refineries, solar plants, urban transportation, manufacturing plants, bridges, new rail lines etc are directly proportional to the segment growth. To build this capacity, at each level movement of mega sized heavy cargo or equipments will drive project logistics cargo to a new level of growth. The trends we have seen till now are just the tip of the iceberg in terms of opportunities. We see a double digit growth being realized in this industry in the horizon of the next five years for sure, given the present course of economic reforms by the government.
India’s warehousing infrastructure both qualitatively and quantitatively is highly inadequate. Going forward, how do you foresee the scenario evolving? The reason why there is a huge demand supply gap between warehousing infrastructure in India has to do more with the evolution of our economy. Lack of attention to this specific need from both private as well as government entities is also one of the primary reasons. India has grown more rapidly over the last decade and its growth has not matched hard infrastructure development in all its forms. Be it roads, rail connectivity, ports, alternate mode of surface transportation, power plants, transmission lines, grids and others. So is true for warehousing of critical products including food grains, vegetables, fruits and also raw materials coming into India. Till date private enterprises are way ahead in terms of setting up requisite warehousing for sustaining their demands or event providing it as a third party services. But we are at the cusp of witnessing a sea change in this trend. With India’s renewed focus on making our country a manufacturing hub, implement GST, streamline procedures and decision making we will see a surge of warehousing infrastructure coming into the economy. As manufacturing will require raw material to be brought into India from global destinations, warehoused near ports, transported to manufacturing units & then finished goods warehoused at factories or even at ports while exporting out of the country. Thus the potential for warehousing was never lucrative than what it is today and what it is going to be in neat future from business perspective. Project Vendor December 2014
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India is unique because transportation costs are high by virtue of the way the supply chains are designed against tax optimization and not transport optimization. Comment. Unlike Singapore, Dubai or event many European countries, India’s demographic scale is far wide and vastly spread. In addition to land we have over 7,000 kms of coastline. Thus making a supply chain design catering to such a large geography in itself is a challenge. This becomes more difficult given our state level and central level taxation systems, procedures and approvals. Adding to this variable is the lack of adequate infrastructure not only for movement of goods within country but also for facilitating EXIM trade. Thus this region makes it difficult to rely only on one or other kind of surface or water transportation medium. Thus typical to India’s demography efficient supply chain design needs a combination of road, rail, coastal shipping as well as strategically located hubs. This drives our costs of supply chain or more importantly overall cost of logistics of our country, higher. The only way to decrease these interlinked demographically dependent costs is to make it seamless as a one country without states kind of logistics transportation. This is the only way to compete with the likes of more productive and efficient Dubai & Singapore of the worlds. China as compared to others is also relatively placed in the same bracket as India, but rapid & timely infrastructure development, complemented with best in the world economic growth makes it a more efficient economy then India. With the government’s renewed push towards GST implementation, tell us about the expectations from the logistics industry? The biggest benefit that we foresee with GST to an economy like
India is manifold. At the moment majority of India’s logistics challenges are related to wastage in time, fuel and investments, due to multi level taxation, regulations, policies & approval mechanism between different states of our union. Today from a business perspective each state is a difference country when it comes to moving EXIM cargo or any other product within India. GST will remove this major hurdle by making the whole of India a single market, thus reducing drastically the wastage of time, fuel and investment. More companies will be able to reach more number of consumers faster therefore increasing their business, creating the space for them to expand, bringing in new investments and thus leading to new employment. With this efficiency Indian products will be more competitive in terms of costs and lead to creation of international markets for our manufacturers thus boosting exports. Globally GST has played an important role in driving economic growth. Countries like Singapore, China, European member nations and other have GST in place through their country. It’s about time such an important variable is introduced in the world’s second largest developing economy, India. As the economy moves into a faster gear with GST, the backbone of the economy i.e. logistics will directly benefit from its implementation. With the new government having taken charge and policy issues getting sorted out, tell us about Allcargo’s long term growth strategy? We have renewed our focus as a global organisation to focus on our business across international as well as domestic market. We would be soon crossing the one billion dollar revenue mark by this financial year end. Our integrated services are better placed for servicing not only Indian companies planning to leverage the growth in the economy, but with our presence in over 90 countries with 200 offices globally we are one of the leaders in NVOCC services especially in LCL and FCL through ECU-LINE, providing international companies a gateway to India as a market. We are one of the leaders in India’s project logistics segment as well as coastal shipping services. Our contract logistics services are one of the growing services in our portfolio. Thus Allcargo as part of the Avvashya group conglomerate is well placed to create new benchmarks for the industry as well as surpass our achievements over the last three decades. Global shipping business is under pressure right now resulting in low freight rates. Since Allcargo is into the freight business, its arbitrage has gone down. Going forward, how do you foresee the situation? We are expecting the business to pick up in the longer run as the global economy is witnessing a revival across USA, BRICS countries. Although Europe is slight down but it is expected to catch up with its demographic counterparts. And the most important we are headquartered in India with a neighbouring market of China, two of the biggest economies in the world. Thus overall the prospects are positive in the near future. Allcargo’s Project & Engineering Solutions segment witnessed 19% revenue increase in recent quarter. Tell us about the main growth drivers? The main growth drivers for us have been a positive revival across India in the core sectors, at the same time many of our projects have seen implementation and execution. At the same time especially in our equipment division we have seen long term contract engagements for many of our existing as well as new customers.
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indows and doors play an important role in design aesthetics of the interiors of any place or home dĂŠcor. They provide both physical and visual connections between the inside and outside and enhance the overall appeal of the house and make it look a lot more spacious. A well planned window is one which possesses good material with good texture. A good window not only provides a house with enough light and air but it also protects it from heat, dust and rain. The windows during the older times primarily consisted of wood, aluminum or iron. As time passed, technology made usage of other alternate material as well as possibility of various design. Also, with people becoming more and more conscious of the visual appeal, a mere iron or aluminum window did not satisfy the aesthetic desires that they have in mind for their residences. Wood though was widely used; the drawbacks of weathering and termite attack as being extremely expensive made its usage restricted to only that could afford them. The rising demand for well-designed windows has led to innovations in the quality and the texture of the windows. Today, windows are expected to perform various functions such as letting in light, keeping out heat or cold, noise attenuation, as well as being aesthetically attractive, needing lower maintenance and using energy saving, efficient materials. The latest technology in architecture has played a major role in the enhancement of new homes with smarter products. The new age material
Doors & windows: Current & evolving market scenario Vikram S. Shriram explains that an inclination towards green buildings in both residential and commercial sectors has increased with a surge in the use of uPVC windows and doors.
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which is now being used in smart windows and doors is uPVC. There has been a clear shift towards uPVC as a preferred windows material. Apart from its functional superiority, uPVC is also a green material. While wood promotes deforestation, aluminum windows waste a lot of energy, an inclination towards green buildings in both residential and commercial sectors has increased with a surge in the use of uPVC windows and doors. Wood windows are on their way out with the movement towards green. With the growth of the premium segment in housing, size of windows and doors is gradually getting bigger. Premium homes now have much larger windows and doors than the ones used earlier. Globally, uPVC windows and doors have been well accepted, with wide usage, due to better aesthetics and excellent insulation characteristics. We have seen a shift towards the usage of uPVC windows in India now as a result of the growing focus on energy efficient performance for homes and buildings. It is poised to achieve a higher and faster market penetration in the years to come. Double glazed windows with uPVC frames are proven performers in reducing energy consumption for heating and cooling and consequently over their whole lifecycle can reduce a building’s greenhouse gas emissions by as much as half compared to the use of aluminium framed windows. uPVC
is effectively replacing aluminum, steel and timber now. As a comparatively new product in the market, uPVC windowsorganized players are meeting International standards. Standards suitable for Indian conditions are being formalized as players pitch in their energies to give the customers the best deal. In a market where standardization is an issue, several bodies are taking a lead in helping to establish standards and there is a need to define profile width, formulation and environmental safety. Additionally, environmental bodies like IGBC associated with LEED ratings and GRIHA are also helping promoting uPVC for energy saving initiatives. Since windows and doors play a major role in a home, it is important to select the right windows and doors for your home. Today it’s not just about safety or beauty, it is actually the confluence of both, in a way to provide complete style package for home. Needless to say, the future holds bright for the fenestration industry, and opportunities are up for the alternate material especially uPVC in the door and window market. (The author is Vice Chairman & Managing Director, DCM Shriram Ltd. Fenesta Building Systems is one of India’s largest windows company and a division of DCM Shriram Ltd.) Project Vendor December 2014
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Company Watch
Change The Way India Builds Roads
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inhoff India Pvt. Ltd has announced the launch of four new, unique and revolutionary plants in the upcoming Bauma ConExpo in Noida, this December. Linhoff India is a joint venture of S-T group with one of the most renowned Asphalt and Concrete Batching plant companies in the world viz M/s Linnhoff Technologies Pte Ltd, Linnhoff & Henne GmbH & Co.KG, Lintec GmbH & Co. KG & IPS-Eurotec Asia Pacific Pte Ltd. Strategically located near Pune, its production unit, manufactures a range plants that produce asphalt and concrete used in paving highways and airports, road widening projects. Besides being the most preferred supplier for asphalt and concrete plants for the road construction industries in India, it is the only Mastic plant supplier with complete accessories in the country. In line with its tradition of product innovation, the company informs about the four new plants. The plant details are as follows.
WARM – MIX ASPHALT PLANT Product description: Warm – Mix Asphalt plant is used to produce Hot-Mix Asphalt at temperatures 15 - 40 degree C cooler than the normal production temperatures of HMA. This new plant, developed recently, uses innovative technology to reduce the viscosity of the asphalt cement allowing the coating of aggregate at lower production temperatures. Benefit: The innovative technology used in the Warm – Mix Asphalt plant offers the following benefits Reduces the consumption of burner fuel i.e. Operational Economy Reduces the emission of Volatile Organic Compound (VOC) i.e. Environment Friendly Reduces the fumes and smells i.e. better working conditions. Ensures easy compaction of asphalt pavement CSD1200 LINTEC CONTAINARISED BATCH MIX PLANT Product description: CSD 1200, 80 TPH is the smallest plant type among the LINTEC 114
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pulverizer is directly blown to a burner. Benefits: The innovative technology used in the plants, offers the following benefits Energy saving- Under operating conditions, there is enough heat in the combustion zone to ignite all the incoming fuel. Environment friendly- As the coal is pulverized there is no pollution issue. Economical- This technology when used in Asphalt plants, can give a saving of 50% of the cost as compared to oil. COAL FIRED THERMIC FLUID HEATER CSD screen drum product family. Crafted with the latest design, it is a far more compact plant and can be erected in mere three days time. The tower of the plant consists of just 3 container units if used with support construction instead of pump room and control cabin. Benefit: The innovative technology used in our “Containerized Plant” offers the following benefits Optional control cabin and pump room Environment friendly More compact and more economical Energy saving- considerable saving of energy costs is achieved by the LINTEC screening Drum mounting Modern drive unit Proven Lintec container concept that makes it easier for transport and erection. COAL BURNER SYSTEM
Product description: This pulverized coal fired burner is an industrial or utility burner that generates thermal energy by burning pulverized coal that is blown into the firebox. Pulverized coal provides the thermal energy which produces about 50% of the world’s electricity supply. If the coal is made fine enough, it will burn almost as easily and efficiently as a gas. The feeding rate of coal according to the burner demand and the amount of air available for drying and transporting the pulverized coal fuel is controlled. The raw coal is fed into the pulverizer. The coal gets crushed by the rolling action. The powdered coal from the
Product Description: The Coal Fired TFH is capable of generating heat with a maximum operating temperature of 300 Deg.C and fired with Coal as fuel. The product offered is a skid mounted, factory assembled, refractory lined with ducting & insulation. This product is designed considering the time consumed at site and the difficulties. Benefits: The innovative technology used in our plants, offers the following benefits Energy saving- Under operating conditions, there is enough heat in the combustion zone to ignite all the incoming fuel. Environment friendly- As the coal is pulverized there is no pollution issue. Economical- This technology when used in Asphalt plants, can give a saving of 50% of the cost as compared to oil To summarize, the spread of unique plants are a great option to consider by all the infrastructure companies engaged in the business of road and bridge development activities. So, what are you waiting for? Come and embrace the latest innovation in road construction industry. If the product details and benefits enumerated above interest you then visit the company at the venue mentioned below: India Expo Centre, Greater Noida/Delhi. Outdoor area, Stall No. 419 Date: 15th - 18th December 2014 Time: 10.00 a.m. - 06.00 p.m.
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Company Watch
K-lite’s efficient & cost-effective LED Bollards
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fficient and cost-effective LED bollards with rotationally symmetrical illumination for ground surfaces. The photometric design of these luminaires is based on LED integrated with K-Lite’s precision reector module. Consistent implementation of a new technological developments combined with the highest technical and structural quality have resulted in these state of art luminaires. These luminaires are characterised by their high luminous efciency, extremely long service life and the uniformity of the degree of illuminance. These luminaires are available in O100 and O166, three different heights to suit the installation site. Their sturdy construction makes them especially suitable for areas in which considerable robustness is required to ensure vandal proof service. Application: For the illumination of footpaths, entrance areas, driveway, private and public areas. K-LITE ADVANTAGES POWERFUL DESIGN POWERFUL LIGHT Extruded aluminium alloy housing through homogenization for durability and thermal management. Stainless Steel hardware used for long life and for easy of maintenance. Silicon EPDM gasket used for IP ratings and conforming to the safety and reliability requirements of the products. UV stabilized, non yellowing polycarbonate diffusers for better light transmission, vandal resistant and UV stabilisation. Finished with 60 micron thick polyester based powder coating for uniform deposition and excellent nish. CREE / OSRAM / NICHIA make LEDs, which are Project Vendor December 2014
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internationally recognized brands with higher lumen output are used for better illumination and longevity.
116] CW - mtandt + M M Metals.qxp
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Company Watch
India’s biggest telehandler to be launched by mtandt
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ndia’s leading AWP rental company - mtandt Limited will be launching India’s Biggest Telehandler made by Magni during the bC India show that is to be held in Delhi between 15th-18th December 2014. Mtandt Group was founded in 1974 by Mr. Rajkumar Modi and currently led by Rakesh Modi with a vision to provide sustainable growth to all the stakeholders associated with the group. It is a professionally managed group having all India presence and the largest AWP rental company of India. Key activity of the group is to provide safe and economical solutions to the industrial and infrastructure segments. mtandt is proactive in entering into partnerships with International market leaders across the world, thus drawing technological expertise and higher returns for its stakeholders. The BAUMA CONEXPO Show – bC India, International Trade Fair for Construction Machinery, Building Material Machines, Mining Machines and Construction Vehicles, takes place from December 15 to 18, 2014 at the India Expo Centre in Greater Noida / Delhi. The last event in February 2013 in Mumbai attracted a total of 710 companies from 33 countries and more than 28,000 trade visitors. Following two successful events in Mumbai, bC India is moving to Delhi for its next show.
India’s leading supplier of pipe fittings
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. M. Metalloys Pvt. Ltd. is an importer, stockiest and supplier of stainless steel, & nickel base alloy, duplex steel, cupro nickel, bronze sheet, plate & pipes, flanges and pipe fittings (Ferrous and Non-Ferrous Metals). D.M.Metalloys has always been ahead in the field of manufacturing and exports. Established in 2010, the company was founded by two young & dynamic enterpreners Mr. Mukesh Dalichand Chandan and Mr. Vikram Chandan with guidance from Mr. Dalichand Raichandji Chandan who had experience of 40 years in the field of stainless steel, ferrous & non ferrous metals. 116
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PIPE FITTINGS Manufactured By Us
ButtWeld/Screwed & Forged Fittings such as Elbows, Tees, Reducers, Stubends, Nipple, caps & valves, Hex Bushing, head plugs &Flanges Like Weld neck, Slip-on, Blind, Socket Weld, Lap Joint, Spectacles, Ring Joint, Oriface, Long Weld neck, Deck & Hex Bushing, head plugs etc. Grades ASTM A182 [304/304L/316/316L], A-105, A-181, A-234 WPB, A-234WP, A350LF, A-181, A-420 WPL, as per dimension ANSI B-36, 10B-36, 90 & B-16.5 Etc.
117] Project Vendor Next Issue ad.qxp
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118] CW-MC-Bauchemi.qxp
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Company Watch MC-MISCHOEL AEA
Mortar plasticizing and air entraining agent
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C-Mischoel AEA is a mortar plasticizing and air-entraining agent designed to give controlled plasticity and air entrainment to different types of mortars.MC-Mischoel AEA does not contain chlorides and can be admixed with all types of mortars used for brick laying, rendering, screeding patching and pointing etc. It improves the workability and aids in homogeneity of mix. It increases the covering capacity of the mortar mixes thereby increasing the productivity. MC-Mischoel AEA works out very economical taking into consideration the cost savings and provides a number of outstanding advantages such as: Increases plasticity, air entrainment and prolonged workability Improves the bonding properties Reduces the segregation and bleeding tendencies of the mortar
Minimizes shrinkage, cracking and crazing in screeds or mortar Reduces the water absorption and penetration Reduces rebound and wastage of
EMCORIL
Liquid Membrane Forming Curing Compound mcoril, a liquid, membrane-forming curing compound for curing concrete is manufactured by incorporating the best polymer technology. MC-Bauchemie (India) Pvt. Ltd. Manufactures this product alongwith a host of other Construction Chemicals in technical and financial collaboration with MC-Bauchemie, Germany. MC-Bauchemie (India) Pvt. Ltd. isan ISO 9001:2008 certified Company The strength and durability not only depends upon correct mixing and pouring but also largely depends upon proper curing. Emcoril is to be brushed or sprayed on the fresh poured concrete at very initial stages. It forms a seamless film on the surface of freshly cast concrete and mortars which arrests the evaporation of water from the capillaries and prevents quick drying of concrete avoiding the cracks and enabling the concrete to hydrate efficiently. Emcoril disintegrates after about one month by virtue of its in built film breaking system. Emcoril White, White pigmented curing compound serves as a better solar reflectance lowering the temperature of
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the mortar (cost saving) Makes very economical plasters and mortars (less materials, less labour, less dropping and wastage) MC-Mischoel AEA is supplied in ready to use form and should either be mixed with gauging water or added direct to the mix at the same time as the water. The amount of MC-Mischoel AEA to be added depends on the required characteristics of the mortar. The suitability and optimum dosage level is normally best determined by on site trials under actual conditions. As a guide to these trials and inmost circumstances we recommend 0.15 – 0.3 % by cement weight. MC-Bauchemie (India) Pvt. Ltd. Manufactures this product alongwith a host of other Construction Chemicals in technical and financial collaboration with MC-Bauchemie, Germany. MC-Bauchemie (India) Pvt. Ltd. isan ISO 9001:2008 certified Company.
CONTACT concrete. On account of the curing at early stage minimizes the shrinkage cracks, optimal hydration leading to stronger and hydration products. It has got a curing efficiency of 80%. It is suitable for roads, bridges, precast components, canal lining, airport runways, harbour, port, dam and other structures.
MC-Bauchemie (I) Pvt. Ltd. 411, Arenja Corner, Sector 17, Vashi, Navi Mumbai 400703 Phone: (022) 27880803 / 27892856; Fax: (022) 27893870 Email: info.india@mc-bauchemie.com; mcbindia@yahoo.co.in Web: www.mc-bauchemie.co
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121] Subscription Form.qxp
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122] CW - NOE Formwork.qxp
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Company Watch
Exciting innovations in NOE Formwork
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OEtec – “Made to Measure” Formwork for civil and infra Projects. It is extremely versatile and can be exactly configured to suit any project and site requirements. NOEtec completes challenging jobs using the minimum number of System Components: (a) Specially designed NOEtec steel girder & its extending girder, which is the heart of the system (b) Unique connection NOEtec Bolts (c) Standard Lock (d) Strut (e) Collar (f) Header beam (g) Guide Pocket. Whether it is a tunnel with a rectangular or rounded cross-section, underground or cut-and-cover construction, wall formwork or a shoring system: virtually every project can be accomplished using NOEtec’s System Components only. NOETEC CAN BE USED AS (1)Vault formwork (2) Trough formwork
(3) Wall formwork (4) Climbing formwork (5) Travelling formwork (6) Soffit formwork (7) Tunnel formwork (8) Integrated Travelling formwork The assembly time for the NOEtec formwork is short and that too with lesser manpower, as compared to the prevailing systems in India. Moreover, NOEtec provides a high degree of safety at work. It is highly durable, and excels through its high load bearing capacity.
CONTACT Pradeep Ghumare, Director NOE Formwork India Pvt. Ltd. 11 Lane, Prabhat Road, Sanjeevani Apartments, E-6, Pune 411 004. Mobile: +91 98220-23439 Tel: (020) 2567-2824 E-mail: p_ghumare@yahoo.co.in www.NOE.de, www.NOEplast.com
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123] CW - Shalimar Engineering.qxp
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Company Watch SHALIMAR ENGINEERING COMPANY
Shalimar's products that meet every need HYDRAULIC STACKER M-L TELESCOPIC MAST WRAPOVER SERIES. LIFT : 6' - 12' CAP : 500, 1000 & 1500 KGS M-L - RIGID STACKER
trucks. Manual extension boom provides longer reach.
LP FLOOR CRANES An economical materials handling tool for lifting loads vertically between the legs.LP Floor Cranes are also available with adjustable wide leg for additional boom swing, facilitating entry around odd sized loads. Mac-Lifton LP Floor Cranes have been designed to travel easily through aisles and through doorways. Capacity: 1000kg., 2000kg., 3000 kg., Operation: Manual or by 220/440 VAC Application: For lifting and transporting regular shaped loads within the shop, plant, warehouse, garage and outside on level flooring.
TLP CRANES TLP Cranes are smooth, quiet, hydraulic powered, heavy duty cranes, and can be either truck mounted or floor mounted. They can revolve 360 Capacity: 1000 kg., 2000 kg., 3000 kg. Operation: Manual 90r by 220/440 VAC Applications: loading and unloading at factories, godowns, self loading and unloading of
STACKERS The Mac-Lifton Stacker makes unloading, positioning and other operations, faster, easier and ~ designed for zero operator fatig Capacity: 500 Kg., 750 Kg., . Lift: 1800 mm, 2400mm, 300 Operations: Manual hydraulic pump. Electro-hydraulic-220/440 VAC hydraulic cum electro hydraulic non-availability of power, or for operations. Applications: Machine shops.
CLP FLOOR CRANES The CLP Floor Cranes are extremely adaptable and can be converted easily with an extension boom andoutriggers for extended revolving on either side. CLP Cranes can be handled easily be one person to lift, shift and stack materials efficiently, in close quarters, as well as in open areas. Capacity: 1000 kg., 2000 kg., 3000 kg. Swing: 90 on either side using outriggers. Operation: Manual or by 220 / 440 VAC Applications: Loading and unloading, supplying materials and components to sub assemblies andproduction areas and for stacking, transport, loading, pipeline laying etc.
CONTACT Shalimar Engineering Company 14/A, Sanjay Co-operative Housing Society, Ground Floor, Opp Century Bazaar, Mumbai - 400025. Tel.: 022-24312141. Telefax :- 022-24221309. Email: shalimarengineeringco@gmail.com maclifton@mtnl.net.in Project Vendor December 2014
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124] Lubrizol Advanced Material India.qxp
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ADVERTISERS’ INDEX COMPANY NAME .................................................................. PAGE NO.
COMPANY NAME .................................................................. PAGE NO.
Apex Tubes Pvt Ltd............................................................................111
Pidilite Industries Ltd ............................................................Back Cover
Balkrishna Industries Ltd ....................................................................31
Power Build Limited............................................................................11
BC India 2014...................................................................................119
PRD RIGS INDIA..................................................................................77
Bekaert Industries Pvt Ltd. ..................................................................21
Premium Transmission Ltd ......................................... Inside Front Cover
Berco Undrecarriages (India) Pvt Ltd ..................................................13
Prince Pipe & Fittings Pvt Ltd..............................................................81
Capricon Geotechnical Services.......................................................115
Prince Swr Systems Pvt Ltd ................................................................85
Cico Technologies Ltd ........................................................................71
Ravindra Rubber Products & Fabrication ..........................................120
D M Metalloys Pvt Ltd .......................................................................125
Sanctum Work Wear Pvt Ltd. .............................................................120
DNS Automotive Pvt Ltd......................................................................17
Shakti Equipments Pvt. Ltd. ................................................................91
ElectroMech Material Handling Systems (India) Pvt. Ltd. ...................23
Shalimar Engineering Company .......................................................120
Elofic Industries Ltd............................................................................45
STP Limited ........................................................................................67
Equest Projects Pvt Ltd .....................................................................120
Supreme Fiberglass..........................................................................120
Flair Strainers & Filters.....................................................................107
Swastik Fasteners .............................................................................120
Forech India Ltd ..................................................................................61
Swastik Infra Equipments Pvt Ltd ........................................................95
Goodrich Logistics Pvt Limited ...........................................................27
The Supreme Industries Limited .........................................................35
India Machine Mart Pvt Ltd ...............................................................120
TIDC INDIA..........................................................................................49
Ishardas &Sons...................................................................................53
UL India Pv. Ltd...................................................................................33
K-Lite Industries .................................................................................25
Ultratech Cement Ltd ..........................................................................15
Linnhoff India Pvt Ltd ..........................................................................63
UTC ....................................................................................... Island Fold
Lubrizol Advanced Materials India Pvt Ltd.........................................124
V E Commercial Vehicle ........................................................... GateFold
MC- Bauchemie (India) Pvt Ltd.........................................................103
Volvo India Pvt Ltd ...................................................... Inside Back Cover
Mtandt Limited .................................................................................126
Wam India Pvt Ltd ...............................................................................59
National Steel And Agro Industries Ltd................................................39
Wirtgen India Pvt Ltd...........................................................................19
NOE Formwork India Pvt Ltd................................................................99
Zoomlion Electromech India Pvt Ltd....................................................29
Readers are recommended to make necessary enquiries before acting upon or entering into any commitment in relation to any advertisement published in this publication. Economic Research India Pvt Ltd does not vouch for any claims made by advertisers of products and services. The Directors, Printer, Publisher and Editor of Economic Research India Pvt Ltd shall not be held liable for any consequences, in the event such claims are not honoured by the advertisers. Project Vendor December 2014
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126] Mtandt Limited ad.qxp
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EM Cover Page.qxp
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Published on 1st of every month W.P.P. Lic No. MR / TECH / WPP-59 / SOUTH / 2014 Reg. No. MH / MR / South-40 / 2012-14 Posted at Mumbai Patrika Channel Sorting Office, Mumbai - 400 001 on 5th & 6th of Every Month