THE AURA OF AURANGABAD ote this: Audi invests €10 million to scale up capacity at its facility by 50%; Perkins India, a wholly owned subsidiary of Caterpillar Inc, headquartered in Peterborough, UK, is investing `780 crore to set up a greenfield facility to manufacture diesel and gas engines; Greaves Cotton is setting up a new engine manufacturing unit with an investment of `50 crore; Siemens is investing `250 million (`25 crore) in a greenfield high voltage instrument transformer factory; Endress+Hauser is setting up production facilities for level, pressure and flow measurement engineering equipment with an investment of €19 million; Varroc Group is pumping `150 crore for its new plant to produce front axle beams and crankshafts; Hindalco-Almex Aerospace is setting up a state-of-the-art plant to manufacture hard aluminium alloy billets and slabs…Aurangabad is almost becoming the magnet for manufacturers!
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While multinationals are making their presence felt, the proposed Marathwada Auto Cluster Project, with an investment of around `80+ crore in the region will act as an enabler for SMEs. The state-of-the-art product and process development facility will immensely help SMEs to upgrade themselves to the world standards given the fact that individually they will not be able to invest so much on the product and process development. That’s a big plus for the region, as thriving SMEs add to the region’s inclusive growth advantage. Another shining example is the fact that the five-star industrial estate, Shendra, is part of the development map, as it has been identified as the project location for the Japanese Smart Communities or Eco City project. Shendra, near Aurangabad, will get a rare recognition as it has been chosen by the Delhi Mumbai Industrial Corridor Development Corporation (DMICDC) among the other two cities—one in Haryana and the other in Gujarat. The project envisages the introduction of new innovative technologies through Smart Communities to achieve sustainable development and improve the quality of life. With so much happening, the journey of transformation for Aurangabad from being a developing region to becoming a matured industrial base was swift. The city contributes `7,000 crore to the government’s kitty, which includes the taxes and the earnings. Almost 70% of Marathwada’s industrialisation has happened in Aurangabad. This is the reason why Aurangabad and the regions in and around it not only add to the economy of Aurangabad, but also contribute to the GDP of India. With Aurangabad brimming with growth, positivities and potential, here’s presenting an exclusive content spread towards garnering more growth for the region!
Archana Tiwari-Nayudu archana.nayudu@infomedia18.in
CONTENTS 3
EDITORIAL
Opinions & More ‘Aurangabad Has A Fighting Spirit’
8 10 12
CNC MARKET Offering Manufacturers A Cutting Edge
22
AURANGABAD HIGHLIGHTS
23 STRONGHOLD OF MAHARASHTRA The Economic Powerhouse Of Maharashtra
14
INSPIRING EXCELLENCE Perseverance Breeds Success
16
INVESTMENTS The Rising Industrial Giant
24
25
26
27
Parvesh Batra, President of Aurangabad Industrial Suppliers Association (AISA)
‘Matured Industrialisation Has Taken Aurangabad To New Heights’ Mukund Kulkarni, President, Chamber of Marathwada Industries and Agriculture (CMIA)
‘Aurangabad Has Now Emerged As One Of The Finest Machining Hubs’ Jayant Soni, MD, Akshay Industrial Enterprises Pvt Ltd
‘Aurangabad Will Continue Its Journey Towards Rapid Growth’ Shirish Tambe, GM, Osborn Lippert India Pvt Ltd
‘Aurangabad Has Ample Potential To Grow Further’ B Ravindra Naidu, Joint- President, Birla Precision Technologies Limited
‘Looking At Where Things Stand Currently, The Sky Looks Bright For Aurangabad’ Avinash Vishwasrao Chavan, Founder, Swajit Abrasives Pvt Ltd
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GRINDMASTER FACILITY VISIT Stepping Towards Exponential Success
28
‘Aurangabad Will Truly Emerge Once The Delhi-Mumbai Industrial Corridor Is Ready’ Sudipto Mukherjee, GM-Marketing, Lombardini-Kohler
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CNC MARKET
Offering Manufacturers A Cutting Edge Housing over 2,000 CNC machines, Aurangabad has become one of the most promising destinations for machine tool manufacturers in India. With the burgeoning growth witnessed in industries like automotive, heavy engineering and FMCG, the growth prospects for machine tools are bound to witness a high in the years to come. NISHI RATH
he advent of the automotive industry has created manifold growth prospects for industries in Aurangabad. And the influx of industries, such as heavy engineering and FMCG, are further fuelling the demand for niche segments, such as machine tools, in and around the region. Aurangabad is said to have around 2,000 CNC machines—the dominant users mainly being players in the automotive industry. Based on the current trends and emerging demands, the CNC machines segment is emerging as a key driver of growth for industries in Aurangabad. According to B Ravindra Naidu, Joint President, Birla Precision Technologies Ltd, “Nowadays, CNC machining has become the most crucial element, considering the high precision involved in the production process and the kind of accuracy desired by the customer. Though in the start, it seemed a little expensive, but going by the returns you get in the long term, it is worth investing in such precision machine tools.” Parvesh Batra, President, Aurangabad Industrial Suppliers Association (AISA), says, “We all agree to the fact that when there are tremendous opportunities waiting to be tapped, innovative methods to enhance productivity are bound to take centre stage. The deployment of CNC machines is among one of those crucial factors for ensuring the same.
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THE GROWTH BANDWAGON Achievement of higher growth and increased share of CNC machines
in the overall output surmises the commitment to provide competitive manufacturing solutions, and, that too, at cost-effective prices. In terms of key product segments, high growth areas for CNC machining include turning centres, machining centres and grinding machines, among others. Lathe machines, router machines, foam cutting machines and CNC machines, catering to surface finishing and grinding, have been doing the rounds in Aurangabad manufacturing units since the last few years. To this, Milind Umadikar, Owner, Mechatron, adds, “Auto forms a major cluster and every big or small company wants to be at par with its competitors.” Mukund Kulkarni, President, Chamber of Marathwada Industries and Agriculture (CMIA), opines, “The stupendous growth attained in the past few years has led to the rise of various first generation entrepreneurs in Aurangabad. They are updated with the industry’s scenario and the latest technological advancements. This can also be cited as one of the major reasons for the use of various latest CNC machines in Aurangabad today.”
CNCs IN SHOP FLOORS SMEs have also welcomed CNC machines into their shop floors. “You cannot compete with your contemporaries if you are not aware of the latest technology in the business today,” avers Umadikar. Although CNC machines are difficult to programme, they require less manual intervention to operate— an advantage in a region that significantly lacks skilled labour that could explain the rise in deployment
of these machines. While almost all the industries in Aurangabad have opted for CNC machines, a major chunk of around 70–75% go to automotive players and auto components manufacturers here. With majors players like Bajaj Auto, Skoda and Sanjeev Auto setting up their base in the region, the adoption of CNC machines saw a new light in this growing industrial hub.
BEHOLDING COLOSSAL POTENTIAL With the major industries wanting to set up base in the region, machine tools manufacturers can definitely prepare themselves to cater to the burgeoning demands. Substantiating the fact, Mukund Sangvikar, Proprietor, Jyoti Marketing Agency, adds, “Various new businesses will come up in Aurangabad. Also, the auto industry is set to grow further in the next couple of years. Both mean that more and more sophisticated machines & CNC machines will be used. People see them as a one-time investment, which will help them in the long run.” After all, it is all about making customers happy. By adopting CNC machines, not only reduces cost, but a new level of accuracy is also attained. And as far as the industrial development of Aurangabad is concerned, it has been growing at a rate of 14% per year since the last couple of years…a growth momentum which is likely to continue in the coming years. This trend augurs well for the machine tools industry. In the end, the trend is here to stay and would grow with increasing competition and expansions by existing players.
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AURANGABAD HIGHLIGHTS
FIRST FOUR WHEELER FROM BAJAJ AUTO COULD HIT THE MARKET DURING THE THIRD QUARTER OF 2012 Bajaj Auto unveiled their first-ever four-wheeler in January this year. The RE60 will be manufactured in Bajaj’s plant in Aurangabad. The four-seater RE60 targets commercial users and three-wheeled vehicle owners in India and claims low carbon emissions and fuel efficiency. The RE60’s price, at an estimated `1 lakh, could lead to tough competition in the segment. The RE60 was developed under the ultra low cost (ULC) car project with Nissan-Renault and Bajaj to be the three stake holders. However, RenaultNissan are yet to confirm whether they would sell the RE60 under their respective brands. Originally, the plan
RE60 at a glance RE60 will be manufactured in Bajaj’s plant in Aurangabad. The four-seater targets commercial users and three-wheeled vehicle owners in India and claims low carbon emissions and fuel efficiency. It is priced at an estimated Rs 1 lakh. was that Bajaj Auto would develop and manufacture the ULC car while Renault-Nissan would distribute it under their respective brand names. However, it remains to be seen what happens to this arrangement as Renault-Nissan are yet to come out with a clear picture on this.
VARROC GROUP ACQUIRES VISTEON’S GLOBAL LIGHTING BUSINESS Varroc Group signed a deal with Visteon Corporation, a US-based global automotive components maker to acquire their global lighting business in cash. The deal is expected to be closed around the third quarter of 2012. “I am very excited about this acquisition since it is a major step in our vision of achieving $4 Billion revenue in 2020. It also demonstrates our commitment to invest in technologies and global capabilities to grow our businesses. Our annual revenues will be close to `6,000 crore with this acquisition,” said Tarang Jain, MD, Varroc Group in an official statement. With this acquisition, Varroc group will have 31 manufacturing plants and 4 engineering facilities worldwide. The acquired business entities include manufacturing and engineering facilities in Nový Jičín and Rychvald, Czech Republic; Monterrey, Mexico; and Pune, India. These 6 manufacturing operations employing over 4,000 people which includes an engineering centre with over 400 engineers. The acquisition will also help Varroc enter into global automotive exterior lighting market for 4 wheelers. The company presently has strong presence in two wheeler lighting business.
NAGPUR AUTOMOTIVE ACQUIRES ADHUNIK METALIKS FOR ENTERPRISE VALUE OF `230 CRORE Nagpur Automotive Industries Private Limited has acquired 100% in Adhunik Metaliks’ forging subsidiary Neepaz V Forge India Limited for an enterprise value of `230 crore. The transaction is in line with Adhunik Group’s overall strategy to divest its non-core assets and focus on its core businesses. Adhunik Metaliks bought a majority stake in V Cube Forge India Ltd in August 2007 and the company was renamed as Neepaz V Forge.
Neepaz V Forge Limited has manufacturing facilities in Aurangabad to manufacture various automotive products like crank shafts, under brackets, steering knuckles, steering arms, tie rod arms, cam shafts, spindles and several other forgings for major OEMs like Tata Motors Ltd, Ashok Leyland, Mahindra & Mahindra, John Deere, Escorts and Dana Spicer. It also supplies products to non automotive companies such as Tractors Engineers Ltd and Greaves Cotton.
SHENDRA–BIDKIN MEGA INDUSTRIAL PARK TO BOOST GROWTH With the government giving the much needed go ahead for the proposed Shendra-Bidkin Mega Industrial Park, Aurangabad is geared up for more growth. The nod from the government came in October 2011 in order to initiate a pilot project with the Aurangabad belt. As part of the Delhi-MumbaiIndustrial Corridor (DMIC) the state has decided to develop the Shendra-Bidkin belt as planned industrial townships to act as one of the major investment node. It is being developed with Japanese assistance. The project will generate around 3 lakh jobs in technical, nontechnical, trained and untrained sectors. Apart from this the city will get connectivity with other districts through four-and sixlane roads, transportation through trains will be convenient due to the establishment of railway seeding, it will have quality basic amenities and educational facilities and 24-hour uninterrupted electricity and water supply. The Mega Park will be developed on 10,000 hectares of land and the district administration has already started acquiring land. Efforts are to acquire land in Bidkin, Nijalgaon, Bannitanda, Banglatanda and Nandalgaon. Out of the 10,000 hectares of land needed, 813 hectares will be acquired for the first phase, 2,363 for the second and 6,847 for the third and final phase. Water from Jayakwadi reservoir will be supplied to this project. Around 51 TMCM water will be required for the project which is less than 2% of the total storage of Jayakwadi reservoir, according to district administration sources.
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STRONGHOLD OF MAHARASHTRA
Aurangabad celebrated 50 years of industrial development in April this year. From being just a centre of tourist attraction to a rapidly growing manufacturing hub, the journey for Aurangabad has been glorious. With major automobile, consumer durable and pharmaceutical companies setting up their manufacturing base here, the city has been growing at the rate of 14% since the past few years and is expected to become a major industrial hub in years to come. A report… NISHI RATH
he Marathwada region was merged with Maharashtra in 1960. At that time, industrialisation had just begun in the region and the Maharashtra Industrial Development Corporation (MIDC) had started the process of acquiring land for setting up industrial estates in the area. This move, has, over the years, led to the tremendous growth of Aurangabad. It’s no wonder then that the city is now one of the classic examples of sincere efforts towards balanced industrial growth.
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THE SPECIAL ECONOMIC ZONES (SEZs) The efforts of MIDC have produced some brilliant results. Today, Aurangabad boasts of significant industrial areas, such as Shendra, Chikalthana and Waluj MIDC industrial estates. These areas, over the years, have witnessed a steady flow of investments and are home to both, national as well as international manufacturing players. The sectors that have attracted major investment in
the region are automotive, engineering and pharmaceutical, among others. Over the years, the place has emerged as a preferable choice for automakers. Aurangabad made headlines in 2010, when a group of more than 150 local businessmen decided to buy Mercedes-Benz car each, spending nearly $15 million. This instantly put Aurangabad on the world map. This order not only attracted investments from MercedesBenz, but also forced several other major players to give a serious thought to this region. And when a group of young entrepreneurs, including builders, industrialists, doctors and other professionals booked 101 BMW cars in a single day, it proved that for companies looking at expansion and growth, Aurangabad is the place to be. “In the last few years, the engineering and automotive sectors have picked up really well. It all started with Bajaj, which set up a manufacturing facility here. This facility acted as an inspiration for the entire industrial fraternity to follow suit. Later, Skoda forayed into Aurangabad—a move
which significantly helped SMEs dealing in auto parts to thrive,” says Mukund Kulkarni, President, Chamber of Marathwada Industries and Agriculture (CMIA). The city is the third in Maharashtra after Pune and Nashik to offer an automotive cluster. Skoda Auto assembles its premium models such as Superb, Laura and Yeti; Passat and Jetta for Volkswagen; and A4, A6 and Q5 for Audi from its Aurangabad facility. Recently, Bajaj Auto has also launched its first four-wheeler, manufactured in its facility in Aurangabad. Apart from automobile, pharma giants such as Wockhardt, Lupin and Glenmark have also made their presence felt in the region. In fact in 2004, Wockhardt opened India’s largest biopharmaceutical complex with six dedicated manufacturing plants at Aurangabad. The `200 crore state-of-the-art biopharmaceutical complex is spread over 3 lakh sqft.
INFORMATION TECHNOLOGY TO ACT AS A GROWTH CATALYST In recent years, the city has witnessed
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STRONGHOLD OF MAHARASHTRA
13
colleges and technical institutes that aiding the growth rate. Apart from a rapid growth in Information are trying to fill the void between this, a very good dealership network Technology (IT) and it is expected the demand and availability of skilled has contributed towards the overall that the area would soon emerge as a labour in the area. Given a year or industrial development,” says Rahul major IT hub. And with the major IT two, the city will have some of the Dhoot, MD, Dhoot Transmission. destinations such as Bengaluru, Pune best talent to boast of,” claims Mohini However, like any other region, and Hyderabad reaching a saturation Kelkar, MD, GrindMaster Pvt Ltd. Aurangabad also suffers from certain point, software professionals are drawbacks such as lack of connectivity looking for new options. In such a case, and infrastructure. Also, skilled Aurangabad offers immense scope to A PROMISING FUTURE manpower is another problem area emerge as a growing IT centre. Aurangabad has become an emblem though many believe that with the “The IT sector had started taking of an altogether different Maharashtra coming up of technical institutes, the baby steps in Aurangabad, until the —the booming, increasingly availability of skilled labour will not be STPI came up and gave it the much urbanised economic powerhouse. a problem. needed push. With Aurangabad With the industrial presence of The city’s poor infrastructure is not growing and major investment significant corporate players, the city attracting talent. To address this issue, happening, it is just a matter of time is buzzing with activity. The special an Aurangabad Regional Development until the area starts attracting the initiatives taken by the State Authority needs to be formed and attention of IT giants. Few more Government have and will continue `1,500 crore could be allotted as years and we expect Aurangabad to to play a vital role in promoting funds for the region’s development (it be added to the list of rapidly growing Aurangabad as a city with a is noteworthy to mention here that IT centres in India,” says Jayant Soni, promising future. Keeping in view the city contributes approximately MD, Akshay Industrial Enterprises. all the congenial factors necessary for `3,800 crore to the State Government’s “The next big thing, after pharma setting up corporate infrastructure, and automobile, is definitely Aurangabad is all set to IT. The sector is gaining witness tremendous growth What makes Aurangabad an attractive investment ground here and will help raise within a few years time. destination… the growth rate in a couple Sectors like automotive Availability of ample land for new projects of years,” says Parvesh Batra, and engineering, pharma and Good educational institutions and lifestyle amenities VP, Aurangabad Industrial seed/agro have a lot of growth Suppliers Association. potential and this trend is Strong air and rail connectivity “Not only professionals, likely to continue in years to A Software Technology Park and all related amenities medium-sized companies and come. Also, in some years, Presence of an inland container depot, which has seen first generation entrepreneurs, the Delhi-Mumbai Industrial a sharp increase in exports from Aurangabad. who want to try their luck Corridor (DMIC) will be in this industry, prefer functional and Shrenda-2 Aurangabad because the place has kitty only through taxes). Also, the will be active. These will come as a lots of opportunities and is cheaper as most vital mode of transportation— major boost to the growing city and compared to other developing cities. A roads—is in a poor state and needs create more opportunities. Besides, good future awaits the industry here,” urgent attention. To improve Aurangabad is also set to see sizeable adds Batra. communication, a six-lane could be IT companies making a foray into the added along the Pune-Aurangabad industrial city. I would also like to route; whereas the Manmad-Jalna rail add that the International Convention STRENGTHS AND WEAKNESSES track should be two tracks with siding Centre will come into existence and According to industry sources, the at Shendra and Jalna industrial area. Aurangabad will be part of the elite historical background of the place “We have all the basic requirements cities’ list to hold exhibitions & trade helps attract foreign investors. Besides, in place, but connectivity to the shows and will make it to the world Aurangabad also boasts of a very strong industrial areas is a major issue. Apart map. brigade of young and enthusiastic first from this, unavailability of R&D/ As rightly put by Debashish generation entrepreneurs. They not technology upgradation facilities and Mitra, Head – Sales & Marketing, only bring in new ideas, but also help skilled labour at times play spoilsport,” Mercedes-Benz, India, “The story of foster rapid growth. avers Shirish Tambe, GM, Osborn Aurangabad is the story of India.” “Availability of resources like Lippert (India) Pvt Ltd. land and economic labour is one of “There are various good engineering the very important factors that are nisi.rath@infomedia18.in
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INSPIRING EXCELLENCE
Perseverance breeds SUCCESS He battled all odds to see his dream come alive. Today, the success story of Umesh Dasarathi, MD, Rucha Group of Companies, has become a source of inspiration for society. Here’s presenting his success story… NISHI RATH
merican writer William A Ward once said, “Adversity causes some men to break, others to break records.” The same holds true for Umesh Dasarathi, who not only established Rucha Group ,but also continues to lead it to great heights. It was the sheer passion for engineering knowledge and craze for creativity that inspired him to keep going. However, like every successful venture, this too faced its share of troubled times. From the rigid attitude of the workforce to the logistics issues apart from the fear of failure, Dasarathi faced it all. “The initial days were tough. There was scarcity of skilled manpower, non-availability of proper infrastructure facilities and the anxiety to start a new venture, and what not. However, I took all that in my stride and learnt a lot of things. The key to our success lies more in the fact that we slowly, but steadily, kept working with a conviction to achieve the desired results,” says Dasarathi.
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LAURELS BAGGED Rucha Group began its operations with a single employee and now has a full-fledged team of 1,000 people. It boasts of major automotive players as its clients, including Bajaj Auto Ltd, Piaggio Vehicles Pvt Ltd, Automotive Stampings & Assemblies Ltd, Walker Exhaust System Ltd and Lombardini India Pvt Ltd, among others. “From 1991–94, we were in the service sector. Later, we entered the manufacturing segment and gradually diversified into surface coating, machining, plastic moulding and blow
moulding among others,” he adds.
map of Maharashtra and a number of players ventured and set up their manufacturing plants in Aurangabad. THE FOCUS AREAS The city witnessed rapid growth in the Rucha Group, today, majorly deals 80s, with tourism emerging as a strong with complex and precision sheet metal segment. The famous ancient caves of assemblies, machined components, Ajanta and Ellora were the centre of plastic moulding parts, blow moulded attraction then,” says Dasarathi. parts, surface coating tool room and It was during this time that so on. The Group is one of the the industrial scenario took off leading players in the segment. “We in a big way. Prominent sectors, mainly cater to the automotive and such as pharmaceuticals, breweries, home furnishing sectors. We are soon engineering, automotive, consumer planning to incorporate a world-class, goods made ventured into the region. state-of-the-art facility for OEMs to “In the 90s, the place was given supply auto components.” the title of being ‘Asia’s fastest growing city’. Later, when the When we started software technology park was the company, our established, IT industry expanded initial turnover was `25,000. However, its base here. It was followed by a the efforts of the survey report by Karni. This report team has borne fruit and we placed Aurangabad among the 10 have posted a yearly turnover lucrative and potential progressive of `400 crore. The company witnessed a growth of 20% last fiscal and aims to achieve destinations in India,” he adds. a growth of 25% this fiscal.” A huge number of MNCs in Umesh Dasarathi, MD, Rucha Group of Companies various sectors have established their manufacturing plants in Aurangabad in the last one decade, Sharing his success mantra with resulting in improved skill sets. new age entrepreneurs, Dasarathi says, “Look at the growth rate of China. They have achieved such a fantastic WHAT DOES THE FUTURE HOLD? growth rate mainly because of their Dasarathi strongly believes that very determination, discipline, development soon, Aurangabad will make it to through technology, speed and efficient the top five cities of India. “This will operations. There is fierce competition happen gradually as Aurangabad has in the market and so, if we have to many advantages like good and trained survive for a long time, we need to be HR availability, hard working people, the best in whatever we do.” strategic location, excellent blend of ancient culture with western style, togetherness of people for a purpose AURANGABAD OVER THE YEARS... and most importantly, the city has a According to Dasarathi, Aurangabad strong desire to grow,” Dasarathi says. was more like a glorified village, than an urban city, in the early 70s. Before signing off, he adds that the “It all started in the 70s, when the place will see a rise in industrialisation, sleeping city emerged on the industrial tourism and IT in the next five years.
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INVESTMENTS
The Rising Industrial Giant Entrepreneurial spirit, support from established players and the State Government has made Aurangabad an industrial area of repute. With multiple SEZs and constant flow of investments in multiple sectors, Aurangabad has found its place on the industrial landscape after Mumbai & Pune. Profiling some of the major investments in this region in the last five years... SUMEDHA MAHOREY
AUDI
10 million
Investment: €
Project: To scale up capacity at its facility by 50% to 9,000 units Location: Aurangabad Description: The company is building a new assembly hall, to be called ‘Hall C’, which would contribute to the production of another 3,000 cars. Speaking about the investment in this expansion project, Michael Perschke, Head, Audi India, said, “Once the initial investment of €30 million is exhausted, the company may revisit investment plans. When we started our business five years ago, the investment was calculated at around €30 million. Of this, we have consumed €20 million till last year. Probably, with the present investment, we will consume the €30 million by end of this year.” Additional Info: The Aurangabad facility was initially designed with one assembly line to produce A4, A6 and Q5 models with a capacity of 3,000 cars per shift. This has now been doubled to 6,000 cars with two shifts. To achieve the increasing target volumes in the Indian market, the company also plans to expand the dealership network to 25 this year from the existing 18.
PERKINS INDIA Investment: `
780 crore
Project: Plans to set up a greenfield facility to manufacture diesel and gas engines Location: Shendra Industrial Estate, Aurangabad Description: Headquartered in Peterborough, UK, Perkins Engines Company Ltd is a wholly-owned subsidiary of Caterpillar Inc. Perkins plans to manufacture its 4000 Series diesel and gas engines, which are used in power generators, currently made only in the UK. Additional Info: Shendra Industrial Area has been incorporated in the Delhi Mumbai Industrial Corridor project. The Maharashtra Government would soon enter into a memorandum of understanding with the company. The project would be granted mega project status. Initial groundwork may commence by June 2012. Within 12 months, the plant may soon be operational. The plant will have a capacity to produce 3,000 engines per year.
GREAVES COTTON Investment: `
50 crore
Project: Setting up of a new engine manufacturing unit Location: Aurangabad Project: The company is planning to diversify into manufacturing of small diesel engines for the fast growing passenger car space & bigger engines for light, medium and heavy duty trucks. The company is also planning to expand its diesel engine manufacturing capacity. The new engine unit set up at a CAPEX of `50 crore in Aurangabad will take the company’s total automotive engine manufacturing capacity to 4 lakh units per annum.
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INVESTMENTS
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SIEMENS Investment: `
250 million (`25 crore)
Project: Greenfield High Voltage Instrument Transformer Factory Location: Waluj, Aurangabad Description: The unit is spread over an area of approximately 4,500 sqm. The manufacturing facility provides direct employment to about 100 people and indirect employment to about 300 people. The facility manufactures a range of Instrument Transformers such as SF6 Insulated Current Transformers, Voltage Transformers and state-of-the-art Oil-filled Capacitor Voltage Transformers up to 765 kV. To maintain a high degree of quality and accuracy while manufacturing, all main activities like core winding, active part assembly, all impregnation, vacuum and oven process, final assembly and testing are done in-house. The factory also has an in-built state-of-the-art testing facility with test equipment imported from Haefely, Switzerland. Another unique feature is that the current and potential transformers are manufactured without any use of paper or oil, thereby reducing the production time by about four weeks.
ENDRESS+HAUSER
19 million
Investment: €
Project: Production facilities for level, pressure and flow measurement engineering equipment Location: Aurangabad Description: The new premises are divided into three buildings, with a total of 5,000 sqm of floor space for the production of level and pressure measurement instruments as well as logistics and administration. Immediately next door, the company has invested €13 million in the extension of their production facilities for flow measurement engineering.
VARROC GROUP Investment: `
150 crore
Project: New plant to produce front axle beams and crankshafts Location: Waluj, Aurangabad Description: From supplying connecting rods that weigh a maximum of 15 kg to supplying crankshafts weighing a quintal, the company is ready to take a big leap through its metallic business division. Trial production at its new plant will start by July. This plant will have an annual production capacity of up to 200,000 crankshafts for six-cylinder engines for commercial vehicles. The `150 crore plant will also produce front axle beams, another new component in Varroc’s portfolio. With the current commercial vehicle expected to grow in tandem with the economy, the plant is expected to hit peak capacity in 3–4 years.
HINDALCO-ALMEX AEROSPACE Investment: Undisclosed Location: Shendra, Aurangabad Project: State-of-the-art plant to manufacture hard aluminium alloy billets and slabs Description: Billets up to 1,060 mm in diameter are being manufactured at this facility. This is a first-of-its-kind facility in India, which is exclusively devoted to high-performance aluminium alloys. This greenfield facility has come up on 20 acre of land. With state-of-the-art technologies in casting, homogenising, machining and ultrasonic testing, HAAL is a futuristic plant. Emphasis has been laid on the use of clean fuel and efficient technologies. sumedha.mahorey@infomedia18.in
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GRINDMASTER FACILITY VISIT
s s e c s c d r Su a w l o T a i g nt n i p p one e t S xp E It all started in a garage in Aurangabad in 1984, with the making of small super-finishing machines. After years of dedication and hard work, the Kelkars have made GrindMaster a pioneer in providing speciality products to companies across the globe. With continuous innovations, the company has created its own benchmark for excellence. A recent visit to their facility in MIDC, Aurangabad, speaks volumes of the hard work put in to ensure that Aurangabad finds a prime spot for itself on the global map… NISHI RATH
mall opportunities are often the beginning of great enterprises”—this line by the famous Greek Orator Demosthenes stands true for GrindMaster. What started 28 years ago by an engineering graduate couple Mohini and Milind Kelkar in Aurangabad is now a worldclass player in grinding, finishing and precision engineering with a proud client list including the likes of Tata, Yamaha, Bharat Forge and Bajaj, among others. “Bajaj Auto setting up their facility here was an opportunity for us. We had just completed our engineering and wanted to start something of our own. This is how we set up GrindMaster,” says Mohini Kelkar, MD, GrindMaster. She explains that the initial years were not smooth,
“S
but hard work has led them to where they are today. “During those years, most metal finishing and deburring operations were performed manually. These processes had limitations on productivity, accuracy and consistency of both the result and finish. Thus, we came up with automatic and semiautomatic machines to overcome the lacunae,” she elaborates.
THE JOURNEY SO FAR… Their first endeavour was to develop a buffing machine for polishing pots and pans. Subsequently, they came up with automatic machines for grinding the parting line of forgings followed by centreless machines for grinding and polishing. Soon after, they developed the country’s first indigenously designed fully automatic motorcycle
rim polishing machine, which till then had to be imported. Today, the company has carved a niche for itself in the global industry of metal finishing and deburring. It boasts of developing and building machines to suit individual needs and now possesses one of the widest range of special purpose machines dedicated to the processes of deburring, grinding, polishing and micro-finishing. With a proven track record of successfully developing new concepts and cutting-edge technological solutions, GrindMaster has earned the reputation of getting it absolutely right the first time.
CONTINUOUS DEVELOPMENT: KEY TO SUCCESS In the early 90s, GrindMaster set up
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its new manufacturing unit at MIDC, Aurangabad, and consolidated its expanding range of machines in terms of components and build-quality. This proved crucial in the successful export of machines, starting with South East Asia and subsequently, expanding to countries all over the world. In the late 90s, in order to explore other opportunities to provide customers with complete solutions, GrindMaster ventured into the business of consumables. “We consequently forged a technical collaboration with VSM, Germany, for a complete range of coated abrasives sold throughout India. A conversion plant set up in 2000 has been successfully manufacturing coated
GRINDMASTER FACILITY VISIT
abrasive belts and rolls since then,” says Mohini. In 2002–03, GrindMaster started developing micro-finishing technology for the processing of automotive parts and hard chrome plated rolls. Later, upon signing a licensee agreement with IMPCO, USA, for GBQ Technology for micro-finishing of crankshafts and camshafts, GrindMaster joined the small elite group of world companies, which has the capacity and expertise to manufacture niche sophisticated metal finishing machines. “From 2004 onwards, we geared up for future expansions and started with investing in infrastructure and machinery. The systems were smoothened out
with the implementation of Axapta – ERP Software,” adds Milind. The company’s current R&D challenges include Robotic Deburring and Finishing Systems.
A LOOK AT THE SHOP FLOOR… ‘Customised solutions’ is the name of the game! What makes GrindMaster the preferred product and service partner is its tailor-made solutions that they provide to each of their customers. A visit to their well organised shop floor and interaction with the enthusiastic and dedicated team stands testimony to the fact that listening and catering to your customers’ needs pays handsomely.
‘I wish to see Aurangabad creating its unique identity rather than competing & being at par with Pune’ “Major industries have set up their base here, while many others are eager to invest in this fast growing city. Aurangabad is set to see another leap in the next few years,” says Milind Kelkar, CEO, GrindMaster, during an interaction with Nishi Rath. Excerpts… From a humble beginning to one of the best in the field, GrindMaster has come a long way. After catering to major domestic players, the company has now truly gone global by opening its first office in China. There, they compete with major German companies on the basis of superior technology. “We are in a key position to cater to the whole world in our niche,” says Milind Kelkar, CEO, GrindMaster.
STEADY GROWTH IN AURANGABAD With companies like Bajaj Auto and Skoda making their presence felt here, the automotive sector has seen a boom over the years. Its proximity to Pune, which is already home to various automotive companies, has also helped Aurangabad grow. In home appliances, major players, like Videocon and Nirlep, have their base here and have immensely contributed to the growth of this region. Also, there are pharmaceutical companies, which can be given due credit for the city’s development. Overall, this place has good potential. Also, IT has started witnessing growth here. But I believe that it does not contribute to the growth of a region apart from generating a large number of mundane, but well paying jobs. Besides, major industries have set up their base here, while many others are eager to invest in this fast growing city. Aurangabad is set to see another leap in the next few years.
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MANPOWER ISSUES Unlike the situation 20 years ago, Aurangabad has around eight engineering colleges. While the situation has definitely bettered over the years, the quality of education still needs dramatic improvement. Also, companies setting up shops here need to develop a work culture within their organisation.
NEED FOR BETTER CONNECTIVITY Every developing region needs to have basic infrastructure in place. Although we do not lack any of it, we wish Aurangabad was better connected to the southern part of the country by air.
MILESTONES ACHIEVED... MILES TO GO We started with only two people onboard, and now, we have a dedicated team of 200. We have aspired and achieved what many people had dreamt about in those days in a region like Aurangabad. We wanted to do something different, and so we started GrindMaster. Now, we have a dream to provide the best to our employees and bring out the best of their capabilities. The beginning is always difficult, but so is achieving the No. 1 position. However, the most difficult is maintaining it. Aurangabad is looking forward to a new era of growth and there is much more to come. But I wish to see Aurangabad creating its unique identity rather than competing & being at par with Pune.
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GRINDMASTER FACILITY VISIT
GrindMaster has both semi-automatic and manual machines
The manufacturing activities of GrindMaster can be divided into fabrication, machine shop and assembly. The fabrication shop is trained for manufacturing high-quality and precision machine bases. The machine shop is equipped with CNC/ VMC machines and grinding machines. All critical parts of the machines GrindMaster produces are made in its in-house machine shop. These parts are then inspected for accuracy with high-class testing equipment like CMM. The machine assembly section is divided into standard machines and special purpose machines for deburring, belt grinding and polishing. Microfinishing machines are assembled in a separate section.
IMPROVING THE VALUE CHAIN For GrindMaster, a great team leads to a great future. To ensure the team’s safety, the company has various initiatives in place. “We have safety training in place that is held almost every month. Apart from that, we have safety audits, wherein we keep a regular check on the cranes and other machines/equipment while keeping in mind the safety of employees,” says Milind. The management is also working towards creating a paperless office and is taking all the steps to achieve the target soon. Besides, the
Kelkars also believe in continuous upgradation of every employee. For operating level employees, drivers & clerks, English classes are held to improve their language and communication skills; whereas for fresh engineers, an elaborate engineering programme is conducted. Similar technical upgradation programmes on hydraulics, PLC programming, lube systems, etc., are also regularly held for all concerned employees. Definitely, the Kelkars are on the right track to take GrindMaster to the next level.
FUTURE PROSPECTS According to Milind, when they started, nothing was easily available. Even for procuring a small thing like an electric motor, the couple had to head to Mumbai. “But now, times have changed. Aurangabad has everything right from suppliers of machine components to sophisticated programming skills and software,” he says. Mohini agrees, “Till 2000, the growth was somewhat sluggish, but after that, it has grown by leaps and bounds. Now, Aurangabad is the place where companies are looking for more sales and business.” After having hit the right chord in the Indian machine tools industry, GrindMaster has all its future plans in place to make it bigger. In the recent
years, after extending the IMPCO licensee to China, GrindMaster began manufacturing crankshaft microfinishing machines for China. Auto major, General Motors, Shanghai, features among their list of customers for whom a state-of-the-art high volume crankshaft micro-finisher was delivered and commissioned successfully. Presently, the company has set up a permanent office in China to provide sales and service support. “GrindMaster is probably the only machine tools company that is supplying machines in such a big way in China. There, we are competing with German manufacturers. It is not the pricing that has led us there, but our technology, which we provide in collaboration with our partners in the US for micro-finishing of crankshafts and camshafts,” says Milind, adding, “These are important engine parts and require high technology.” GrindMaster has been consistently growing year-on-year by 15–20%, but with this addition in China, the growth has been almost 1.5 or 2 times since the past two years. “Innovation is the key. Every day, there is something new innovated at every level. Various deburring techniques are being developed; our latest addition in the category would be robotic deburring. We have also developed some robotic applications in the past one-and-a-half years. Robotic deburring, fettling and robotic handling of our machines is now done by our new division headed by our son, Sameer, who has joined us,” says Milind. With Aurangabad growing as an industrial hub, companies like GrindMaster play a strategic role in the area’s growth. With strong technical and innovation skills, the company has already started looking ahead and has charted out its growth strategies. GrindMaster, as the Kelkars say, is now stepping ahead to witness another era of exponential success. nisi.rath@infomedia18.in
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OPINIONS & MORE
Aurangabad has a Fighting Spirit TECHNOLOGY PLAYING A CRITICAL ROLE
Batra
ial Industr ngabad A) ra u A f o nt (AIS Preside Association rs Supplie
Par vesh
“The city has overcome challenges like limited infrastructure and inadequate skilled manpower to become one of the most attractive places for foreign and homegrown companies to invest in. Despite achieving all this, the city’s apetite for growth is still not satiated,” avers Parvesh Batra, the newly elected President of Aurangabad Industrial Suppliers Association (AISA), during a conversation with Nishi Rath. Excerpts…
A
URANGABAD BEYOND TOURISM...
Since the 1960s, Aurangabad has witnessed immense growth. While major companies continue to invest in the region, the existing ones are looking at expansion to cater to the huge industrial demand. Major credit goes to Bajaj Auto and Videocon. These companies laid the groundwork for the Aurangabad that the world knows today. Earlier, it was just Ajanta and Ellora caves and the rich history that attracted attention from different quarters. But the presence of Baja Auto ensured that major auto giants such as Skoda were lured into the region. The growth of the automobile industry gave rise to the demand for auto component suppliers. Today, Aurangabad boasts of being a major automobile hub of India, with a dedicated SME cluster dealing in auto components.
OPPORTUNITIES GALORE FOR COMPONENT SUPPLIERS Till the early eighties, various industries such as consumer durables, automobiles and pharmaceuticals, among others, based in Aurangabad, had to source their raw materials requirements from distant markets like Pune and Mumbai. So, there was an urgent for SMEs to set up base in the city. Making the most of the opportunity, various small units came into existence. It not only helped the industries, but also encouraged first generation entrepreneurs in Aurangabad. This was also the time when the Aurangabad Industrial Suppliers Association (AISA) was formed. As of now, we have more than 200 members dealing in various commodities from stationery and hardware, to paints and electronic goods and have been rendering service to the industry in the region.
The success of manufacturing industries has increasingly become dependent on innovations, research and development. Innovation is important not only to be competitive, but also to develop and adopt new technologies. As industrialisation has taken the centre stage in Aurangabad, it has given way to technological adoption in the manufacturing facilities. Today, one can find almost all the latest technologies being used in the industries, based in Aurangabad. Automation and robotics, too, have come a long way. In the current scenario, the Aurangabad-based business houses present a full spectrum of technological capabilities. In fact, there are homegrown companies like GrindMaster, Videocon and Bajaj, which have taken Aurangabad to the world map in terms of product design capability and process technology.
MILESTONES ACHIEVED... MILES TO GO With the government giving a green signal to the Shendra-Bidkin Industrial Park, Aurangabad is expected to witness substantial growth in the next couple of years. The opening of the industrial park will definitely attract more companies to Aurangabad, which, in turn, will see growth in areas like real estate, information technology and the packaging industry. This city has a fighting spirit and has overcome challenges like limited infrastructure and inadequate skilled manpower to become one of the most attractive places for foreign and homegrown companies to invest in. Despite achieving all this, the city’s apetite for growth is still not satiated. nisi.rath@infomedia18.in
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Matured industrialisation has taken Aurangabad to NEW HEIGHTS future ahead. This is an era of cost competitiveness. Hence, to control overheads and to reduce cost; there is a need for SMEs. Besides, SMEs add flexibility to OEMs’ business model.
ROLE OF CMIA
i, Kulkarn ada Mukund Chamber of Mara(CthMwIA) nt, ure Preside s and Agricult ie Industr
“The industries here have come a long way, both in the terms of growth and technology. Local industries have started implementing systems like ISO, TS, TPM and lean manufacturing in order to meet international standards,” says Mukund Kulkarni, President, Chamber of Marathwada Industries and Agriculture (CMIA), during an interaction with Nishi Rath. Excerpts….
A
URANGABAD, OVER THE YEARS…
Industrialisation made its foray into Aurangabad during 1960s when companies like Nirlep, among others, set up base at the railway station industrial estate. Gradually, the industrial culture started to gain momentum in the city and in the 1970s, Chikalthana industrial estate became functional. But this was just the beginning; within a few years, Aurangabad was on its way to make it big. Aurangabad witnessed major growth around the 1980s when Bajaj and Videocon entered the scene. The presence of Bajaj, one of the leading two-wheeler manufacturers, laid the base for the automobile sector, which saw a rise during the late 90s and early 2000. Alongside, tier III and mid-sized tier I companies also started to make their presence felt. Around this time, auto major Skoda also set up base in Aurangabad. This marked the
beginning of the growth of Shendra industrial estate.
CMIA has been active ever since the first industrial estate came into existence. While informal activities started around 1966, CMIA (then Aurangabad District Industries Association, ADIA) came into existence around 1969. Since then, we have come a long way. CMIA has also made major contributions to provide basic requirements. For instance, our members were active in establishing schools and hospitals in the region. Going forward, the investment in design and development facilities for the auto & engineering industry through the Marathwada auto cluster project worth `81 crore through PPP will also be one of the major contributions for the region from our end.
TECHNOLOGY ADVANCEMENTS Today, Aurangabad is one of the fastest growing cities in the country. The city has now achieved the stage of matured industrialisation with the growth of the existing companies. The industries here have come a long way, both in terms of growth and technology. In fact, many of them have already started implementing systems like ISO, TS, TPM and lean manufacturing in order to meet international standards.
ISSUES FACED IN THE REGION
GROWTH OF SMEs
We have good opportunities in the global market. However, we should now focus on quality, delivery and reliability. For this, we need to take specific efforts in terms of changing the operating culture of our industrial establishments.
Companies like Bajaj and Videocon started sourcing components from SMEs in and around Aurangabad during the 90s. The growth continued with major players, such as Varroc, Endurance, Man Diesel, Can-Pack India and Siemens, venturing into Aurangabad. SMEs have a great
The non-availability of land is a major issue at present and should be addressed at the earliest. Besides, Shendra-II region should also be given priority and the nearby Guyran region could also be converted into an industrial zone. Another major issue here is infrastructure.
MESSAGE TO NEW AGE ENTREPRENEURS
nisi.rath@infomedia18.in
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OPINIONS & MORE
Aurangabad has now emerged as one of the finest machining hubs all these in place, there would be no looking back.
AURANGABAD, FIVE YEARS DOWN THE LINE…
oni Jayant S y Industrial sha MD, Ak es Pvt Ltd s ri rp Ente
“The region will certainly come up in a big way in future. I am optimistic that five years down the line, areas like Shendra and Bidkin, among others, will be fully developed,” informs Jayant Soni, MD, Akshay Industrial Enterprises Pvt Ltd, during an interaction with Nishi Rath. Excerpts…
A
URANGABAD ON A GROWTH SPREE
Actual industrialisation in Aurangabad started in the 80s with Bajaj Auto Ltd setting up its facility here. Undoubtedly, there were industrial units in the region prior to this. However, with a major automobile giant like Bajaj venturing into Aurangabad, the entire scenario changed—ever since, Aurangabad has been considered as one of the fastest growing cities in India. Today, all the top companies are present in the region. Moreover, Aurangabad has become one of the preferred destinations for those planning to invest in Maharashtra. This, in turn, has created business opportunities for SMEs in the region. Additionally, the industrial culture has offered a boost to the overall growth of the region. With rapid industrialisation, the demand for other amenities has increased.
As a result, the number of good schools, theaters, malls and shopping complexes, among others, came up. The region has witnessed tremendous growth in the past few years and we anticipate this growth to enhance further in time to come.
INFRASTRUCTURE: A MAJOR ISSUE As is the case with every developing region, Aurangabad too has some issues, such as infrastructure and connectivity, which still need attention. Till 1990, the infrastructure was in a bad shape in the region. While there has been some improvement in telecommunication and road & rail connectivity, among others, thereafter; the infrastructure in the region is still laden with limitations. There is still a lot that needs to be done with respect to infrastructure and connectivity—majorly pertaining to air and rail modes—as connectivity plays a crucial role in a region’s growth and development. Once Aurangabad has
Once popular as a tourist destination, Aurangabad has now emerged as one of the finest machining hubs in the country. The region, which is open to new methods and use of automation & robotics in existing setups, is growing. It will certainly come up in a big way in future. I am optimistic that five years down the line, areas like Shendra and Bidkin, among others, will be fully developed. Besides, the region’s growing opportunities have encouraged many first-generation entrepreneurs to enter the market. This, in turn, has given rise to healthy competition, as young minds bring in new perspectives, business ideas and global market trends & technologies, among others. All these factors will help Aurangabad reach a different level altogether.
MESSAGE TO NEW AGE ENTREPRENEURS... Budding entrepreneurs know exactly what they want. However, I would like to advice them to remain focussed and not look for shortcuts, follow ethical trade practices and go for solution selling.
FUTURE GROWTH PROSPECTS As far as our future plans are concerned, we are planning to shift from product selling to solution selling besides diversifying into manufacturing. Since the past three years, we have been growing at the rate of about 45% and, this year, irrespective of all odds, we hope to maintain the growth rate to about 40% or more. nisi.rath@infomedia18.in
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Aurangabad will continue its journey towards Rapid Growth at various levels. Apart from that, the non-availability of affordable housing for employees in proximity to industrial areas and conveyance from & to industrial areas often posed as roadblocks. Although the situation has changed for the better, there is still a lot of scope for improvement.
THE CHANGING FACE
ambe, Shirish T Lippert India Pvt Ltd born GM, Os
“The sleeping city has woken up to some amazing industrialised growth, with various multinational companies setting up their base here and contributing to the rapid development of Aurangabad,” says Shirish Tambe, General Manager, Osborn Lippert India Pvt Ltd during an interaction with Nishi Rath. Excerpts…
C
REATING CUSTOMER BASE IN INDIA
We started operating in India in 2001. Since then, we have added several product lines to our basket. The journey has been full of ups and downs, but we have successfully sustained our rapid growth, which has led to a formidable base of satisfied customers in India and in select overseas markets. At Osborn, we are committed to bring internationally advanced technologies in surface finishing to Indian customers. To this end, we are in a process to grow our turnover multifold over the next few years. We will be creating additional employment opportunities and will be introducing new products into Indian market. However, for all these activities to happen, there is a need to invest more in terms of facilities and manpower. The management is planning to
significantly expand the manufacturing facilities in Aurangabad, which will be functional soon.
GROWTH OPPORTUNITIES The Indian market with a population of 1.22 billion offers ample opportunities for growth. And business in India, specifically in Aurangabad, has undergone tremendous change, over the past few years. We have witnessed 10 years of collaboration and success as a part of Jason Incorporated. And now, we are aiming to grow five times our current size over the course of the next five years. We have doubled our turnover every two years and hope to maintain the same pace in the next few years as well.
PROBLEMS FACED IN INITIAL YEARS During the initial years, one of the main problems we faced was the non-availability of trained manpower
From a sleepy town in the 70s, Aurangabad has marched towards becoming the growing industrial and educational hub of central Maharashtra. The sleeping city has woken up to some amazing industrialised growth, with various multinational companies setting up base here and contributing to the rapid development of Aurangabad. The city has grown tremendously over the years. The industrialisation here is matched with rapid growth in the educational sector as well. Many institutions for basic as well as professional training have come up in last few decades. This development has somewhat eased the problem of skilled manpower in the region. From the way things are progressing, Aurangabad will continue its journey towards rapid growth.
UNSTOPPABLE AURANGABAD It could be said that the city is on the right track and will continue its journey towards rapid growth in future as well. The sprit of entrepreneurship present here is indomitable. This would ensure rapid growth of this city despite the constraints. Industrialisation would get a further boost due to the upcoming Delhi Mumbai Industrial Corridor (DMIC) project, which would be implemented with the cooperation of Japan. Not only this, as mentioned earlier, this city would also grow as an educational hub in the years to come.
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OPINIONS & MORE
Aurangabad has ample potential to grow further
ra Naidu B Ravind ent, Birla Precision sid Joint Pre gies Ltd lo o n Tech
“Proximity to cities like Mumbai, Pune and Nashik provide Aurangabad with a very good potential for growth. The city has been home to various major industrial players till date and will attract many more in years to come,” says B Ravindra Naidu, Joint President, Birla Precision Technologies Ltd, during a tête-à-tête with Nishi Rath. Excerpts…
T
HE HUMBLE BEGINNING
Birla Precision Technologies is a subsidiary of Yash Birla Group, which is a `30 billion conglomerate of over 20 diversified companies that run the gamut from established sectors like auto & engineering, textiles & chemicals and power & electrical to emerging sectors, such as wellness & lifestyle, education & IT. Birla Precision Technologies was established in 1986 as Birla Kennametal Ltd, in a joint venture with US-based Kennametal Inc. However, in July 2007, Yash Birla Group acquired the stake of Kennametal in the JV, and Birla Kennametal was renamed as Birla Precision Technologies Ltd (BPTL).
OVERCOMING HARDSHIPS FACED The initial years were tough and we
faced a lot of issues while establishing the company in Aurangabad. Connectivity was a major issue and employees had to walk from distant places to office. Issues such as lack of infrastructure, non-availability of skilled manpower and banking facilities posed as major roadblocks. However, in the last 10 years, the city has witnessed more structured development.
AIMING HIGH We are aiming towards achieving a balanced growth and not just standalone growth in one or two segments. During the current year, we plan to majorly invest in casting machining and precision components machining. As of now, our maximum business comes from overseas and so, we plan to enhance our domestic market share. Since we are a
reputed name as far as quality is concerned, there is a wide scope for expansion in the domestic market. This year, we are targeting 20% growth over last year. In a strategic move, one of the oldest companies of the group, Indian Tool Manufacturers (ITM) has been merged with BPTL to further create synergy among the group companies. This year, ITM’s Cutting Tool Division is celebrating its platinum jubilee. A pioneer in manufacturing high speed steel cutting tools in India with an extensive distribution network, ITM is synonymous with high quality, high speed steel tools including straight shank twist drills, taper shank twist drills, centre drills, masonry drills, milling cutters, reamers and tool bits. Going forward, we will also be venturing more aggressively into carbide tool manufacturing.
POISED FOR A BRIGHT FUTURE Initially, Aurangabad was known only for its historical background, but over time, the place has strongly emerged as a major industrial hub. It has now gained recognition as one of the most attractive investment destinations for domestic as well as international companies. And it has ample potential to grow further. The place’s proximity to cities like Mumbai, Pune and Nashik makes it a strong contender for becoming India’s leading investment destination. The city has been home to various major players till date and will surely attract many more in years to come. However for that to happen, the State Government must come up with aggressive policies to promote the city as a serious industrial destination. nisi.rath@infomedia18.in
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Looking at where things stand currently, the sky looks bright for Aurangabad THE INITIAL ROADBLOCKS
n, o Chava a r s a w h ash Vis Pvt Ltd
Avin
ives t Abras r, Swaji Founde
“Since there is an increased focus on localising products, investments in the region will see a positive rise and employment opportunities will also be immense,” says Avinash Vishwasrao Chavan, Founder, Swajit Abrasives Pvt Ltd during an interaction with Nishi Rath. Excerpts…
S
WAJIT ABRASIVES: A FORCE TO RECKON WITH
Swajit Abrasives Pvt Ltd was established in 2002 and owns popular brands such as ABRACUT & TIGER of coated abrasives in both resin (R/R) & glue (RGR) bond. Since the beginning, we have progressed rapidly and currently boast of a state-of-theart coating plant for electro coating of grains & ultramodern cloth processing plant. During this journey, we have successfully achieved the capacity to manufacture 8 lakh sqmt of coated abrasive cloth per annum. In order to serve our clients better, we have started offering customised services as well. For that, a system, which can modify our products so as to meet individual requirements, has been put in place. The innovative brains and an aggressive marketing team has been our core strength, which has led to immense success while satisfying the customers by means of producing
a quality product, and on-time delivery at a competitive price. The quality-driven environment, along with able administration and appropriate human resources development has enabled Swajit to get an ISO 9002 certification for its conveyor chains manufacturing facility. Today, the company is well-placed in domestic as well as overseas market as far as manufacturing and supplying of all critical application conveyor chains, coated abrasives specialty products and heat treatment facility are concerned. We, at Swajit, are committed to our long-term mission of providing quality and on-time delivery with total customer satisfaction. Our client list boasts of some prominent industrial players such as Tata Motors Ltd, Bharat Forge Co Ltd, Cummins Ltd, Kirloskar Oil Engines Ltd, Mahindra & Mahindra Ltd, Titan Watches Ltd and Aurangabad Electricals Pvt Ltd, among others.
Initially, we faced real tough times in establishing the products and the brand as well. The infrastructure (or the lack of it) in Aurangabad did not help either. However, we have come a long way since then and are in the process of expanding the business with some huge investment in place. Going forward, we will commission one more production line as the company is aiming at enhancing the overall production capacity by about 150%. Swajit has witnessed steady & gradual growth in the past and expects the same in future as well. Talking about demand dynamics and competition, it would be apt to say that the demand will depend on the industry trend. However, it is poised to go up as the competition increases with new players entering the market and technological innovations playing a key role.
AURANGABAD: POISED FOR A BIG LEAP In the past one decade, the city has witnessed some phenomenal growth, which was beyond anybody’s expectations. Looking at where things currently stand, it could well be asserted that the sky looks bright for Aurangabad. As the companies are looking to expand and there is an increased focus on localising products, investments in the region will see a positive rise and employment opportunities will also be immense. This has also encouraged new age entrepreneurs, who just have to keep a few things in mind before starting on their own firms. They should aim at following fair and ethical business firms and also focus on advanced technology and diversified business. nisi.rath@infomedia18.in
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SEARCH - Supplement June 2012
OPINIONS & MORE
Aurangabad will truly emerge once the Delhi-Mumbai Industrial Corridor is ready
M Sudipto GM
ukherje
e,
r
i-Kohle
mbardin
o eting, L – Mark
“It would not only earn laurels/revenue for the country, but also for the people living in and around Aurangabad,” says Sudipto Mukherjee GM – Marketing, Lombardini-Kohler, in a tête-à-tête with Nishi Rath. Excerpts…
M
AKING FORAY INTO INDIA
It was in 1991 when Lombardini entered India, riding on a tri-party agreement with Piaggio and Greaves. The agreement required Lombardini to provide technical know-how & support to these companies. However, in 1998, the company set up its light engines manufacturing facility at Chikalthana MIDC in Aurangabad. The Lombardini Group was acquired by Kohler Co, USA, in 2007. Since then, its presence in Aurangabad has also become a Kohler entity, producing both light engines and generator sets for Kohler Engines and Kohler Power Systems.
SOME AREAS NEED IMPROVEMENT Way back in 1962, the brotherly duo of Nanasaheb and Shrikant Bhogale initiated a modern industrial culture in Aurangabad with the launch of Umasons, a medical equipment manufacturing unit in Aurangpura.
Since then, the Marathwada region has seen exponential growth and today accounts for 3,000 industries, including MSMEs, domestic as well as multinational players. I feel good when I come across budding entrepreneurs, who want to grab opportunities with both hands. For them, I would like to quote Swami Vivekanand, “Arise, awake and stop not till the goal is reached.” Aurangabad is one of the centrally located cities with good connectivity though there is still some scope for improvement. For example, the condition of roads, power for the industries and rail network are some of the problem areas. Another major issue is the air connectivity. There is an urgent need to increase the number of flights connecting Aurangabad, not only to Mumbai and Delhi, but also to other locations as well.
Chavan announced that 43 mega projects would come up in Maharashtra. Of the total, 13 would be major projects with a collective investment of over `10,000 crore that would be located in Marathwada region. These mega projects are expected to generate around 26,000 jobs in the state. Here, I would also like to add that the socio-economic environment is an important factor, which needs to be studied before initiating a new project. For example, we did a fantastic study before starting the journey in Aurangabad and therefore, have not faced any trouble whatsoever. I would like to add that this city has a great future. It is strategically located and movement in any direction would be equidistant. With such a strong geographic location, I am sure that Aurangabad will soon emerge as the most promising city for industrial development in the Delhi-Mumbai Industrial Corridor. It would not only earn laurels/revenue for the country, but also for the people living in and around Aurangabad.
FUTURE PLANS
GROWTH ON THE CARDS
We, indeed, have an ambitious plan for the future since we, as an organisation, are here to stay and grow by leaps and bounds. Currently, we manufacture only a handful of engine and generator set variants. Going forward, the plan is to localise the products as per the domestic requirements. Plus, we would develop more such products, which would be beneficial for both the Indian as well as the global markets. Talks are already on and once we get a go-ahead from our headquarter in the US, announcement will be made regarding the investments and various other aspects.
During a recent press conference, Maharashtra Chief Minister Prithviraj
nisi.rath@infomedia18.in
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PRODUCT UPDATE
This section gives information about products, equipment and services available in the market. If you know what you want. . . refer to Product Index on Page 34 to find it quickly
PLASTIC REEL CORE PLUGS
T
hese core plugs are manufactured using high-grade raw materials for providing quality products to customers. The plastic reel core plugs are widely used in paper mills for lowering their production costs. These are also used in the casting process to form internal cavities in the engine block or cylinder head. The range of plastic reel core plugs is known for its easy installation and replacement features.
Techno Plast Products Hyderabad - Andhra Pradesh Tel: 040-23090021 Mob: 09849657536 Email: blpvarma@yahoo.co.in Website: www.technoplastcomponents.tradeindia.com
LASER MARKING SYSTEMS
LINEAR POTENTIOMETER
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he Unilin–WT22 is push rod type linear potentiometer having both side rod end bearing and one meter Teflon lead wires with silicon rubber sleeve for reliable and flexible connection. It is available in different stroke lengths from 50 mm to 300 mm. Th is model is specially developed for the injection molding machine application. However it is also suited for general precision applications. The sensors use a long-life (>2 million cycles) with conductive plastic resistance element having linearity up to ¹0.1 per cent and very low noise in output.
Uni-Automation (India) Pvt Ltd Pune - Maharashtra Tel: 020-24420890, Mob: 09225573521 Email: sales@uniautomation.com, Website: www.uniautomation.com
LIGHT INTENSITY MEASURING INSTRUMENT
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hese machines can automatically load/unload materials, mark on the fly and dummy beam. The auto focus arrangement takes materials precisely to the focus of the beam and ensures same quality for each marking. These laser marking machines use 100 W of power to mark, cut and engrave nearly all the metals.
he sensor of the light intensity measuring instrument (testo 540) is adapted to the spectral sensitivity of the eye. Th is is ideal for the measurement of light intensity. The hold function allows an easy readout of the measurement values. Maximum and minimum values are displayed at the press of a button. Th is is very handy, small and easy to operate. Some of the specifications are hold function and maximum/ minimum values, including calibration protocol, protective cap for safe storage, including wrist strap and belt holder, sensor adapted to spectral sensitivity of the eye, and backlit display.
Suresh Indu Laser Pvt Ltd Pune - Maharashtra Tel: 020-56214374 Email: silaser@giaspn01.vsnl.net.in, Website: www.silasers.com
Testo India Pvt Ltd Pune - Maharashtra Tel: 020-65600203, Mob: 09375346186 Email: apatankar@testoindia.com, Website: www.testo-india.com
T
ELECTRONIC SAFETY SENSORS
ROCK BOLTS
R
he RSS-36 electronic safety sensors are equipped with the RFID technology, with different variants, each with different coding possibilities. These sensors also feature all well-known advantages of the CSS technology. A second version only accepts the target, which was taught during the fi rst start-up. In the third version, the teach-in process can be repeated any number of times.
T
oofex energy-absorbing rock bolts are unique, highly advanced bolts that can absorb rock movements with excellent predictability. These rock bolts are designed to dissipate and control large amounts of energy liberated from the rock mass deformation process. The rock bolts are designed to accommodate the whole spectrum of rock mass behavior as a solution for potentially extreme conditions occurring at depth.
Schmersal India Pvt Ltd Pune - Maharashtra Tel: 020-26741000, Mob: 09595457878 Email: info-in@schmersal.com, Website: www.schmersal.in
Atlas Copco (India) Ltd Pune - Maharashtra Tel: 020-30722222 Email: cmt.marketing@in.atlascopco.com, Website: www.atlascopco.com
SEARCH - Supplement June 2012
TIME SWITCH
T
his time switch Astro速 Mini is enabled with attributes such as trigger on sunrise/set and twilight rise/set, off set, off hours and weekly off features with 6 years battery reserve for high reliability. Simple reset, easy manual override, DST feature and ease of programming with 12/24 hour formats is versatile for lighting automation applications like lighting of streets, gardens, townships, building apartments, advertising displays and glow signs.
General Industrial Controls Private Limited Bhosari - Pune Tel: 020- 30680003 Email: marketing@gicindia.com, Website: www.gicindia.com
TESTING SYSTEM
T
his testing system ZWL 9200 adopts the advanced fast spectrum analysis system and has powerful in-built power supply with external power supply. It can accurately test the optical colour and electric parameter for LED luminaries, modules and lamps in short time. Th is is applicable for various kinds of lamps, different fi xtures and is made compatible for LED testing also. Th is provides highly efficient, user friendly interface and manual operation module. The high precision testing is done for optical parameters and other relevant parameters.
Agate & Agate Marketing Resources ( I ) Pvt. Ltd Kothrud - Pune Tel: 020 - 25469864 Email: aaresources@vsnl.com, Website: www.smt-india.com
RFID TECHNOLOGY
A
uto-ID procedures for the automatic identification of components, workpiece carriers or tools have been used in manufacturing for a long time. One of the main advantages of RFID as opposed to the optical Auto-ID procedures is that users can read the authenticity features and also rewrite them to a data carrier.
Turck India Automation Pvt Ltd Pune - Maharashtra Tel: 020-25630039 Email: sales.india@turck.com Website: www.turck.co.in
PRODUCT UPDATE
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PRODUCT UPDATE
Laser Technologies Pvt Ltd Pune, Maharashtra Tel: 020-65208337, Mob: 08080593077 Email: info@lasertechnik.co.in, Website: www.lasertechnik.co.in
BATTERY MAGNETS
T
hese consist of electromagnet, battery and control units with integrated charging set. The outstanding design characteristics make them highly versatile. Benefits include: compact design, with IP53 enclosure, also suitable for outdoor operation, loads are always picked up safely, etc. The battery magnets are ideal solutions wherever one has to transport magnetisable loads safely & efficiently.
Demag Cranes & Components (I) Pvt Ltd Pune - Maharashtra Tel: 0213-614200 Email: info@demagcranes.co.in, Website: www.demagcranes.co.in
LOW-EMISSION TAPES
T
CONFIGURABLE SAFETY RELAYS
T
hese confi gurable safety relays (PNOZmulti Mini) are also available in modular and expandable versions. Confi gurable control systems bridge the gap between classic safety relays and programmable control systems. The confi gurable control system PNOZmulti offers at least 40 per cent potential savings in all engineering phases. Inputs and outputs can be freely confi gured.
Pilz India Pvt Ltd Pune, Maharashtra Tel: 020-24213994, Mob: 09823181112 Email: s.kulkarni@pilz.in, Website: www.pilz.in
he LE-series (low emission), high-performance adhesive tapes meet the requirements for low emission values. These tapes fulfi ll VDA 275, VDA 200, DIN 75201A ISO 6452, DIN 75201B ISO 6452, solvent-free pure acrylic adhesive, free from resins & plasticisers, etc. The tapes are available with a variety of different carrier systems.
Lohmann Adhesive Tapes India Pvt Ltd Pune - Maharashtra Tel: 020-30220899, Mob: 09962547906 Email: yash.mittra@lohmann-tapes.com, Website: www.lohmann-tapes.com
MOBILE STORAGE SYSTEMS
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hese compactors are assisted mobile systems, which give users movement for the easiest access to stored materials of any other mechanical system made. The remarkable ease of movement is due to their rugged and durable performance engineering. Comfort and ease of use are enhanced by ergonomically designed, soft-touch, three spoke rotating handles.
LASER CUTTING SYSTEMS
T
hese TLM series 5-axis laser cutting systems simplify the processing of 3-dimensional workpieces to perform any number of cutting tasks. Run programs from G code or an NTC-developed simplified coding process. A simple-to-use teach-mode makes cutting path generation easy and takes the guesswork out of virtually all 3-dimensional cutting applications.
Su-Mech Storage Systems Pvt Ltd Pune - Maharashtra Tel: 020-67263800 Email: sumechindia@vsnl.net, Website: www.su-mech.com The information published in this section is as per the details furnished by the respective manufacturer/ distributor. In any case, it does not represent the views of
SEARCH
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SEARCH - Supplement June 2012
PRODUCT & ADVERTISERS’ INDEX
Looking For A Specific Product? Searching and sourcing products were never so easy. Just type SRCH (space) Product Name and send it to 51818
eg. SRCH Pump and send it to 51818 Products
Pg No
Abrasive rolls .......................................................................... 9 Air vent valves ................................................................... BIC Automation systems................................................................ 7 Balancing machine ............................................................. FIC Ball valve ........................................................................... BIC Ball valves ......................................................................... BIC Battery magnets .................................................................... 32 Brake motor .................................................11, 15, 21, 29, BC Configurable safety relays ..................................................... 32 Electronic switches ............................................................... 31 Energy consultancy service ................................................... 33 Flame proof motor ......................................11, 15, 21, 29, BC Flange mounting motor...............................11, 15, 21, 29, BC Flap wheels ............................................................................. 9 Geared motor...............................................11, 15, 21, 29, BC Insulating material solutions ................................................. 4 KEC AC motor ...........................................11, 15, 21, 29, BC KEC DC motor ..........................................11, 15, 21, 29, BC
Products
Pg No
Laser cutting systems............................................................ 32 Low-emission tapes .............................................................. 32 Material handling equiptment ............................................. 7 Measuring instrument ....................................................... FIC Mobile storage systems ......................................................... 32 Mops ....................................................................................... 9 Motors .........................................................11, 15, 21, 29, BC Precision plastic moulded products ...................................... 32 Pressure gauges ................................................................. BIC Pressure reducing valves ..................................................... BIC Proximity switches ................................................................ 31 RFID technology.................................................................. 31 Shrinking technology......................................................... FIC Slipring crane duty motor ...........................11, 15, 21, 29, BC Smooth starters ..................................................................... 31 Testing system ...................................................................... 31 Time switch .......................................................................... 31 Tool holder ........................................................................ FIC Tool logistics system .......................................................... FIC
Pg No
Advertiser
Tel. No.
Website
4
DSM India Pvt Ltd
+91-20-66430800
ojas.mehta@dsm.com
www.dsmep.com
FIC
Haimer India Pvt.Ltd.
+91-20-66 75-05 51
haimer@haimer.in
www.haimer.in
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Jayashree Electron Pvt Ltd
+91-20-27130295
sales@jayashree.co.in
www.jayashree.co.in
BIC
K P Sales
+91-240-2553769
jairaj@kpsales.in
www.kpsales.in
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Kumbhojkar Plastic Moulders
+91-20-24450055
sales@kumbhojkarplastics.com
www.kumbhojkarplastics.com
7
Om Sai Engineers
+91-240-2556225
response@omsaiengg.com
www.omsaiengg.com
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Perennial Technologies Pvt Ltd
+91-20-22953511
sales@perennial.co.in
www.perennial.co.in
9
Swajit Abrasives Pvt Ltd
+91-240- 2553787
response@abracutindia.com
www.abracutindia.com
11; 15; 21; 29; BC
The Indian Electric Co
+91-20-66865200
iecmktg@indianelectric.com
www.indianelectric.com
FIC = Front Inside Cover, BIC = Back Inside Cover, BC = Back Cover
Our consistent advertisers
RNI No: 67827 / 98 Licensed to Post without prepayment License No: WPP - 246 Postal Regd No: KA / BG GPO / 2564 / 2011-13 Posted at MBC, Bangalore GPO on 25th & 26th of Every Previous Month Date of Publication: 18th of Every Month.
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