Financial Daily from THE HINDU group of publications Thursday, Jun 08, 2006 |
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Corporate
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Outlook Marketing - Retailing States - Andhra Pradesh JCB India aims to boost sales in AP Our Bureau
Visakhapatnam , June 7 JCB India Ltd, manufacturer of construction and earth-moving equipment, is hopeful of boosting its sales in Andhra Pradesh, as the State Government has taken up irrigation projects on a large-scale, according to Mr Vipin Sondhi, Managing Director. He was addressing a press meet here on Wednesday after inaugurating the new showroom and service centre of the dealer, Vishnutek, in the industrial estate, built at a cost of Rs 2.5 crore. Mr Sondhi said the company had 55 per cent market share in the country and 80 per cent share in backhoe loaders. "Roughly, 18,000-19,000 machines are sold in the country. Our main product in the country is backhoe loader, but we have the whole product range of JCB at our disposal. As the market develops, we will manufacture and market the others too," he explained. During 2005-06 financial year, the company could sell more than 7,600 machines and it was expecting 30 per cent growth per annum, he said. The company had appointed 39 dealers across the country and there were 190 service outlets. He said the company had two manufacturing plants - one at Ballabgarh in Haryana and the other at Pune. "We are going to invest roughly Rs 350 crore on these plants. We are spending Rs 250 crore on the two plants in the vicinity of Pune. One of them has already started manufacture of components and the other would start production later this year. We intend to produce track excavators and wheel-loading shovels in the second plant," he said. He said there was great scope for selling telescopic handlers as many high-rise buildings were being constructed in the country. "We have a strong R&D centre. We indigenise and adapt the machines to suit Indian conditions," he said. Mr. P.R Prasad, Managing Director of Vishnutek, said the dealership would cover the coastal districts from Srikakulam to Guntur. "We have opened this state-of-the-art facility to provide quick and quality service to our customers. Besides, we have service outlets at Vijayawada, Rajahmundry and Srikakulam. We also have parts outlets at Chillakallu and Eluru," he added.
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