Indian Trucks go Global

december 2014 CommerCial VehiCle 33 www.commercialvehicle.in

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mitigate risks and turn truly world-class. Supporting this endeavour is Indias ability to provide skilled manpower and a strong, local components industry. It is not for no reason, that Volvo chose to turn Eicher into one of their global brands. It was not for no reason either, that Volvo chose to invest in an engine manufacturing facility with Eicher to build some of the most modern engines to come out of Volvo in recent times. Daimler did not choose to invest Rs. 4,400 crores in India to build world-class trucks and buses for no reason. To invest in an India-centric brand and help its sites across the world to source components from India. Apart from a strong local market, there were export designs at work from the very beginning at Daimler.

Meeting the challengesAs the two trucks at the

IAA 2013 show for commercial

vehicles would

also claimed to have exported 9,504 rear engined auto rickshaws in CBU form, starting January 2014. Sri Lanka could be the largest buyer followed by Bangladesh and Kenya. It is clear, that the Indian auto industry is going global, and commercial vehicles are not an exception. Especially at a time when the Indian market for commercial vehicles is starting to take off after over two years of dry spell.Industry experts believe that it was this dry spell, which led to a near total transformation of the Indian commercial vehicle industry. Touching not just the Indian transporter, but also the Indian CV manufacturer. The way the two went about conducting their business led to the development of modern trucks with high performance engines. A bigger outcome was to go global in an effort to

Latin American markets, 77,056 commercial vehicles were exported during the last fiscal. The numbers were down 3.71 per cent when compared to 80,027 units exported in FY12-13, but the spirit to go places was unblemished. For the record, 28,813 M&HCVs were exported in FY13-14, up 21.97 per cent when compared to 19,524 units exported in FY12-13. In comparison, 53,243 LCVs were exported in FY13-14, down 12 per cent when compared to 60,503 per cent in FY12-13. The figures indicate that more medium and heavy-duty commercial vehicles were exported than light commercial vehicles. Consider three-wheelers (passenger and goods carrier), and a good 26,602 units were exported during FY13-14, up 19 per cent when compared to 22,346 numbers that were exported during FY12-13. Bajaj Auto Ltd. commands a distinct lead in three-wheeler exports followed by others. The company, which is actually a major player in the motorcycle segment, has been emphasising on exports for a long time now. Its three-wheeler exports may account for just a fraction of the two-wheelers it exports. The effort, as is evident, is not spared. Gujarat-based Atul Auto is claimed to have exported 704 three-wheelers starting December 2012. Bangladesh is said to be the largest buyer of Atul Auto followed by South Africa and Nigeria. Piaggio Vehicle Pvt. Ltd. is

Daimler displayed two Indian made trucks at the IAA Commercial Vehicle Show at Hannover in Germany. This was in October 2014. The two trucks - 3143 and FJ 2528R, marked the arrival of Indian trucks on the global scene. It was for the first time that Indian made trucks found a place of pride at Europes, nay, at the worlds biggest commercial vehicle show.

To add to their pride, the two trucks were displayed at the Daimler booth. At the booth of the worlds largest producer of commercial vehicles! According to Florain Laudan, Daimler India Commercial Vehicles (DICV) spokesperson, people walked to the Daimler booth to check out the two Indian made (Bharat Benz) trucks. Looked at them in disbelief almost;

photographed them. These trucks are reflective of the fact that India can produce world class products, expressed Florian. He cant be wrong. Indian trucks are no longer limiting themselves to a few neighbouring markets. They are looking far beyond and are eager like never before to turn the world into their playground.Invading Middle East, ASEAN and

A Fuso chassis is loaded on the ship for export.

Piaggio three-wheelers account for a portion of commercial vehicles exported from India.

Indian trucks

The world is turning out to be a playground for Indian commercial vehicles; the display of two Indian trucks by Daimler at the IAA Commercial Vehicle Show 2014 at Hannover

in Germany was a case in point.

go global

Story by : rajesh rajgor

34 CommerCial VehiCle december 2014 www.commercialvehicle.in www.commercialvehicle.in


december 2014 CommerCial VehiCle 35

GlobetrottinG cover story

overcomes one-wheel spinning and makes it easy to operate in arduous conditions. This truck promises better value in markets spanning the SAARC and African regions. The ability to mark a presence in more markets is proving highly beneficial to Daimler. We are the largest commercial vehicle manufacturer in the world and it is our presence as well as our export drive that insulates us from market fluctuations. Added Marc Llistosella, SVP (Marketing, Sales and Aftersales), Trucks Asia & DICV, It is also necessary to have a product suiting every requirement of every customer. With the 3143, Daimler may have highlighted its commitment for the Indian market, with the FJ 2528R it is already tasting much success in the export markets through its Indian subsidiary. Worthy of praise is Daimlers tryst to continuously reinvent and address market specific requirements. Daimler plans to export over 500 trucks under the Fuso brand to South Asian and African markets. Daimler also wants to double exports from India next year.

Volvo Eicher

According to

Atul Auto made three-wheelers are exported to Bangladesh among other export destinations.

The VE Pro Series will play a vital role as far as exports go.

plant on the outskirts of Chennai. It is designed keeping in mind the requirements of the Indian mining sector and offers a wider choice for export markets. Having high level of localisation, the 3143 is based on the Mercedes-Benz Axor platform (described as HDT platform by Daimler India). Producing 430hp, the 3143 is a highly capable truck. The other truck, the FJ 2528R, is a left-hand-drive design, and is also made at Oragadam. Sold under the Fuso brand, this truck is already catering to the export markets of Daimler India through the Fuso network. A highly efficient truck, the FJ 2528R is invading newer markets in Asia and Africa, presenting Daimler with access to more markets in the world. Said Florian, We are currently exporting to 9 markets of the 15 envisaged. We are also looking at more markets.Powering the FJ 2528R is a 280hp, 6.3-litre turbo diesel engine. Weighing 25-tonnes (GVW) and having a 450mm wheelbase, this rigid truck has standard equipment like differential lock,

Deepesh Rathore, Director, Emerging Markets Automotive Advisors (EMMAAA) Eicher is taking Volvos help to export commercial vehicles. The export plan is said to involve the Pro 1000 and Pro 3000 series. The second phase would involve the export of Pro 6000 and Pro 8000 series trucks. Sources also claim that the export of Pro series trucks is part of a plan to carve a significant share of every export market touched. A 15 per cent market share each at least. This will be on the back of a strong distribution channel and aftermarket sales and services. The current export markets of Volvo Eicher include South Asia and a few countries in Africa and the Middle East. The products that will follow the Pro 1000, Pro 3000, Pro 6000 and Pro 8000 series, will be also adapted for exports to these markets by leveraging the Volvo Group distribution system. Between January 2012 and November 2014, Eicher is claimed to have exported 6,95,923 units, with Bangladesh as the largest buyer followed by Tanzania and Nepal.

ashok leylandAshok Leyland (ALL) received an order to supply 2,200 buses to Sri

Lanka. The order was placed by the Government of Sri Lanka, and is one of the largest by the Sri Lankan Transport Board (SLTB). ALL will address the order within a span of six months. This will help the Chennai-based commercial vehicle major to reinforce its position as the market leader in Sri Lanka. This order is huge and comes right at the time when the domestic market is picking up. This order reaffirms our efforts to enhance sales beyond India, said Vinod K Dasari, Managing Director, ALL. Exports to the Middle East

and Bangladesh continue to do well. Last year was not good, but this year, large orders are coming from Sri Lanka, he added. The ALL Captain series trucks available in the 16-tonne to 49-tonne category could also turn out to be good candidates for export. They are had in various types, including tippers, tractors and haulage vehicles. ALL is claimed to have exported over 1000 units of Dost to neighbouring markets of Nepal, Sri Lanka and Bangaldesh starting March 2013. Bangladesh among the three countries mentioned above is said to be the largest buyer of Dost. In the case of Boss, significant export momentum is yet to be gained. In what could be termed as the jewel in the crown the company bagged two large integrated urban transport projects in Tanzania and Zimbabwe worth USD 79.2 million. We have made a conscious effort to provide thrust to our international operations, and Africa is a very important part of this strategy. 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, said Dasari. The order includes a mix

Ashok Leyland bus in Sri Lanka.

Ashok Leyland Captain could mark the next wave of exports.

indicate, Indian trucks are finding takers in challenging markets the world over. Sold under the Fuso brand, Indian trucks made by Daimler are finding takers in Africa, a market where man and machine are often put to a grueling test like no other place on this earth. Such feats are certain to further elevate the annual export volumes of Indian made trucks. Global brands such as Daimler and Volvo are already utilizing their Indian operations to fuel their export plans. They are also exploiting their supplier base for the same cause. It should not come as a surprise therefore, that Indian commercial vehicles and components are found in almost every market of the world, turning them truly world-class.

Made in India, for the worldOf the two trucks Diamler chose to display at its booth, the 3143 is made at Daimler Indias Oragadam

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Tata Motors launched the 8-tonne Ultra in Sri Lanka in October 2014.

Tata Ace ferrying bakery products in Sri Lanka.

of trucks, intercity and tourist buses, LCVs, spares and allied support services.With the companys Pantnagar plant having the capacity to roll out 10,000 units per month, ALL is said to be working towards elevating its export thrust; cater to export demands from regions such as Latin America, the aforementioned Africa, Middle East, and South East Asia.

Tata MotorsTata Motors is currently the largest truck exporter from India with close to 40,000 units p.a. It intends to export between 1.5 lakh and 1.6 lakh commercial vehicles p.a. in the next two to three years. Keen to increase its export share in regions like Africa, and countries like Australia and Indonesia, it is the SAARC region where the company currently enjoys a good hold. Some African countries are growing at 6.5 to 8 per cent p.a., but are short of enough vehicles. This creates an opportunity for Indian manufacturers. Commercial vehicle manufacturers to be precise. With 10 per cent of its total commercial vehicle sales coming from from exports, Tata Motors, foreseeing a surge in demand, showcased six new

high-performance vehicles in the construction equipment segment (read haulage tippers and ready mix concrete body). New trucks under the Prima and Ultra range will be launched at the fag end of 2014 or early next year. Both Ashok Leyland and Tata Motors are looking to double their volumes and hope to see contributions from exports to surpass the usual 15- to 20-per cent in the next five years.Capitalising on the Intermediate and Light Commercial Vehicle (ILCV) range of trucks, Tata Motors launched

the Tata ULTRA 612, Tata ULTRA 812 and Tata ULTRA 912 in

Sri Lanka in October 2014. These trucks are

available in three GVW options of 6-tonne, 8-tonne and 9-tonne suitable for various applications. The Tata ULTRA is the result of the feedback from customers to meet their expectations in the ILCV segment. Keeping in mind the

changing needs of customers and changing technology, we have once

again taken a pioneering step in Sri Lankas commercial vehicle industry by launching the Tata ULTRA range of trucks, said Ravi Pisharody, ED, Commercial Vehicles Business Unit, Tata Motors Ltd. The launch of the Tata Ultra range of vehicles in Sri Lanka, is an important milestone in Tata Motors continued expansion globally. The ULTRA range of commercial vehicles was conceived as a modern platform that will serve the needs of new generation trucks, added R T Wasan, Head International Business. Sri Lanka also has a sizeable population of Tata Ace according to industry sources. A total of 44,557 units of Ace are said to have been exported between January 2012 and November 2014.

asia Motor WorksAsia Motor Works (AMW) has been exporting its commercial vehicles for the last few months, and has reached volumes of over 200 numbers. All AMW products, including rigid trucks, tippers and tractor-trailers have found markets beyond India according to sources close to the manufacturer. AMWs current export focus includes SAARC and East African markets. As of current, the entire range of Medium and

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Scania currently exports to SAARC nations.

Mahindras key export markets include SAARC countries, South Africa and Indonesia

Heavy haulage vehicles and tippers are exported. India is uniquely positioned in terms of technology and diversity of usage of commercial vehicles. While we are fully equipped to service markets which have a similar operating environment, we are not too far from highly developed markets when it comes to innovation and product development, said Anirudh Bhuwalka, Managing Director and CEO, AMW Motors. AMW has had success with its business model here in India and there is every reason to believe that we can replicate it in other markets. We have the design and manufacturing base, manpower skills and the passion to excel. We aim to build a strong market presence in our chosen segments, he added.

ScaniaEven Scania, according to the industry sources, is planning to double its capacity in India to cater to exports. Currently, the exports (from India) is only to SAARC nations. This year, Scania will deliver over 450 trucks and 100 buses in India and next year wants

to double the production capacity. The company have invested Rs. 350 crore in India to produce over 2,000 units of trucks and 1,000 units of buses. Once the top limit is achieved the company will invest again. It considers India to be the biggest market in the world by 2020. Already, Scanias bus body business is 100 per cent indigenous, while chassis is 20 per cent localised. A source close to the company informed us that Scania is focussing on export starting 2015.

It is targeting to export about 100 units of trucks and buses in the year 2015. These countries will be part of SAARC region. The current focus will be on exporting Scania P410 8x4 Tipper and Scania Metrolink HD Coaches to the SAARC countries, added the source.

Mahindra Trucks and busesMahindra is claimed to have exported 30 Truxos beginning December 2013. Nepal is said to be the largest buyer of Truxo followed by Bangladesh. 271 units of the Bolero Pik up and Maxi Truck light commercial vehicles are also claimed to have been exported begining January 2012. Sri Lanka and Kenya are said to be the buyers of the two LCVs. The world, it is increasingly clear, is turning out to be a play ground for Indian commercial vehicles. The display of two Indian trucks at IAA 2014 show at Hannover, Germany reflected this like no other event would. It also reflected the fact that an Indian commercial vehicle is no less in terms of quality and technology; is no longer cheap. The event aptly reflected the fact that an Indian commercial vehicle offers profound value.

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Indian Trucks go Global