Oerlikon Drive Systems targets Rs. 2,000-cr turnover by 2018

IMG_6976

Oerlikon Drive Systems – Segment of Oerlikon Group – with its Oerlikon Graziano and Oerlikon Fairfield product brands is a leading worldwide provider of complete drive systems, gearing solutions, transmission components and shifting solutions. The products are used in a wide range of applications to operate machinery and equipment for agriculture, construction, energy and mining, and transportation.  Oerlikon Fairfield has been available to its global customers for more than 90 years and Oerlikon Graziano has more than 60 years of global presence.

In India, Oerlikon Graziano and Oerlikon Fairfield were incorporated in 1993. The company, headquartered in New Delhi, started operations in 2000, at two different locations, Greater Noida and Belgaum. The plants manufactured products such as large and small gear components, synchronizers and clutches, driveline products, custom gear assemblies and solutions. Some of its major customers in the Indian market include John Deere, M&M and JCB, while its global customer base covers heavyweights such as Volvo and Scania.

Talking exclusively to MOTORINDIA, Mr. Rajesh Aggarwal, Head – Sales & Marketing, Drive Systems India, Vice President, Graziano Trasmissioni India Pvt. Ltd., observed: “We are market leaders in synchronisers in India with a share of nearly 95 per cent for our products. We are a single source supplier of synchronisers to major OEMs such as VECV, Tata Motors, and Force Motors and wheel loader axles to JCB and L&T in the construction equipment segment. We also have one of the best gear manufacturing plants in the country.”

IMG_6990

India is of increasing importance to the company’s Drive Systems segment both as a market and manufacturing base. At present 60 per cent of the segment’s Indian revenues are from domestic market sales, with the balance coming from export sales in the agricultural, construction equipment, commercial/utility vehicle and industrial applications markets.

In 2013, the segment recorded a growth of nearly 20 per cent despite the downtrend in the Indian market. The company’s sales turnover for 2013-14 is projected to touch Rs. 1,000 crores, of which the agro sector contributes around 60 per cent, the construction equipment space 25 per cent and the CV industry the balance 15 per cent.

Referring to the company targets for the coming years, Mr. Aggarwal said: “We have a new plant coming up are looking to double our turnover in the next four years. We are quite optimistic of reaching our turnover target of Rs. 2,000 crores by 2017-18. At present, we are waiting for the market conditions to improve and also exploring to enter into new markets.”

IMG_7001

Research and development (R&D) is fundamental to Oerlikon’s continued success in India. The company has an Indian design team at its Noida plant through which it has been constantly bringing in new products to the market and been able to reach new markets such as Turkey, Russia and Brazil from India.

New facility in Gujarat

In order to cater to the increasing demand for its products, Oerlikon’s Drive Systems segment had laid the foundation stone of its third Indian plant in India at Sanand, Gujarat, a few months ago. The Indian operations are likely to account for nearly 20 per cent of the segment turnover once this third plant will be fully operational and will allow Drive Systems to deliver high-tech products and solutions at competitive cost by leveraging local talent for local markets in an area where most current and prospective customers are based.

IMG_7002

“Our new plant in Gujarat will start commercial operations in Q1 2015 and when fully completed, within five years, it will be the biggest facility for Oerlikon Drive Systems in the world. We will be moving our assembly and export operations from our Noida and Belgaum plants to the new one thanks to its proximity to the port”, added Mr. Aggarwal.

The new Gujarat plant will be specialised from transmission synchronizers, for which India is already recognized as an international competence center, to assemblies for full and final transmissions for high-end trucks, off-road applications and passenger cars. The facility will also showcase Oerlikon’s commitment to environmental sustainability with high energy efficiency and efficient waste water management.