“Q3 of 2020 should see uptrends in CE” – Dimitrov Krishnan, Vice President & Head, Volvo CE

Outlook – CE industry

“We are hopeful that the government announcements will come into some real action though it may take six months or so. So, even if the new year is going to start quite muted, we feel that if the government continues the focus which has been brought in now, and they are able to get the action on the ground, then by the third quarter of 2020, we should see a good build up. But for now, the market is definitely cautious. One positive sign is that the seasonal pickup has already happened since the last four months or so, and the market has grown every month by 10% month-on-month though it is still lower than last year.”

Unveiling…

“We are showcasing future technologies in the form of a futuristic quarry. It is a concept at this stage, not commercially available yet. It is a working model of an electric site that we have developed along with Skanska, Sweden, and in this we showcase how we have brought down the carbon footprint by 98%.

“In this EXCON, we have on display products in three segments – road construction, mining and construction. We are focused on trying to generate real buying interest and display our brand so that we can convert the footfalls with our complete portfolios.”

Challenges

“Road construction is the segment to focus on but there have been challenges. The projects on ground have been awarded yet we are waiting for the work awards to be given out yet. Land acquisition is a big challenge where though tenders are getting allotted but work orders are not getting released till 80% land is acquired. But positive signs are there too in the form of the on-going project which is Delhi-Mumbai new alignment for which the contractors are buying. Then the concerned minister also announced a new alignment between Pune-Bengaluru. He also promised no more financial constraints and that they will adopt the EPC mode. Then some of the old projects are restarting and the projects in Uttar Pradesh and Purvanchal are continuing, for which machines have already been mobilized.

“A major challenge in the last one year or so has been how the State Governments have changed in Rajasthan, Madhya Pradesh, Chattisgarh, Telangana, and Andhra. Then, for example, Maharashtra has been one of the key drivers of demand but now we are waiting to see how Samruddhi expressway will pan out with the change in the government.

“We feel that the period of project reviews is over. Now is the time for the State Governments to take action. We think all pointers are for a better 2020 compared to 2019.”