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Industrial gear drives & motors industry
Experiencing a positive growth trend

Interview of Chief Executive Mr. Kuldeep Aggarwal in Engineering Review,  December 2006 issue

Engineering Review Dec-06

Engineering Review Dec-06

Interview Published in the issue

Q) Current scenario of Gears & Motors industry?
A) As per Mr. Kuldeep Aggarwal (Chief Executive) Agro Engineers, globally and in India, Industrial Gears remain a very challenging Industry. The Gear, motors and mechanical power transmission equipment is generally highly competitive with very low margins. Last 7 years have been especially critical with cost of input doubling, but sale prices rising by few percentage points. But in present scenario as buyers are becoming more sensitive, manufacturer can no longer rely only on their low production cost to gain a competitive advantage. The need to cut costs and improve productivity is driving manufacturers to invest in more efficient power transmission technologies. Gears are important to the construction and performance of nearly and machinery, either as components of the any different machine required producing a product, as components of the machinery itself. They affect the reliability and the cost of production. Although, gears are most basic form of engineering product, reliable and cost effective suppliers are difficult to identify. Secondly, gear boxes lack the standardization of sizes unlike electric motors. So, in case of break down of gears, repair or replacement may take considerable time, generally few days, sometimes this may run into months. So, generally, customers prefer reliability over everything.

Q) Future prospects of Gears & Motors Industry?
A) Mr. Aggarwal explained that industrial gear drives and gear motors perform vital function in manufacturing sector. The demand for reliable power, smaller sizes and more energy-efficient power transmission systems create several opportunities for gear industry. The industrial gear drives and gear motors market is forecast to experience a positive growth trend. Major market trend in gear market includes increasing product quality, decreasing product delivery times, services offered and most important new product development is increasing gear competition. The prospect of the engineering industry is strongly correlated to the economic activity in the country especially in core sectors like power, infrastructure, mining, oil. As investment cycle is going up government emphasis on improving the infrastructure, capacity addition in various industries like textiles, steel, metal etc will lead to increase in demand from engineering sector. Hence engineering components like gear and motor industry, boilers etc will witness growth in future. Gear drives and gear motor prices have fallen over past years and this has increased the demand and interest.

Q) Standing in the global competition?
As per Mr. Kuldeep Aggarwal (Chief Executive) Agro Engineers the Indian Gear & Motor Industry is dependent on the automotive industry, engineering industry and machine tools industry for its production. In order to survive and maintain market leadership there is a need to maintain the quality of the products that are comparable to global standards. The vision is to build a strong technological foundation. The reduction in the import duties has made the imported engineering goods cost effective as compared to indigenous items. Today, industries and engineering sectors are compelled to cost-cutting work, increase productivity and improve efficiency in manufacturing etc, for their survival. It is said that once the price is forgotten, quality is remembered for a long time. Thus the quality product manufacturing at the reduced cost needs a stable manufacturing process and hence emphasis must be given to research & development as there is a scope of improvement in it. There is a greater need to automate the process, mechanism and systems in order to achieve repeated quality standards at all levels of the industry. The export has advantage that it enhances our quality of the products, optimises the product design, instinct quality in every act. The vision is to build a strong technological foundation. The vision should be towards bringing ones identity at the global recognition. If we package the right ingredients in our product, we can always sell in any part of the world. There are certain points which need to be improved for the global presence like we must concentrate on making necessary improvements in R&D, quality improvement (Qualify for ISO 9000 series or other equivalent standards to ensure good quality and capability to maintain such quality.), Use of CAD for optimization, use of PATSER scheme (Programme Aimed at Technological Self Reliance) of DSIR. For transport weight is important. Manufacturer must look into the possibilities of developing low weight less space transmission.

Q) Technology transformations in Gears & motors industry?
A) Mr. Kuldeep Aggarwal (Chief Executive) Agro Engineers commented that the Indian gears industry initially manufactured almost the complete range of metal-cutting and metal-forming machine tools in standard, basic designs. The products from the Indian basket comprise conventional machine tools as well as computer numerically controlled (CNC) machines. Efforts were going within the industry to improve the features of CNC machines, and provide further value additions at lower costs, to meet specific requirements of users. The Indian industry manufactured its early products through technical collaborations from world-renowned manufacturers. But later on industry has relied entirely on its own R&D efforts to develop and market a contemporary range of CNC machine tools. This enabled them to modify their manufacturing processes in order to become more productive. Hence with all these enhanced features, competitive pricing and marketing focus has increased demand for Indian-gear industry in overseas markets, particularly in Europe United States, and the East-Asian region.

Engineering Review December-06Engineering Review - A monthly magazine on engineering and allied industry



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