Excavators In Construction - COVER STORY

The global Excavator market is estimated to reach USD 63.14 Billion by 2026 from USD 44.12 Billion in 2018 indicating a CAGR of 4.7% during the speculated period. The growth is assessed with increased investments by private construction companies and government in infrastructural development such as residential, commercial and industrial projects.

There has been a notable global demand across end use industries for more fuel-efficient, technologically upgraded equipment for improvising construction activities. Adopting upgraded excavators results in reduced labour costs, reduction in operational costs and tracking of work progress at every stage.

The Indian Excavators market with the forecasted period of 2020-2026 is expected to grow with rapid urbanization, population and industrialization across the country. Investment of foreign direct investment in the country, rising government spending in smart cities, infrastructure and construction projects are some of the key growth drivers of the India Excavator market.

Driving Trends

• Excavator Propelled By Hydraulic Power
Modern hydraulic excavators come in a wide range of sizes. The new hybrid models now manufactured has the lowest ever fuel consumption and has also been designed to further reduce CO2 emissions and running costs. Incorporating proven technology, an advanced hydraulic system and a new lightweight arm, it achieves this without compromising on high levels of performance and easy operation.

• Advanced Hydraulics Excavator Technology
With the advent of hydraulic-powered attachments such as a breaker, a grapple, or an auger, the excavator is frequently used in many applications other than excavation. Many excavators feature a quick coupler for simplified attachment mounting, increasing the machine’s utilization on the jobsite.

• Excavator Operational Safety
Excavators should be equipped with adequate visibility aids to ensure drivers can see areas where people may be at risk from the operation of the machine.

An operator’s efficiency is paramount with regard to optimising the output. Comfort and safety of an operator are of paramount importance as it not only ensures safe operations at the construction site but also increases the efficiency of the operator.

• Operator-Friendly Language In Excavators
Customizations have to be in sync with the market and the on-ground realities for making the most of it. A country like India where there is no unifying language and different languages are spoken in every district and state, it becomes counterproductive to have all instructions about the machine in a single language. This simple customization helps interact better with the operator.

• Smart Technology In Excavator
IOT is being implemented in construction for data gratification and safeguarding of products. Manufacturers are now leveraging digital technology by integrating Big Data and the Internet of Things in its products and services. The new range of intelligent machines exhibits the blend of technology and digital innovation to meet the demand for world-class machines to build India’s Next-Gen Infrastructure.

• Efficient Fuel Consumption Of Excavators
Modern manufacturers have fitted their machines with fuel-saving technology and offer many different fuel-saving services. Reducing fuel consumption by improving efficiency not only saves money for companies but also helps reduce their impact on the environment. Every litre of diesel fuel saved means there is 2.6kg less carbon dioxide released into the atmosphere.

CE&CR in conversation with the industry leaders gets in-depth views on the special story and what do they have to offer to the Indian Excavator market:

Sandeep Mathur
Brand Leader
New Holland CASE Construction Equipment Pvt Ltd.

CE&CR: What are the Growth Opportunities for CASE Construction?

Sandeep Mathur: In the times of evolving and transforming from mechanical to digital form, there is expected to be an increase in demand. The manufacturers are adapting to the Industry 4.0 approach, there is immense scope of growth for CASE Construction as the customers are always looking for products that will help them increase efficiency and reduce downtime. We aim to fulfil the demands of the customers by providing productivity, reliability, and efficiency.

Besides, we also look forward to opportunities with various infrastructure projects in the road and highways sectors where the government has made huge investments with an expected capital spending of 18%. Further to growth opportunities, we are offering products which are BS4 compliant that offer maximum fuel efficiency. Considering the feedback of the consumers and the market scenario, we expect the demand to increase in the near future and eventually expect to increase the market share of CASE Construction in India.

CE&CR: Shed some light on the Customer Interface of your products.

Sandeep Mathur: CASE Excavators are designed with intelligence by incorporating smart features to improve productivity and enhance performance. Our unstoppable machine is made for the toughest application and provides comfort and safety for the operator. One of the important features of the excavator is the cab design where the operator tends to spend the most time. To ease the job of the operator, the cabin has expanded legroom and headroom. The digital displays help is easy monitoring and problem-solving in the field. CASE, being a technologically first brand contains an ergonomically built seat with eight different adjustments, allowing for a better lever position to ensure the operator’s comfort.

The operator’s visibility is fully taken care of, with wide glass windows all around that enhance productivity and site worker safety, as well as an open-able roof window for greater visibility on the top. In addition, our excavator cabin incorporates a vibration dampening system, which lowers vibration and enables all-day productivity. A right-hand console contains 3 power modes to meet the needs of every consumer. Case excavators are equipped with a 7” LED cluster that regularly monitors the key machine parameters.

Along with the features, we offer training and upskill the operators during the delivery. With a detailed booklet and instructions, we manage to stay connected with our customers at every step post-purchase. As the times are changing rapidly, it is necessary to keep the customers updated about the new advancements which will help them increase their productivity.

CE&CR: What are the Technological Advancements and Up-gradation mechanisms being taken up by CASE?

Sandeep Mathur: Digitalization is booming and revolutionizing the country’s fourth industrial revolution. The equipment is created and constructed using digital technologies that enable real-time cooperation and increase labour productivity. Excavators’ engines have advanced due to technological innovations. The new CASE excavators (CX C- Series) are equipped with the world-class FPT Industrial engine, which saves time by up to 4% greater fuel efficiency due to hydraulic system control and 6% efficiency from the FPT engine. It also features 5 energy-saving controls that enable continuous consumption monitoring and an ECO gauge function that keeps you informed of the machine’s engine usage.

CE&CR: What are your views about the Rising Demands and Supply Chain?

Sandeep Mathur: India is developing at a fast pace and there are various infrastructure projects across the country which requiresconstruction equipment. As the industry is growing, it is exciting to see the rising demand for machines like excavator for construction projects.

Additionally, there is also a rise in the rental market for construction equipment. Customers prefer to rent machines instead of spending huge capital on such machines. At CASE, we are working towards maintaining and supplying world-class equipment for smooth functioning in the field.

CE&CR: Share your Future Outlook for CASE Construction in the Indian market.

Sandeep Mathur: The excavator market is anticipated to increase over the years, despite the consequences of the unforeseen pandemic. All is a result of rapid urbanization, new infrastructure initiatives and a stronger economy. The expansion of the global excavator industry is expected to benefit the Indian market. The emphasis is on developing better control systems with modern technologies to make things easier for the consumer. Due to higher purchase and maintenance costs, emerging trends such as excavator renting are driving the industry. As a result, the rental sector in India is likely to grow in the future, giving better and more affordable deals to customers.

E. Moses
Vice President – Division & National Head
Kobelco Construction Equipment India Pvt. Ltd.

CE&CR: What are the Growth Opportunities for Kobelco Construction Equipment India Pvt. Ltd.?

E. Moses: The CE industry is currently having a positive outlook and growth prospects in the short to medium term are anticipated. This creates opportunities for all the players especially those with better demand outlook matched by a healthy supply position. OEMs dependent on imported kits face challenges in responding to market demand fluctuations as the supply lead times are longer and changes are difficult. Emerging opportunities can be lost solely due to such constraints.

KOBELCO has a strong customer base and enjoys the patronage of its customers in view of their USPs of high productivity, reliability and excellent field support. The business plan adopted by the company will facilitate an aggressive approach and the outcome should be quite good. There will be every effort to improve the existing market share. The next two years are expected to be positive but the following year; a general election year may be a challenging one, going by past trends.

CE&CR: Shed some light on the Customer Interface of your products.

E. Moses: KOBELCO has always adopted a ‘Customer First’ focus in all its efforts and offerings, whether it is in understanding the needs & challenges, product design & development, or providing the on-field support. A personal ‘connect’ with the customer and the jobsite was traditionally established and maintained. Now, with the advent of new technologies, customer-enabling features were built into the machines. For example, the telematics system installed on every machine enables the customer to directly monitor the key performance parameters of their equipment remotely. With the prevalence of digitalization, new avenues of interfacing with customers have emerged. The company website along with platforms like Facebook, LinkedIn, Twitter, WhatsApp, etc. provide new interfaces with the customers. An app is the next interface to follow.

CE&CR: What are the Technological Advancements and Up-gradation mechanisms being taken up by Kobelco India?

E. Moses: Kobelco has been a technology leader with innovative features and regular improvements in line with feedback from customers as well as our own teams in the field. Our in-house R&D Center inJapan is continuously working on improvements in design and performance for enhancing the machine productivity and reliability. The XD structure, improved Incorporation of current technologies like Robotics, IOT, AI, etc. as well as specific features like grade control are in various stages of development. Some are already introduced in developed markets either on regular or pilot basis and may be introduced in the Indian market in due course.

CE&CR: What are your views about the Rising Demands and Supply Chain?

E. Moses: Matching the demand with supply is always a challenge especially when the situation is changing frequently. Most companies faced severe issues during the pandemic and things have somewhat settled down of late. However, things could change quickly in case of any market movements. Kobelco has been active in recent times with new launches, in 20-22T segment late last year and more recently in October’21, in the 14T segment. Business plans for the second half of the current financial are on course.

CE&CR: Share your Future Outlook for Kobelco India in the Indian market.

E. Moses: KOBELCO has had a sustained growth in the Indian market despite several fluctuations during the nearly 15 years of its existence here. This is largely a result of the strategies adopted by the company to grow steadily but with a strong support arrangement for the customers. The company has also ensured that the ‘Value Addition’ to the various models has been sustained and customer benefits have grown steadily.The company’s growth plans are in line with the expected market trend in the coming years. The introduction of new emission and safety norms by the government is likely to impact the market. It may compel OEMs to upgrade their older models/variants to ensure compliance. Equipment prices are likely to move upward, which could be more in case of low-priced units.

Rahul Shorey
National Head - Construction
TATA Hitachi

CE&CR: What are the Growth Opportunities for TATA Hitachi?

Rahul Shorey: The government has articulated its commitment towards investment in infrastructure till 2025 with the execution of the NIP amounting to `112 lakh crores. Further, in its Union Budget, the government reiterated its focus on investment in infrastructure by enhancing the Capex to `5.54 lakh crores– up nearly 26% y-o-y. We expect this trend to continue in FY22-23 also. 28 commercial coal mines have also been auctioned and more are to follow. In addition, auctioned iron ore mines in Odisha that are yet to restart are expected to add to the demand.

With our full range of excavators, we are primed to leverage these opportunities across the infrastructure, construction, agricultural and mining applications. Our mini excavators address opportunities from increased mechanization, urbanization, agriculture, and deployment in rural water supply programs. The construction range of excavators from 7-Tonne to 40-Tonne offer opportunities to capitalize on investments in irrigation, infrastructure, construction, mining, and quarrying applications. Customized machines are also available with a wide range of attachments like long-reach, long-arm, clamshell bucket, tunneling, rock breaker and orange peel, among others. Opportunities for the mining range of over 45-Tonne class excavators are immense, particularly led by coal with Coal India’s thrust on modernization and upgradation of equipment to bring in latest cutting-edge technologies in larger mining excavators and dumpers as well as new mines opening for commercial coal mining.

Similarly, our offerings in excavators are complemented by our Shinrai range of backhoe loaders as well as the country’s first indigenously developed fuel efficient hydrostatic TL34H Prime wheel loader. This is further complemented by Hitachi’s state-of-the-art mining wheel loaders. All the above factors are expected to contribute to growth opportunities for Tata Hitachi.

CE&CR: Shed some light on the Customer Interface of your products.

Rahul Shorey: Cabin is a very important part of customer interface in the machine. Operator friendliness and ergonomics are key differentiators for us. We have worked on developing superior safety, ergonomics, and comfort. These include cabin protection and compliance to international safety standards, seating comfort to match international standards, proper layout of controls for better ergonomics, quality materials and build quality to ensure proper performance, proper layout of components and following proper standards of safety, among others. Further, with increased used of digital technologies, telematics and mobility solutions have become a standard for Tata Hitachi. ConSite and InSite are two proprietary technologies that enable customers to remotely monitor Tata Hitachi machines through granular, real-time operational, maintenance, location and health data.

CE&CR: What are the Technological Advancements and Up-gradation mechanisms being taken up by TATA Hitachi?

Rahul Shorey: Our hydraulic excavators are renowned for their superior hydraulics, leading to high operational speeds and low fuel consumption. In addition, their easy maintainability and high resale value lead to phenomenally high returns on investment for the customer. We have laid special emphasis on customer-friendly solutions that are easy to adapt to and help in enhancing usability and serviceability. With this focus, we have worked towards hydraulic efficiency enhancement and engine power optimisation.

Apart from this, to go green, we are migrating our engines to ensure emissions compliance as per CEV-IV norms, further enhancing the fuel efficiency. Hydraulic excavators are increasingly being used for applications that expand its capabilities beyond just use of buckets for digging and loading. There are a wide range of attachments that can be put in place of the bucket on the arm, on the boom in place of the arm, as well as on the main frame directly in place of the standard boom, arm, and bucket.

While the attachments on the mainframe and boom are permanent fixtures for the most part, the attachments fixed on the arm end are interchanged at will based on work requirements. The introduction of Tata Hitachi’s range of hydraulic and mechanical quick couplers enables quick and seamless changeovers with minimal helper assistance, giving greater flexibility. Some of the arm end attachments that are being offered by Tata Hitachi include the rock breaker, shear, various grabs, magnets and many more on our range of excavators and backhoe loaders.

CE&CR: Share your Future Outlook for TATA Hitachi in the Indian market.

Rahul Shorey: The future offers immense opportunities for Tata Hitachi to grow and leverage the opportunities offered by the growth in the economy. We continue to make investments in products, services as well as extending and investing in our dealer partners. We will introduce newer products across the excavator range keeping in mind both customers as well as emerging industry requirements tailored to their needs. These will include newer products as well as customized machines as well as a range of attachments to choose from.

Deepak Shetty
CEO & Managing Director
JCB India Limited

CE&CR: What are the Growth Opportunities JCB India Limited?

Deepak Shetty: Excavators form a very important part of the value chain on the worksite. These machines are today vital in the completion of large infrastructure projects in time. JCB has a wide range of excavators from the 3-tonne mini excavator to the 38-tonne mining excavator, there is a machine for virtually every application. The state-of-the-art factory at Pune manufactures these machines to One Global Quality, not only for the domestic market but also for various countries around the globe.

There has been a sustained focus of the government towards building infrastructure. This has created opportunities for growth in the construction equipment sector. JCB with its wide range of products looks forward to leveraging these opportunities. The recently constituted Gati Shakti programme, the focus on irrigation, power and projects in rural India are going to be the lead growth drivers for these products, including excavators. The pandemic has also highlighted the need for a robust health infrastructure across the country. Thus, going forward this will also be one of the areas where construction equipment will play a significant role.

CE&CR: Shed some light on the Customer Interface of your products.

Deepak Shetty: As excavators become advanced and smarter, there exists a need for a real-time interface of the machine, the user, the customer and the dealer. JCB excavators are today connected in real-time through our advanced telematics technology called Livelink. This technology gives real-time updates on the Service, Operations and Security of the machine. It also enables in ascertaining the quantum of work that has been done through a period, in addition to Geo fencing and time fencing of equipment.

The operator of the machine also can assess the performance of the machine through the ease of display with the help of a digital monitor. IntelliControl on NXT series on 14T-21T- Easy to get required performance with 10 power modes in eco, power & power plus bands, ease of display of operating & health parameters with a new digital monitor. Easy mode selection as per work requirement, large 7-inch display to understand information and health alerts in text.

CE&CR: What are the Technological Advancements and Up-gradation mechanisms being taken up by JCB?

Deepak Shetty: JCB also has an exclusive quarry range of excavators that are built specifically for quarrying and mining applications. This range consists of the JCB NXT 145 to the JCB NXT 380 variants. These machines are designed to perform difficult and arduous applications. We have the JCB NXT245HDLR with heavy duty long reach attachment for well-digging application with 40 ft. dig depth. Also, the JCB NXT145, JCBNXT215LC & JCB225LC are available with Quarry Master variants with heavy-duty structures and undercarriage, protective structures on the operator cabin to make these suitable to quarry application.

Our whole new range of next-gen mini excavators is also made in India to perform in multiple excavating applications in areas where there is a restriction in terms of space. They are designed for Indian duty cycles to perform in Indian work conditions. These machines also come with a wide range of attachments which make them capable of diverse applications across power, buildings, construction sites, plantations and solid waste applications.

The JCB range of machines also come with our advanced telematics technology called Livelink. This revolutionary technology gives real-time updates on the service operations and the security of the machine. These connected machines give critical information on the productivity of these machines and immensely help in fleet management for our customers. Livelink gives the opportunity for continuous monitoring of the health of the machines and proactively engage with customers to maximise the equipment uptime.

CE&CR: What are your views about the Rising Demands and Supply Chain?

Deepak Shetty: The industry is currently going through a challenge in terms of the availability of semiconductors, rising commodity prices and also stress in terms of logistics. We feel that as the industry grows these issues need to be addressed as soon as possible. Especially the area of commodity prices which includes steel is currently an area that requires support.

However, with the quantum of infrastructure projects that have been announced the future certainly looks extremely promising for the construction equipment industry. The development of infrastructure is vital for the economy to move forward. In addition to attracting foreign investment, improved infrastructure is also directly linked with the quality of life of the people. Infrastructure development also has a cascading effect as it creates growth opportunities for allied industries and additionally also helps in creating jobs.

CE&CR: Share your Future Outlook for JCB India Limited in the Indian market.

Deepak Shetty: JCB excavators are today helping build a new India. With their technological advancements, the machines in India are on par with anywhere else in the world and have proven themselves over the years. With the industries finest and largest product support network, our customers are never too far from professional product support. Also, with the influx of digital technology in our industry, customers can today order parts online, locate their machines with the help of the Internet and also effectively manage their equipment fleet.

Dheeraj Panda
Chief Operating Officer Sales, Marketing & Customer Support
Sany Heavy Industry India Pvt. Ltd.

CE&CR: What are the Growth Opportunities for Sany Heavy Industry India Pvt. Ltd.?

Dheeraj Panda: With the growing urbanisation and infrastructure activities, the current growth of the excavators market seems to be very promising. As per the reports, it is expected to grow with a CAGR of 16% during 2021-2023. One of the major demand drivers for us is the government’s intense focus on certain key projects such as Golden Corridor, Housing for all, an extension of metros, rail and road network, etc.

In light of current development activities, Sany India envisages bright opportunities in the excavators segment. To meet the industry demand we have a latest range of hydraulic excavators which comes equipped with host of advanced features like telematics and best in class components. Overall we are optimistic about the growth prospects of the construction equipment sector.

India is rapidly progressing towards becoming the manufacturing hub of construction equipment in the world.

CE&CR: What are the Technological Advancements and Up-gradation mechanisms being taken up by Sany India?

Dheeraj Panda: Sany India has always been at the forefront in introducing the advanced technology in the construction equipment. We are among the first manufacturers in India who have introduced the ‘Telematics’ system as a standard feature with our excavator series. To redefine the customers’ experiences we have also taken major steps through our digital mobile based app EVI, which helps customers to manage their equipment status through IoT data like architecture. The app also provides a real-time update and users can easily plan and assign the machine to next nearby sites.

While in mechanism upgradation, we have upgraded our latest range of hydraulic excavators with multiple feature and component upgrades. Its additional superior synchronization with advanced hydraulic system and Dynamic Optimization Matching Control System (DOMCS) offers a premium balance to meet both performance demands and fuel economy in order to maximize customer satisfaction.

CE&CR: What are your views about the Rising Demands and Supply Chain?

Dheeraj Panda: After the unprecedented impact of Covid-19, the strong revival of the construction equipment industry including the excavator segment is a much sought relief for the OEMs. Excavators are a major part of our business. This is a growing market and barring the last year the industry has seen a growth of 25% due to an increased investment by the government and private players in infrastructure development. It is estimated to grow with a CAGR of 16% during 2021-2023. We see the overall development and growth of the construction equipment sector as a great opportunity and we are very positive about the future prospects of it.

CE&CR: Share your Future Outlook for Sany India in the Indian market.

Dheeraj Panda: The future outlook seems to be bright due to an increased investment by the government and private players in infrastructure development such as residential, industrial and mining projects. Moreover, the key projects in road & highways and port construction are also accelerating the demand for the excavators in the Indian market. As per the reports, the excavator industry is estimated to grow with a CAGR of 16% during 2021-2023.

Government initiatives like ‘Make in India’ and ‘Housing for All’ schemes will also create a huge demand for the machines that are efficient as well as cost effective. This momentum is likely to be maintained at least till 2024 and we are very optimistic about the prospects for the construction equipment sector.

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