Excavator is the highest growing product segment in Indian CE market.

- Sandeep Mathur

Brand Leader, CASE Construction Equipment

What is the current market scenario of excavators?

The demand for crawler excavators is increasing significantly. This is attributed to the government's focus on green projects in order to ensure sustainable development by reducing emissions and using fuel-efficient equipment. The business is strongly reliant on expanding government programs such as steel production, which predicts a high demand for mining excavators. According to reports, the Indian market for excavators is predicted to grow at a CAGR of 5.79 per cent, indicating a large market share in the country.

It is indeed exciting to see the growing demand for equipment like excavators for construction projects as the country develops. Therefore, in order to fulfill the demands of the customers, the industry is working to enhance the machines with new features that are reliable, flexible, and versatile for huge projects across the nation.

How is technology evolving in excavators in terms of: productivity, fuel efficiency, and operational efficiency?

Excavators are manufactured using automation and advanced technologies that enable real-time cooperation and increase labour productivity. The engines have advanced due to technological innovations. Additionally, smart machine control is the key to allowing operators to focus on material more effectively and also trace the target surface while excavating in the field. It has the ability to transform the productivity, efficiency, and long-term profitability of excavators. Manufacturers are creating machines that provide maximum comfort to the operators and complete the task seamlessly.

At CASE, we have manufactured excellent and unstoppable excavators that can be used for the toughest terrain in India. The new CASE excavators (CX C- Series) are equipped with the world-class FPT Industrial engine to ensure high productivity with low fuel consumption. The gauge function of this excavator ensures continuous monitoring of the fuel consumption which helps in attaining up to 4% better fuel efficiency due to hydraulic system control and 6% better efficiency from the FPT engine. CASE excavators also features five energy-saving controls that enable continuous consumption monitoring and an ECO gauge function that keeps you informed of the machine's engine usage.

Rentals play key role in the growth of excavator market. How is the rental demand currently?

The rental market for construction equipment is a booming sector. Especially after the COVID-19 pandemic, there has been an increasing demand to rent equipment instead of owning one. Rentals are playing a key role in the business as it benefits the customers in various ways. The customers can now choose the latest equipment without spending too much and it also saves them from further maintenance costs, fuel expenses, storage issues, and they can also get the specific machines as per the project needs.

While the rental market for excavators is smaller in India as compared to other parts of the world, it is expected to be valued at US$165 million in 2027.

At CASE, we are committed to maintaining and providing world-class equipment to ensure that operations run smoothly in the field. We are providing equipment and training to the operators along with financial support to rent equipment at ease. Financial support along with additional services and growing demand to trigger the need for fuel efficient, lower emission crawler excavators drive demand for rentals in India.

What are the key challenges in terms of input cost, technology adoption, and customer buying trends?

There are certain hindrances while adapting to digital technology and automation, but as a company, CASE India ensures that the customers are well trained and equipped by arranging training programs on the delivery of the machines and even whenever required.

Besides, there are certain challenges such as scarcity of labour, lack of training machines, and so on. These difficulties may be addressed gradually because the business is booming and there is a growing need for construction equipment for new projects, particularly road infrastructure projects.

To address the current challenges such as rising fuel prices, machine maintenance costs, and so on, our objective is to manufacture machines that are more fuel-efficient by developing BS4-compliant equipment. These machines reduce operating costs while also encouraging the use of alternative fuels, which is good for the environment. We are optimistic that with the government's ongoing assistance, the industry will be able to smoothly iron out the issues.

What is your outlook on the excavator market in India? What are your future plans for the market?

Excavator is the highest growing product segment in Indian CE market and is expected to rise further in near future. The aim is to build a strong economy from new infrastructure and urbanisation projects across the nation. As per the future plans, the focus will be to build better control systems using cutting-edge technology that will make things simpler for the user.

Besides, the rental market has emerged as one of the major growth drivers.  The announcement of infrastructure projects, rising fuel prices, and other factors have contributed to an increase in the rental market. Renting construction equipment benefits both consumers and the industry since it removes maintenance expenditures for customers, allowing them to focus on smooth operations and reducing downtime. The machines may be used for a variety of activities thus saving fuel. Therefore, rentals will be an important part of the excavator market in India in the near future and it is likely to expand more.

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