India's largest coal handling agency - Mjunction

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construction equipment industry, is setting up a unit in Pune.
The unit is likely to be completed in another year.
In addition to this, German companies are also tying up
with Indian producers. For instance, HAZEMAG & EPR
GmbH is a company belonging to the renowned EPR group,
which has ventured into the mineral processing sector by
tying up with Hari Machineries. The company is now going
for licence agreement with Hari Machineries.
Thus, Hari Machineries would be manufacturing for
the company. The German companies are looking forward
for JV or tie up with Indian companies and much of such
activities would be seen soon as Germany looks at India as an
opportunity region,” Nath explained.
Market outlook
Global demand for seven major products of mining equipment
expanded by a year-on-year average rate of about 15 percent
from the fiscal year ended March 31, 2004 through the fiscal
year ended March 31, 2008. It was driven by growth of demand
centering on emerging economies.
With such positive outlook, the global mining equipment
demand is likely to grow significantly over the years. Presently,
China is a major market for mining equipment worldwide,
backed by the country’s expanding mining industry. In
addition to China, Australia and India are the other major
markets in the Asia-Pacific region, where demand related to
mining equipment is high.
HEC targets `1000 cr sales by 2011-12
Arusha Das
India is home to myriad metals and minerals with
significant reserves and the mining sector has an
optimistic outlook.
The Heavy Engineering Corporation Ltd (HEC),
manufacturer of equipment and machinery for the iron
and steel industry and mining, is all set to almost double
its sales to `1000 crore by financial year 2011-12 from the
existing `512 crore.
“We are targeting sales of around `750 crore by the end
of the current financial year and further take it forward
to `1000 crore in 2011-12,” a company official told Coal
Insights.
In order to achieve the target, the company has mapped
a multi pronged strategy. On one hand, it is trying to
diversify itself in various segments, and on the other, it is
trying to enter the export market.
“We are optimistic that with these strategies in line, we
will be able to post a profit of `35 crore by the end of the
current financial year and take it to `100 crore by the end
of next financial year, from the current profit of `27 crore,”
he added.
The PSU was also in talks with the Nuclear Power
Corporation for opportunities for products used in nuclear
reactors. The company will try to bring a foreign company
as technical and financial collaborator for making finished
products for nuclear power plants. The nuclear business
project expenditure may be around `1000 crore.
In addition to this, the company is also planning to
expand its product basket and incorporate the complete
range of large crushers in the existing product line. The
company is also in talks with international players for new
products but nothing has been finalised as of now.
“We are open to tie-ups with international partners as
the industry is now looking for technologically advanced
machines, in view of the growing demand of coal and iron
ore in the country,” the official hinted. The company is
optimistic that all this will translate into consistent year on
year growth of 20 percent.
Meanwhile, the Ranchi-based engineering PSU is
planning to list its shares on the bourses and a proposal
will be sent to the government in the next financial year.
The company can supply 25 excavators and two to three
crushers per year, in the mining segment. The company has
recently acquired an order from North eastern Coalfield,
for a key dragline after 15 years.
“We have recently got an order for one key dragline
from North Eastern Coalfield, a subsidiary of Coal India
Limited, after 15 years. This machine has a weight of 2000
tons and requires 14-15 months for manufacturing. We
are also expecting two similar orders in this segment,” the
official said.
The official informed that though the company is
working on having its footprint in the international
markets, it is not getting too many enquiries as the
international mining segment is still slow. The company
has three manufacturing units namely – Heavy Machine
Building Plant
(HMBP), Heavy Machine Tools Plant (HMTP) and
Foundry Forge Plant (FFP). The company manufactures a
wide range of equipment for steel plants, material handling
equipment like wagon tipplers and EOT cranes, heavy
machine tools including CNC Machine tools and special
purpose machine tools and various types of castings,
forgings and rolls etc.
COAL INSIGHTS 14 October 2010