India could be major manufacturing hub for JC Bamford Excavators

London: UK-based construction equipment maker JC Bamford Excavators Ltd is set to expand its product portfolio in India to cater to the domestic and export market.

The company, the world’s largest manufacturer of backhoe loaders, is adding manufacturing capability with a view to making India a major manufacturing hub for fully-built equipment, engines and parts. India has emerged as a strategic location for the potential it holds, as well as to serve markets such as South Africa and Malaysia, said Anthony Bamford, Chairman of JC Bamford.

“India accounts for a significant chunk of the business and this is expected to go up as infrastructure growth picks up,” he said.

New plants
As its new plants get commissioned in Rajasthan next year, the company is looking at rolling out more products from India. Apart from backhoe loaders, where it is the market leader, JCB India manufactures excavators and compactors. One out of two construction equipment sold in India is made by JCB, according to the company. It plans to widen it range, specifically in telescopic handlers, forklifts and excavators.

Referring to the potential for construction equipment in India, Bamford said the nation’s infrastructure segment is facing challenging times as the economy is passing through a tough cycle. But there is huge potential for growth. From a global investor perspective, Bamford said there seems to be some vacuum in terms of overall policies and their implementation in India. While the Finance Minister and the RBI have done well, there could be a phase of tepid growth due to elections next year, he added.

“At JCB, we are optimistic the Indian economy and the construction sector will get better. While most economies around the world struggled during the 2008-09 global economic crisis, India handled it the best,” he said.

JCB India expects construction, road building, earth moving and waste management to drive demand for its equipment.

Bamford expressed confidence JCB will grow at a higher pace than the country’s economy.