With Indian manufacturers increasingly committing to productive investments for deriving cost benefits, the use of modern sophisticated fluid power systems is on the rise.
by Mitalee Kurdekar
According to NPTEL or National
Programme on Technology Enhanced Learning, an online educational initiative started by the Ministry of Human Resource Development, Government of India, fluid power technology has risen as an important industry during the past 30 years. With the Government’s emphasis on making India a manufacturing hub with global dimensions, India would have to continue make significant strides to greater technological standards with improved level of automation in manufacturing processes and operations. Fluid power transmission technology – whether hydraulics or pneumatics – being the backbone of critical manufacturing processes, therefore, needs to advance to higher levels of automation.
The fluid power transmission industry in India consists of many technologically superior Indian enterprises as well as those having partnership ventures with well-known global technology majors. The overall size of this market in India is estimated to be around Rs 5000 crore, thereby making it a major industry segment of the economy. Its growth over the past decade was a healthy 20%, and continues to remain in the high double digits. With India quite evidently becoming a destination for manufacturing, the growth in this industry is expected to be double that of the Indian economy. Given this, one can expect there to be a clamour for more and more automation, and a strong emphasis on manufacturing activity would only drive this growth further.
Opportunities and Challenges
Besides the growing manufacturing sector, the fluid power transmission demand comes from many other sectors of the economy. Construction boom in the country, due to infrastructure development programmes, is driving the use of such transmission systems in the form of mobile hydraulics. Continued focus on the agricultural sector has led to the requirement of automation in these transmission systems as used in tractors and other farm equipment. One recent development that would spur the demand within this industry is the decision to open up the defence production sector for private players, which would be expected to bring in new technologies and set up capacities that would make India self-reliant in defence production. With all these initiatives currently underway, and the intent to bring in export potential, the opportunities for India’s hydraulics & pneumatics industry are going to be enormous.
“Indian manufacturing today competes with global players, and in recent times has made significant improvements to remain at this level. JCB’s Made in India products are today exported to over 70 countries. Fluid power and aggregates have shown significant uptick in terms of performance and enhanced reliability, over the years,” declares Jasmeet Singh, head, corporate communication and external relations, JCB India.
There are two key challenges though. One of them is to look for and bring in appropriate technology and arrange for its transfer. Private players in this industry would need to aim high and go with big capacity commitments. Another important challenge is to train the work force on these technologies. The focus on education and training is going to be a key challenge if one wants to achieve quick understanding and adoption of new technologies. Some of the global majors are opening competence centres in India to increase understanding of fluid power transmission technologies being brought into the country, and to help in training the manpower involved to use this technology for the best possible outcome.
Technology Transfer:
The Need to Accelerate
In the past few years, India has seen useful partnerships where global majors have joined hands with Indian companies to usher in new technologies that support manufacturing requirements. As a result, we find that many Indian manufacturing companies are seemingly satisfied with the availability of advanced technologies.
Sudip Bhattacharyya, senior VP, manufacturing, & deputy plant head, Daikin Airconditioning India, believes that fluid power transmission plays an important role in our industry as it makes work simpler and easier. Talking about recent developments on the supply side, he says, “The technology has developed a lot in the recent past and the latest improvements have led to improved precision and accuracy. I am satisfied with my vendors as they provide good after sales support; they also provide new updates in recent technology and assist us in adopting new applications.”
“Our suppliers are fully aligned with our global quality standards and have also built their world-class facilities on JCB’s lean manufacturing principles. Over 300 world-class suppliers in India have been with us for decades. Today, these suppliers not only supply material for JCB India, but also supply to JCB Group,” confesses Singh.
Future demand, however, would be driven by fresh customers, those coming from defence and aerospace industries, where the need of the hour is sophisticated technologies that would deliver on stringent customer specifications of precision, speed and accuracy, while keeping quality and costs in check.
Speaking specifically on these business requirements, SM Vaidya, executive VP & business head, Godrej Aerospace, suggests that, “Aerospace has unique requirements from hydraulics & pneumatics vendors. Currently, we have no suppliers that meet the global quality standards and certifications. Few Indian organisations have commenced building basic manufacturing capabilities, and attempts have been made to induct them in single-shot devices like space launch vehicles and missiles/rockets. Reliability of Indian-made systems is still a question mark and cost of procurement is also high.”
While basic business requirements like meeting specifications for testing & assembly and achieving pre-stated tolerances with raw material traceability are imperative, new hydraulic technologies would need to cater to objectives like reducing power losses and almost zero maintenance.
Customer Support
Bhattacharyya opines that Indian vendors’ support for their requirements has been high. He explains, “I rate the Indian vendor high in after sales support, education, training and upgrades. They also arrange education and training workshops, from time to time, and support us in case any trouble-shooting is required, while also providing technology updates.”
Singh agrees, saying, “Customers expect professional and world class support to ensure minimum downtime of their equipment. Thus, after sales support plays a crucial role in the overall buying cycle of a product. Our suppliers have been with us for decades and have grown their business with JCB. Hence, at JCB, we place great confidence in the technology, product and services offered by them.”
He further adds, “The process of training and education is a continuous one and we have received full support from our supply chain in this regard. Our vendors have made significant investments in setting up their product support network, with trained professionals for providing periodical training on the operation and maintenance of the product. They also work closely with JCB’s engineering team to make the necessary upgrades.”
However, the case is entirely different when it comes to aerospace requirements. Godrej Aerospace relies on imported systems rather than using Indian vendors. Vaidya laments the fact that “in-depth understanding for servicing or modifications is not supported by these vendors, most of the time.” This clearly brings out the challenge that the industry would have to overcome quickly, if the Indian manufacturing base for such systems is to be developed locally, in support of Make in India initiatives.
Thus, while hydraulics & pneumatics vendors have managed to make a mark in areas such as the automotive sector, there are important, upcoming sectors such as defence that are waiting to be explored. High-precision, accuracy and cutting-edge technology will be the hallmarks of equipment made for these critical operations, and it remains to be seen how well hydraulics & pneumatics makers are able to capitalise on the opportunities that lie there.