21 April 2018

Table of Contents for Industry Focus: Material Handling Equipment





Industry Focus: Material Handling Equipment

Lifting up Bright Prospects

 

India is at a cusp, moving from conventional systems to new age advanced systems leading to a renewed focus on infrastructure, there by driving a specialised demand for material handling, which involves movement of products from one place to another in diverse settings. With a significant growth rate in the industrial sector in the 2016-17 fiscal year, the outlook seems to be all the more upbeat for the industry players. Focus on automation, affordability and eco-awareness will drive the growth of material handling companies in the future reports Prerna Sharma

 

The worldwide material handling equipment market size was over $110 billion in 2015 and is estimated to grow with approx 6.53 per cent CAGR during the year 2017–2025. Increasing penetration of advanced technologies, such as RFID, IoT, and voice picking, are expected to drive the material handling equipment market over the forecast timeframe. The evolution in the technology to assist smooth warehouse and logistics operations in meeting customer demand is rapidly changing the business environment.

The important driver increasing growth in the global material handling equipment market is growing use of automation in all product segments. Material handling equipment is becoming more automated and integrated into complete systems. Various end-user segments are adopting automated systems throughout their supply chain. This has been a driving factor for the market for automated material handling equipment, as the entire process of products, from production to distribution, consumption, and disposal is being fully automated. Some of the examples of automation systems include baggage handling and transport systems in airports, automated dispatching systems, and automated storage systems in warehouses.

 

 

MARKET SEGMENTATION

The market has been segmented on the basis of products, which includes storage handling equipment, industrial trucks, automated material handling equipment, overhead material handling equipment, and others. Industrial trucks are also used in places where there is a reduced flow of cargo, and the deploying conveyors are comparatively expensive. Industrial trucks also deliver more flexibility in movement than conveyors and cranes and a few trucks have lifting capabilities that can provide vertical movement. Automated material handling equipment helps in the easy and swift movement of goods. It is used across the world to ease the movement of goods required for efficient functioning of companies. The types of automated material handling equipment are AGVs, AS/RSs, conveyor systems, palletization, pick systems, sortation systems and software and services, which are increasingly being adopted by companies across various industries such as automotive, mining, F&B, e-commerce and retail.

 

The market has been segmented into 3PL (third party logistics), e-commerce, durable manufacturing, food and beverage, general merchandise and food retail. The 3PL holds the largest market share in global material handling equipment market by application whereas e-commerce segment is anticipated to grow fastest during the forecast period. Various companies are investing in advanced smart devices and software for effective results during supply chain operations. The software helps in minimising the inconsistencies and errors, thus reducing the total time and the operational costs.

 

As far as regions are concerned, currently, APAC holds the dominant share of material handling equipment market and is expected to lead the growth over the forecast period. APAC’s fast growth can be attributed to China’s growth in the material handling equipment market. Increasing logistics market and increased adoption of material handling equipment in various industries have been the major factor aiding the growth in China. The Asia-Pacific region is expected to grow the fastest in the material handling equipment market, owing to the various initiatives undertaken (such as Make in India) for promoting the establishment of manufacturing industries in the region. The region also has high scope for foreign direct investments, which in turn, is leading to the growth of the material handling equipment market in Asia-Pacific.

 

RENTAL MARKET

High initial investment is one of the major drawbacks for the growth of the global material handling equipment market. End-user segments, especially small and medium enterprises that are looking at enhancing their manufacturing and distribution facilities are holding back, because of the high costs of material handling equipment coupled with the high maintenance costs. Even large enterprises that contribute major revenue to the market are looking at cutting costs by exploring options such as renting industrial trucks, acquiring equipment on lease, and choosing second-hand units.

According to Cavas Dumasia, VP– Mktg, MHE Division, Godrej & Boyce, organised rental market is still evolving in India. Godrej & Boyce is the first and only lift truck manufacturer to offer equipment on rental basis. It has more than 400 equipment in its rental fleet.

Keeping in mind the current economic situation,companies are hesitant of puttingmoney on capex. Renting of equipmentis a possible solution to meet needs both for the long term and shortduration projects / spikes in demand.

 

 

COMPANIES COMING UP WITH NEWER VARIANTS

With a special focus on R&D with new product introductions lined up for the coming years, Voltas Material Handling (VMH) envisages to use its management style to provide leverage to constantly evolve with the market and provide solutions for new and varied material handling practices.Growing upon KION India’s legacy on its exclusive and proven diesel fluid coupling forklift, the latest range of Voltas MAX machines is the perfect augmentation to its product range. The new eco-sustainable, Voltas MAX Range consisting of automatic transmission forklifts, electric forklifts and warehousing equipments, focuses on using new technologies to provide the customers with an unparalleled value for money proposition at the same time with best in class ergonomics, reliability and energy efficiency. Furthermore, in cross brand synergy, KION India also sells the Baoli Series of Chinese forklifts.The hydraulic knuckle boom crane is PALFINGER’s core product. Loading cranes help to load and unload trucks and other vehicles. Knuckle boom cranes make an impression thanks to their operator friendliness and high level of cost efficiency. Various equipment (rope winch, rotator, gripper, crane fork) expands the loading crane’s field of application. PALFINGER loading cranes are available from 1 to 150 metre tonnes.

 

JCB has a range of telehandlers from 7 metres lift height to 17 metres. JCB Loadall has been designed and built to transform material handling efficiencies across different categories and industries such as agricultural logistics, construction and process industry. An air-conditioned cabin is being introduced as a standard across all Loadalls to enhance operator comfort. In addition to its versatility, it ensures safety of operations across various industries. Completely revolutionising the existing means of material handling, the JCB machines are innovatively designed to offer customisation across various applications and industries, ranging from agriculture to ceramics, from paper to construction and more.

 

Everest Engineering offers customised solutions in tower cranes for 200m and above heights, passenger hoists to fit inside the lift shaft and high-speed passenger hoists for 200m – 600m heights to suit the customers’ special and specific requirement. On the potent prospects of tower cranes,
PV Ramdev, MD, Everest Engg Eqpt, informs that India is coming up with huge volume of low cost economic apartments through precast buildings in all major cities. Precast building constructions are being done with highly mechanized technology, which will finish the entire 10-12 storey building in all respect within 5-6 months of time. It is proven to be safe, long lasting, and very fast in construction. In this precast construction, tower cranes are playing a vital role to handle the precast segments in the yard and during the erection of these segments in the building. The company supplies these tower cranes with inbuilt safe load indicators (SLI) and anti-collision systems. So safety, selection, placement, and reliability, of tower cranes are very important in timely completion of precast buildings.

 

In another expansion move, Tractors India Ltd (TIL) strengthens its foray into the pick-n-carry crane segment with a view to offering material handling customers a next generation pick-n-carry crane that embodies safety, easy operability, easy maintenance, application suitability and competitive total cost of ownership. Mobi load 315 is the latest entrant from TIL in the pick-n-carry crane segment. It has a maximumcapacity of 15 MT at 2.5m radius over front for pick-n-carry operations and 8 MT at 2.5 m radius for 360o slew on-tyre duties. The Mobi load 315 features a 4 section boom with extended length reaching upto 17m. The first 3 sections are fully powered and fully synchronised and the 4th section is power-positioned. There is an optional 5m jib extension,allowing for a total boom tip height of 24m. Twin tyres on both front and rear allows for stable and strong on-rubber performance. Right hand front wheel drive and steer feature and the rigid chassis design give the machine a unique automotive feel and unmatched mobility. Continuous 360° slew is another unique feature that allows for efficient load handling. The ergonomically designed single man cabin enable the carriage of long items on the carry deck, subject to a maximum of 2 tonnes at a road speed of 15km per hour. The machine features an electronic load moment indicator to ensure safe operations.

 

On the similar lines, Escorts Construction Equipment recently launched CT Smart 15 – India’s safest pick & carry crane. With the launch of CT Smart 15, Escorts enjoys an exclusive position in the industry, as these cranes boast of unique anti toppling and anti-lifting features which set them apart from anyother product in this category. The product also offers an autoderated load chart in articulation and a turning radius of six meterswhich can compete even with SUVs! Such unique features and unparalleled safety focus has generated a very positive response for this new offering.

 

 

OPPORTUNITIES EXPANDING

With the positive global outlook, the Indian material handling equipment market share is anticipated to grow significantly due to an attractive economic landscape and significant demand for goods movement. The increase in manufacturing activities in the region will also augment sales. The need for safe working environments in industrial facilities, developments in areas such as wireless technologies, robotics and flexible electronics will fuel the MEA material handling equipment market size. Furthermore, the expansion of various international firms in the region will drive demand. With the government’s ambitious ‘Make in India’ plan going strong, the industry will witness good growth in manufacturing and consequently in logistics and distribution activities for the next few years.

With opportunities rife, it’s time for companies to bring out their innovative best and offer customers material handling products and services that not only live up to their requirements but are also eco-friendly in nature.

 

THE GROWTH DRIVERS

  • Increasing use of automation in all product segments
  • Growing demand from emerging nations
  • Increasing demand for heavy industries
  • Technological advancements leading to greater demand

 

 

“Our product range is complied with Global quality and safety standards hence these machines can work for extended hours with enhanced reliability. Since this industry requires lot of customisation of attachments, we can offer various value added features like load sensing devices, load view camera for better visibility, Remote management system for getting alerts of various operational parameters which would improve operational efficiency & decision making speed for the end users.”

Sharwan Agnihotri, Head – Mktg & BD, Hyundai Construction Equipment India

 

 

 

 

“The launch of Mobiload, the versatile pick–n-carry crane epitomizing productivity, superior technology and performance, is a game changing initiative by TIL in the 15 Ton mobile crane segment. The machine is ideal for construction, mining, shipping, oil refineries, heavy industries and engineering sectors in India.”

Pinaki Niyogy, VP & CTO, TIL




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