At BKT, we combine the best of modernization, automation, and superior quality.

– Rajiv Poddar

Joint Managing Director, Balkrishna Industries

Owing to the initiatives taken by the government to improve infrastructure, construction and mining sectors, the demand for large equipment and tipper/ dump trucks is expected to rise significantly. How do you see the demand scenario for heavy duty and OTR tires?

Heavy duty and OTR tires have indeed witnessed a steady growth in demand, owing to rapid industrialization in India, as well as the decision taken towards privatization of the coal sector. The OTR sector has remained unaffected by the pandemic, swiftly growing to meet the future demands of the industry. Heavy duty and OTR tires are essential to help tippers and dump trucks carry out large scale construction and mining activities, which will require tires that are specially curated to withstand the blazing temperatures and extreme pressures. Hence, the demand scenario for heavy duty and OTR tires is extremely positive, which is also bringing about rapid innovation within the industry. BKT continues to pioneer the same, pushing for boundless growth of the domain, with its latest range of all steel radial tires, that offer the best in class support for all these dependent industries.

Can you tell us how far has the tire industry adopted technology to create smart, green, durable and sustainable tires. Also, what is the kind of shift in demand is witnessed from OEMs for tires?

BKT is highly proactive when it comes to safeguarding the environment, with its corporate philosophy being ‘Growing Together’. It has been consistently upgrading its facilities, undertaking CAPEX, to increase sustainability and create long lasting products. We also recently tied up with US biotechnology company KultevatInc, to integrate more sustainability into our daily workings. Kultevat develops processing methods that lead to the use of dandelion-based latex in rubber compounds. We have begun to apply this green technology, and in particular incorporate the environmentally friendly extraction of high-quality dandelion rubber from Taraxacumkok-saghyz (TKS), also known as Russian dandelion.

The industry continues to witness a shift in demand towards radial tires, owing to their tread technology and support amidst gruelling conditions. BKT has been spearheading this shift, at its state-of-the-art production plant in Bhuj, developing the latest range of radial tires, to be priceless assets for the construction and mining world.

How far has the company achieved seamless connectivity between the digital and physical aspects and what kind of positive impact has that brought on the overall quality, durability, and reliability of heavy duty tires?

BKT is an agile and futuristic company, that is constantly transforming the OTR industry, bringing the latest technology to the world. At BKT, we combine the best of modernization, automation, and superior quality. With a focus on seamless service, we continue to improve our world class offerings that are infused with the best quality, durability, and reliability. To further integrate connectivity into its workings, BKT recently undertook an estimated capacity expansion of Rs 450 cr. which emphasizes on technological upgradation of existing equipment and installation of automated material handling systems. This is to ensure upscaling to integrate digital and physical aspects of manufacturing, to give customers nothing but the best. Furthermore, it continues to use technology to transform the industry, with each and every tire it produces undergoing 500 tests in its production cycle at our state-of-the-art R&D centre.

Can you share your views whether the sector sees any benefits of the PLI scheme? Also how do you see the initiatives taken by the government to promote MSMEs to get them into the main stream?

The government continues to extend its support towards the vision of ‘Aatmanirbhar Bharat’, creating an influx of domestic trade, spearheading economic revival for the country post Covid-19. The PLI Scheme is bound to help propel the country as the land of opportunities, and give a boost to the domestic manufacturing sector, encouraging upcoming MSMEs to grow and nurturing their potential. The PLI Scheme will lead to crores of fresh investments and FDI, while generating lakhs of job opportunities. Directly playing a role in the increase of India’s share in global trade, the government’s sizeable incentives under the scheme will actively revive segments of the economy that have been severely hit by the pandemic.

How does the company plan to make MSME a part of the mainstream? Also, kindly share your plans on capacity expansion, introduction of newer technology in designing/ manufacturing etc, increasing your distribution network, capex plans by 2025. 

BKT, despite being a global giant that services over 160 countries, is firmly rooted with a wide network of dealers across the length and breadth of India. With a great belief in the ideals of ‘Aatmanirbhar Bharat’, BKT is swiftly developing advanced solutions through co-engineering alliances, while understanding the deep-rooted needs of diverse industries. While the pandemic has ushered in a mammoth of operational changes, it has churned a self-chartered path of tech integration and smart economic frameworks. BKT understands the far-reaching impact of MSMEs in the same, continually imbibing its belief of ‘Growing Together’, as it expands rapidly to forge strong international ties for Indian players.

Currently manufacturing a range of over 2,700 SKUs, that each offer something unique to the OTR tire market, we are dedicated to diversification and product expansion. With our R&D centre in Bhuj, BKT is always ahead of the curve, and we are constantly reinventing ourselves to offer nothing but the best. Our upcoming brownfield tire project, set to be completed by H2FY23is likely to increaseachievable tire production capacity by 50,000 MTPA. With the capacity expansion cost being approximately 800 crores, the venture is bound to further enhance our best-in-class offerings. We also have our own carbon black plant, which we are planning to expand further by enhancing our capacity to 2,00,000 MTPA, including 30,000 MTPA of high value of advanced carbon black material.

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