Having recognised the huge potential in the immediate and distant future, once again the Indian tyre industry has focused on introducing new sizes and variants of OTR tyres. More emphasis is being placed on radial tyres, which are beneficial for end-users in terms of longer life, durability, higher load carrying capabilities, less punctures and easy repairs´ process which avoids dismantling of the tyres from the wheel rims.
On the flip side, imports of Chinese tyres into India have surged over several months after the US imposed an anti-dumping duty on them. While a basic customs duty of 10 per cent has led to cheaper Chinese tyres flooding the Indian market. Chinese tyre imports grew 31 per cent to Rs 613 crore crore by late 2014 from Rs 468 crore in 2012-13, industry data revealed. The value of Chinese tyre imports in 2014-15 may have reached Rs 800 crore.
This has added pressure on Indian tyre makers despite low prices of natural rubber over the last few months. Raw material cost as a percentage of sales has declined from 66 per cent to 57 per cent for some leading tyre makers having a strong presence in the replacement market.
In its pre-Budget submission, the Automotive Tyre Manufacturers´ Association (ATMA), said the total import duty on natural rubber was 20 per cent while tyres could be imported at five per cent duty and less under various trade agreements. Under the South Asian Free Trade Area agreement, tyres can be imported at 5 per cent duty from Pakistan and Sri Lanka. The industry had sought higher import duties on tyres. The International Trade Advisory Services has said over 60 per cent truck and bus radial tyre imports are from China at an average price of $106, which is lower than the raw material price.
According to Raghupati Singhania, chairman of ATMA, imported tyres now constitute almost 20 per cent of the Indian market, with China being the largest supplier. Indian tyre makers are expected to post flat top line growth in the fourth quarter of 2014-15 on weak growth in the passenger, tractor and two-wheeler segments, and due to competition from cheap Chinese imports.
For ease and reducing daily focus on reaching the various manual greasing points on an equipment centralised lubrication and greasing systems have become a standard fitment on most construction equipment. We bring a detailed feature on the elements comprising this system and best practices for operation and maintenance of this system, for the benefit of the maintenance community.