Apollo Tyres believes in providing tailor-made solutions rather than creating general application products.
OTR tyres have huge potential but the current economic conditions indicate a moderate growth this year. Currently, the demand is weak as the major demand drivers-infrastructure growth, mining activities and overall economic growth-are not showing any favourable trend. The mining sector slowdown has impacted this segment in a big way. It's very difficult to forecast a revival as of now until unless government takes some tough decisions and puts a clear and transparent policy framework for the sector.
Raw material correction has surely helped to improve the company's business margins but weak demand scenario is a major concern. Market is yet to be back on growth track for major gains. On top of it, the rupee devaluation is going to put the pressure back on raw material prices. However, Chinese imports are not a major concern in OHT as this segment is highly functional and performance-driven.
This is the core philosophy as Apollo Tyres believes in providing tailor-made solutions rather than creating general application products. In the mining segment, they offer customised solution to the customer through six variants of compounds tailor-made for diverse mining conditions and application challenges. In construction segment, they have a wide range of offering suitable for varied applications. Their tyre patterns are well-researched and designed keeping in mind the specific application like heavy- duty, soft underfoot conditions and harsh and rough terrains.
Apollo has always focused on customer-centric technology and their products offer best value to the customer. They are not price-focused but strive in minimising customers cost of usage by delivering lowest cost-per-hour solutions. Apollo has a strong range of OTR tyres with products in both small OTR and the large OTR segment. They also have the best-in-category tyres for backhoe loader with Y-LON in 16.9-28 size and XTRAX in 14.00-25 size, grader tyres in both 13.00-24 and 14.00-24 sizes, and have recently introduced the road compactor tyres and a new range of AIT 426 for 4WD backhoe loaders. They have many more tyres under development which will be released in the market soon.
In the large OTR segment, they have the best-in-class bias range with sizes starting from 35ö to 57 inches. The product range includes 21.00-35, 24.00-35, 24.00-49, 27.00-49, 30.00-51 and 33.00-51. They have also launched India's largest tyre size 40.00-57 in Indian and international market this year. Apollo is known for its quality products and you-first-technology in the market. The company's products have consistently met customer expectation to win their trust and equity.
They offer a high value proposition of customised solutions backed by dedicated service levels through their highly competent technical team. Their technical team adds great value to their product offering through continuous monitoring of product performance, professional advice and regular trainings and workshops with the customers.
In spite of industry de-growth, they maintained their position in the market. Apollo Tyres expect this year to be marginally better than last year, but all this will depend upon the steps taken by the govt to trigger growth drivers.