Heavy equipment sales up on construction activities
Apr 10, 2014-
As construction activities pick up, sales of heavy equipment such as excavators, backhoe loaders and cranes, among others, have grown significantly in the recent months, traders have said.
Usually, construction activities pick up in the second half of the fiscal year after the awarding of contracts of development projects.
Tanka Bhatta, assistant general manager at Continental Trading Enterprises, authorised distributor of Komatsu excavators and Leeboy backhoe loader, said they have recorded over 50 percent growth in sales compared to last year. “We have already sold 50 units of excavators in the first eight months of the current fiscal year, against 22 units sold in the same period a year ago,” he said, adding an estimated 450 units of heavy equipment are sold every year in the domestic market.
Komatsu excavators are priced between Rs 9 million and Rs 10.8 million, while Leeboy backhoe loaders cost Rs 3.97 million.
Another prominent brand in construction equipment market, JCB, is also seeing a healthy growth in sales. “Sales had slowed down a few months ago as contractors were not ready to start new projects, citing
non-payment of dues,” said Sanjeev Deuja, marketing manager at JCB Division of MAW Enterprises, authorised distributor of JCB. “But after the formation of the new government, many infrastructure projects have resumed.”
He said the company recorded a 12 percent growth in sales this year. MAW sells heavy equipment like backhoe loaders, excavators, compactors and cranes from JCB. Backhoe loaders from JCB are priced at Rs 2.6-4 million, while excavators’ prices range from Rs 4 million to Rs 8.9 million.
Pooja International, which last year bagged the authorised dealership of Kobelco, said the sales were encouraging. “Since we took the dealership in February, we have sold 30 units so far,” said Sanjeev Deo, manager. Pooja has recently launched the SK 210 LC-8 excavator from Kobelco.
According to the Department of Transport Management, 1,682 units of heavy equipment, including excavators, backhoe loaders, cranes and heavy trucks, were registered in the first eight months of the current fiscal year.
Published: 10-04-2014 08:54