One of the biggest leaders in the tyre industry, Balkrishna Industries Ltd (BKT) has a strong presence in the country. The company understands the importance of R&D and has a clear vision for the future.
BKT is one of the leading players in the global off-highway tyre industry and its products are sold in more than 130 countries. The company has a strong foothold in Europe and North America, apart from taking giant strides in fast growing markets like Asia. BKT recently celebrated 25 glorious years in this business and is all set to become the global leader in this segment. The company currently has a global market share of 6 per cent in the off-highway tyre market. Arvind Poddar, Chairman & Managing Director, BKT says, "As far as our short-term objectives are concerned, our goal is to achieve a turnover of $ 1.36 billion by 2015; we are aiming at a market share of 10 per cent in 2015. In the long term, we intend to achieve a sales volume of 2 billion in 2020."
Until 2012, BKT has had three state-of-the-art production plants for manufacturing the tyres. The production started in 1987 in the landmark Aurangabad plant (Western India). In 2001, a second production site at Bhiwadi in the state of Rajasthan was set up. It was followed by the establishment of a new greenfield plant at Chopanki, Rajasthan in 2006.
BKT also initiated production from its 4th plant at Bhuj, a greenfield facility in the state of Gujarat. This will be in addition to its existing sites and will boost production by more than 75 per cent. The site is very close to the sea-port and offers logistical advantages. Spread over about 300 acre, the new industrial site foresees a large warehouse and a special area of about 25 acre dedicated to Research and Development (R&D). The facility has special areas assigned for indoor and outdoor tyre testing, including a test track for the complete testing of tyres.
The machinery purchased for the production units is the best available in the market today, it is mainly sourced from USA, Europe and Japan. The modern site and its cutting edge technology results in a plant that is equipped to offer products, which lives up to the high expectations.
Rajiv Poddar, Executive Director, BKT adds, "Over the last two years, we have been able to optimise the production capacity with a 25 per cent increase.
Besides this, we have also been able to achieve noticeable energy savings, resulting in the Indian Government awarding us with the coveted National Energy Conservation Award".
Focus on innovation
BKT has earmarked a large proportion of its investment towards R&D facilities, which represents the core of BKT's commitment to develop innovative and best-in-class products. Its extensive portfolio of more than 2,100 stock keeping units is testimony to this commitment. Dilip Vaidya, President & Director-Technology, BKT says, "In addition to BKT's state-of-the art factories, we also possess an in-house mould design and production plant at Dombivali, Maharashtra powering our manufacturing capabilities. This has enabled us in achieving production flexibility and frequent change-over in the production cycle within a short time resulting in faster concept to market product rollout."
In two words, the company's tagline 'Growing Together' embodies the corporate philosophy that is inherent and inspiring to each corporate process and activity. BKT tyres offer one of the best qualities and maximise productivity, while fully respecting the environment. The company has a presence at national and international trade fairs worldwide, where its technology investments have always been highlighted. BKT's exhibition theme and comfortable hospitality have always generated a rewarding experience for visitors. This has contributed to the perception of a vibrant organisation sensitive to its consumers' needs.
Accolades and certifications
BKT adheres to stringent international quality management systems (ISO 9001) and international environmental management systems (ISO 14001) certifications. The company is also compliant with the European directive 'Regulation on Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH)'. BKT produces its own green energy with windmills that provide 40 per cent of the energy needs for its plants in Rajasthan. The company has earned 'The National energy conservation' award in the rubber and chemical sector from the Government of India, in recognition of its efforts in the field of energy conservation.