How do you assess the availability of finance?
Construction equipment financing market is dominated by NBFCs and banks. The limitation is that the majority of branches are present in Tier 1 and Tier 2 cities, so it is challenging for contractors to get finance if they are present in Tier 3 or Tier 4 cities or villages. Secondly, the financing amount is also dependent on the machine population. Thus, majority of the CAT products are categorised as Level 1 products, so the funding for them is high. Additionally, Gmmco’s continued association with the financiers ensures that our machines get good financing deals.
Gmmco take the competitive environment in a healthy way.
What are the initiatives taken by Gmmco to sustain the growth?
Gmmco lives by the single powerful philosophy of making its customers profitable. So, we at Gmmco take the competitive environment in a healthy way and take it as an opportunity to figure out how to offer more value to our customers and how to make them more profitable in their own businesses.
Brief us on the value propositions offered by Gmmco.
We are the partners of the enduring success for our customers. We offer a one-stop solution. We have wide range of products and solutions to offer to our customers and a strong network of after-sales and support. Our wide network having 3S (Sales, Service and Spare) facilities provides the best-inclass service. We have a machine rebuild centre, SOS facility, integrated yards coupled with workshops to offer best solution to our customers, right at their doorstep. Our machines are equipped with the latest technologies like product link for efficient equipment management.
How do you assess the future potential by 2020?
With a more stable and prodevelopment government at the Centre, the growth prospects of Indian construction equipment industry are bright. The steps taken by the government in the last six months indicate strong growth path for the construction equipment industry.
The Indian market is seeing the similar wave of development what the Chinese market was going through 10 years back. The Chinese market was liberalised 10 years before the Indian market did and their sales were similar to ours sometime in 2004. The Chinese market has become 9-10 times in last 10 years. This is macroeconomic indicator of the growth trajectory that construction equipment industry witnesses post adoption of open market policies. The period of exponential growth has now arrived.