At Munich for bauma 2019, the Wirtgen Group, displayed more than 120 exhibits of its brands – Wirtgen, Vögele, Hamm, Kleemann and Benninghoven – on a display space of 13,000 sqm, under its slogan ‘Smart Synergies and Innovations’. This was also the first time the German road equipment specialist exhibited at a joint booth together with US equipment maker John Deere, with which it merged last year. The company showcased cost-effective premium solutions for cold milling, cold recycling, soil stabilisation, concrete paving and surface mining underscoring its position as the innovation driver and technology leader in the road construction sector. Ramesh Palagiri, Managing Director & Ceo, Wirtgen India offered Shrikant Rao an understanding of his company’s focus at bauma 2019, the products on display, and the technologies and strategies for the market of the future.
How has the exhibition been for you as we enter the third day of bauma 2019?
It has been an excellent one. The visitors this time are 20 per cent more than the last edition. It’s been busy for us – bauma is always a selling show in Germany. We have been getting a lot of enquiries from customers all over the world for all our products.
In line with the Wirtgen motto ‘Getting Close to the Customers’ what more have you been looking to bring to the table at this event?
I think as far as bauma is concerned it is about more innovations, more launches. So we are showing visitors new technologies any trends which are coming in the market. As you know this event comes up once in three years in Munich. The company’s exhibit at the 2019 edition of bauma includes 20 world premieres and 25 innovations, as well as six interactive technology demos. We have a total display of hundred and twenty machines. I would say it is a fantastic opportunity for us to showcase the new technologies which have come out in the last three years. And many of them are relevant to the market in India.
So how are things for the company now that you are under the John Deere umbrella?
As far as our customers are concerned nothing changes – they are the same, before and after. As a company we are much bigger under the John Deere umbrella because at Wirtgen Group we were at $3.5 billion, now at John Deere we are at $36 billion. We are joining forces with John Deere in construction. You can see for the first time at bauma 2019 that John Deere is back to Europe, their machines are on display here. The event is a platform for the official launch of the John Deere 622GP motor grader in Europe. They are going to start in France and Germany and then they will go to other countries.
Let me ask you from the India perspective what are the products you have on display here?
I would say the highlight from the Indian point of view would have to be the Kleemann screens which are produced in India now for the world market. We have a screen on display here. As of now we have more than 500 screens operating worldwide – it is a global product being developed. In terms of the other products, from each of the brands we have new innovation, a new range of milling machines is on display.
What is the factor according to you which makes bauma such a big draw?
It is an established fact that bauma is the world’s biggest exhibition of any type which comes once in three years – unlike events in India which happen with greater frequency. It allows enough time for all stakeholders when they come to Munich. As manufacturers it is ideal for us because it gives us enough time to come up with new technologies and to showcase them. Customers from around the world, including India, are also waiting for the event to happen. They want to see what new is coming from various segments like road building and rehabilitation and mining. The platform allows them to make informed choices. As I said we have a lot of new innovations here such as a new W 210 Fi cold milling machine, which is one of the company’s most popular vehicles on display, a new recycler, a new surface miner; we also have Vögele’s new flagship – the SUPER 3000-3i paver on display. As far as bauma 2019 is concerned our focus is to showcase to our customers from India the latest innovations of the Wirtgen Group and also see how we can differentiate ourselves from the rest of the competition in the field where we are in now.
Tell us of the perception being built here of Wirtgen India now that we have India manufactured products on display at bauma 2019?
India is a very important market for the Wirtgen Group and the last five years have been excellent. There has been fantastic growth of an average of 40 per cent. We hope the growth will continue because there is going to be enough demand for new roads.
Will you be looking to raise your manufacturing profile in any form, investing more to pump up production? What’s your plan of action for 2019?
In 2019 our plan of action will be to stay close to our customers. We have enough capacity so we are not investing in additional plants. We will be opening a new paint shop in the finishing area in Pune – that should be ready sometime in July. We are doubling our capacity for screens in India. Those will be our two major steps we will be taking in manufacturing.
In a market which is going to be increasingly competitive how does Wirtgen intend being different – what is that extra thing which you believe gives you the edge?
I think the number one factor would be our products and innovations – all our machines are generations ahead; second, it is our direct sales and service and being close to the customers. We have application expertise whether it is for concrete or asphalt roads. We have the expertise and can help customers how to build better roads, how to get them be of the right quality – the final finish of the roads depends upon our machine.
What is your feedback about the projects that are happening right now in India so how do you see the momentum going?
It is very good. I think a lot of projects over here are awarded which should keep us busy for the next three years.
What is your strategy for the market of the future?
I think the future will contain more telematics. As far as autonomous machines are concerned there is already a lot of talk globally. The last may be too early for India but definitely telematics will be there. All our products already have telematics and we will be taking it to another level, where we will be integrating different machines in both paving and compaction plants.