CASE to double capacity on robust demand

Despite market headwinds, the construction equipment specialist saw its net profit more than double in CY21 to Rs 107 crore as business remains at a similar level of growth even in CY22

- Shahkar Abidi

CASE New Holland Construction Equipment, a division of CNH Industrial Group, is planning to double manufacturing capabilities at its Pithampur facility in Madhya Pradesh over the next three to four years. This move is in response to the Indian market's transition to tighter emission norms, as apparently this has opened new export opportunities for the company.

Currently, the capacity is around 9,000 units per year and according to Satendra Tiwari, Head of Manufacturing at CASE's Pithampur facility in Madhya Pradesh, the company can maximise earnings by doubling capacity and improving their efficiency across all product lines. “So, that is maximising our efficiency across all product lines,” Tiwari said. He further noted that manufacturing local and export items on the same production lines has allowed the company to boost productivity while maintaining quality requirements. The Pithampur production facility has been a prominent participant among the brand's eight manufacturing centres worldwide for over three decades. It is built on 40 acres of land and has been critical to exporting machinery internationally. According to management, approximately 75 percent of their products are local to the region.

According to Shalabh Chaturvedi, General Manager of CASE Construction Equipment India, India's boosted export potential due to the stricter emissions standards has elevated competition to a global level. “So it opens up a lot of export opportunities for us as well, which were not there before,” said Chaturvedi. Previously, India followed an export strategy focused only on countries with lower or equivalent emissions standards.