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TYREXPO INDIA
Myers to Increase Stake in Kwik Patch
Ben Graham, Director of International Sales at Myers Tire Supply with Surendran Menon, General Manager (India & International Market), Kwik Patch Ltd.
US-based Myers Industries is set to increase its stake in the Indian tyre repair materials manufacturer, Kwik Patch Ltd, according to Srinath R Rajan, Director, T V Sundram Iyengar & Son Ltd.
Kwik Patch Ltd is India’s leading
manufacturer of tyre and tube repair patches and conveyor belt repair/splicing systems. The patch making subsidiary started in 1987 and is a part of the $3.5 billion TVS Group. Kwik Patch Ltd is a joint venture with Patch Rubber Company, which is a
division of the US $ 1.1 bn Myers Industries. Currently, Myers holds a minority 40 per cent stakes in the JV. “Myers is planning to increase its stake in the patch making JV to 60 per cent in the next three to six months,” said Rajan.
Kwik Patch has two plants in Satara and one each in Chengelpattu, Ambattur and Kalpakkam. The Kalpakkam factory is an export–oriented unit. It started exports last October and is able to manufacture a wide range of products from the Myers portfolio.
“We are targeting 10 per cent global market share in the next five years,” said Rajan when asked about the company’s plans in the international market. “We will go wherever it makes sense in Asia, South-East Asia, the Middle East and Africa.
“Myers has a range of 15,000 products in North America and it plans to introduce 6,000 of these in the Indian venture over a period of time after it raises its holding,” he added. “Our plan is to hold 2,000-3,000 core
products from the basket of products and to present in two price points in each market.” India and Sri Lanka remain the company’s core manufacturing hubs and it has no plans to expand this unless some acquisition opportunities arise in other markets.
The company targets INR 230 crore turnover in the next five years, which is 10 per cent of the INR 2,300 crore global market for accessories, consumables and repair materials.
In addition to tyre and tube repair patches, Kwik Patch Ltd markets premium quality pre cured tread rubber, bonding gum and black vulcanising cement as well as tools and accessories for the retreading and repairing industries.
Kwik Patch’s range of products are well accepted in Sri Lanka, Malaysia, Singapore, Indonesia, Thailand, Hong Kong, China, Middle East, Africa, Vietnam and South America in addition to India.