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INDIA
JK to Double
Tread Making Capacity
JK Tyre & Industries is aiming to double the tread making capacity at its Rajasthan plant during the next quarter. Currently, the firm is producing 220 tonnes of precured tread per month, whereas the capacity is 250 tonnes. JK forayed into tread making in 2009 and has appointed its first franchisee in the South Indian state of Tamil Nadu. The company currently has two presses and says it will be adding two more shortly in order to hike capacity. “Presently turnover from the tread making division is around INR 50 crore (about $ 10 million) and the plan
is to double the retreading turnover to 100 crore ($20 million) by March 2015,” said A M Srinivas Gandhi, Business Head – Retreading, JK Tyre & Industries.
The company has recently started handling the accounts of various State Transport Units that require it to raise the production capacity. “Recently, we have won the accounts of the STUs of Rajasthan, West Bengal and Tamil Nadu buses. We were not doing the STU business earlier,” Gandhi informed.
JK has also entered the export market and recently opened the markets of Nepal and Sri Lanka. “The UAE market is also in the pipeline,” Gandhi added. The company has offices in Dubai for selling tyres and plans to promote tread sales in Dubai and adjoining countries’ markets from there. Currently, JK exports 50 tonnes only but plans to raise export levels to 100 tonnes by March 2015.
The Indian retreading industry views the development of Michelin foraying into the retreading market with its Recamic system as a game changer, as it would change the dynamics of the whole business in India. It has been informed that Michelin offers a warranty of 300,000 km on new tyres and 150,000 km on retreaded casings. “JK would soon bring the same warranty concept by offering 125,000 km on new tyres and 100,000 km on retreaded casings as the offer would bring business to our retreading franchisee as the JK casing would be retreaded at our franchisee plant only,” Gandhi revealed. Meanwhile, JK also plans to launch a ‘Wing Tread’ for the Indian market. “No other Indian company has similar tread designs,” claimed Gandhi. JK is also working on new tread pattern called ‘Jetway JUC3’, trials of which have already started. “This pattern would give mileage of 150,000 km and is being designed to suit Indian road conditions. It has good traction and reduces heat
generation in the shoulder area,’ Gandhi claims.
JK also says it will be introducing a precured tread for the OTR segment soon. “We are planning to launch in early 2015 and this is also going to be a first from Indian company,” Gandhi added.
A M Srinivas Gandhi, Business Head – Retreading, JK Tyre & Industries