Mining slump hurts Tata Hitachi’s operation in Odisha
The thaw in mining activity in Odisha due to scores of mines under suspension has hurt the operation of Tata Hitachi Construction Machinery Company Ltd, a 40:60 joint venture between Tata Motors and Japan-based Hitachi Construction Machinery Company.
“Mining contributes 30-40% to our overall business. The slide in mining activity in Odisha has already hampered our business. But we are banking on sectors like construction to drive growth. As a company, we have to remain young and keep on introducing new products”, said Ranaveer Sinha, managing director, Tata Hitachi Construction Machinery Company Ltd.
Out of 600 mining leases in Odisha, only 98 are working presently. While operation of 267 mines have been suspended for want of necessary clearances, 142 others have been temporarily discontinued.
Despite the grim scenario in mining sector, the company is eyeing 20-25% year-on-year growth after passing through a challenging phase in the last two years.
“The road ahead is the trillion dollar investment in infrastructure planning, increasing rate of mechanisation and faster project completion cycles. For us, the demand drivers in the infrastructure sector include ports, plants, roads, railways, irrigation and urban infrastructure”, said Sandeep Agarwal, general manager (sales), Tata Hitachi.
Tata Hitachi has a network of 43 dealers across the country with over 245 touch points. It has three manufacturing facilities at Jamshedpur, Kharagpur and Dharwad (Karnataka).
The company offers a full range of constructive solutions which include hydraulic excavators, backhoe loaders, wheel loaders, soil compactors, motor graders, transit mixers and dumpers. It has the widest range of hydraulic excavators with more than 30 models, catering to mining, construction, quarrying and other infrastructure applications.
Tata Hitachi today launched the ZAXIS 220 LC- GI series hydraulic excavator here. The new ZAXIS 220 LC is powered by Japanese engine which delivers up to 170 PS output for achieving higher production in tight job schedules.