Cummins Plans To Focus On Mining Equipment

Cummins India Ltd, the Indian subsidiary of the $17 billion Cummins Inc, world leader in diesel engines, has identified mining equipment and service contracts in mineral sector as the core areas of business in the coming five years.

S S Phadke, vice-president (industrial division) of Cummins India, said the gradual opening up of the mining sector were throwing up many opportunities for the company.

"This is an exciting time for us. There is many things happening in the mining sector. Cummins feels that liberalisation of mining policy would drive growth for us," Phadke said.

Elaborating on the plan, he said expansion of large mines would create demand for bigger equipment. "Some of the bigger mines such as Rajmahal needs bigger dumpers. Instead of small 30-40 tonner dumper, they would require 120-170 tonners to carry higher load. We see an opportunity there. Also such sophisticated machines would be fully electronic to ensure it attains greater efficiency," Phadke said.

 

Apart from that, Cummins expects service contract of mining equipment as one of the big volume business by leveraging its global brandname. "Cummins has a working relation with many multinational mining companies outside India. When they come to India, the company would be the preferred choice as total service contractor of mining equipment for many of them," Phadke said.

Cummins has a 90-member strong dealer network at strategic locations of India. It has also nearly 215 service locations mainly to cater to the mining industry. Moreover, the Rs 900 crore company has identified leasing out of its product range for other manufacturers as another growth area.

"Sub-contracting is going to be significant activity for Cummins. We may lease out mining equipment to companies such as Bharat Earth Mover Ltd (BEML), Larsen Toubro or Tata Engineering," Phadke said.

Such diesel engines can be used for excavation of coal and its transportation. Cummins recently launched two new engines N14 with 235-392 KW (315-525 HP) and QSK19 with 391-559 KW (525-750 HP) at Kolkata. N14 is equipped with STC fuel system, which enables advanced injection timing at lighter engine loads and speeds. The QSK19 has articulated steel pistons and swirl-port cylinder head and CELECT electronics to provide full authority electronic control.