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SME sector plays a major role in the electrical industry

MRINALINI PRASAD ,  Friday, April 27, 2012, 17:41 Hrs  [IST]

Rajesh Kumar Jhonsa— Rajesh Kumar Jhonsa, Director, Arihant Industries

Delhi-based Arihant Industries has been in the electrical products business for over 35 years. Under its "Alto" brand, it makes a wide range of switchgear and LV power distribution products. Rajesh Kumar Jhonsa, in conversation with Mrinalini Prasad, speaks about his company and matters relating to the switchgear. Jhonsa feels that though Chinese products pose competition to India, prima facie, they cannot compete in terms of quality. Indian switchgear products are of global standing, he asserts.

To start with, tell us about your company's products and the "Alto" brand.
Alto is the umbrella brand under which Arihant Industries sells its electrical products. We, under this brand, manufacture superior quality electrical switchgear, distribution boards, sheet metal deep drawn boxes, LT R/F switches, plugs & sockets, distribution boxes and circuit breakers. We have been into this industry for around 35 years and over the years have developed an expertise in our product range.

What have been major innovations in the Indian switchgear industry over the recent past?
Innovations in the electrical industry have been happening constantly. Earlier, there were mechanical switchgears. Now, almost all switchgears are automated. We keep updating our product range to be at pace with these innovations and keep adding new products to our existing product range.

Does Alto cater to the global market?
Our major focus is on the domestic market. Exports contribute to around 25 per cent of our total business. In exports, we are present in the Middle-East region of the World.

How do you assess the exports performance of Indian switchgear, in general?
Indian companies are doing well in the international market. In fact, India is one of the major switchgear producers of the world.

Arihant IndustriesWhich industries are major demand drivers with respect to Alto switchgear?
There is no particular industry from which we have our demand. Demand from all the industries is almost equal and stable. Business is coming from all the major industries requiring these electrical applications.

What are your views on large body of Indian electrical equipment manufacturing industry present in the unorganized sector?
The electrical industry players of the SME and unorganized sector have a major contribution in the industry. In fact, it will not be wrong to say that it is because of them that the organized sector players are functioning!

What is your view on competition from Chinese suppliers, especially in the LV and MV switchgear industry?
Chinese electrical equipment suppliers pose a tough competition. However, in terms of quality they do not fare very well. Chinese electrical products are not reliable. Indian companies are seen as more reliable manufacturers and hence, even the price edge that the Chinese manufacturers have does not prove to be a big challenge.

Tell us about your manufacturing facilities.
We have state-of-the-art facilities at Shahdara and Bawana in Delhi. The facilities are replete with technologically advanced machinery and equipment. We are planning to augment the capacity in both the plants. Growth is a continuous process at Alto India as we keep adding new machines to meet the growing market demand.

What are your views about the quality of India's testing infrastructure (CPRI, ERDA, etc) with respect to medium and high-voltage switchgear?
Testing is must for electrical products. The testing institutions may not be at par with the international standards but they still play an important role in checking the quality of the equipment manufactured in the country and maintaining an overall standard. However, the process to get your products tested at these institutions can sometimes be very complicated.

What are your views about the government policies in the sector?
From the duties point of view, the policies by the government are sector-friendly. However, the system by which the government functions hampers the industry in general. The rules laid down by the government in certain areas are complicated as a result of which the manufacturers are at times harassed by the government officials.
 
                 
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