28-08-2014, 03:09 PM
mahindra & mahindra ltd is one of the largest tractor producing co operation in india which produce tractors for cultivation in india and abroad. I have completed my 6 months industrial training at mahindra and mahindra swaraj plant 1 at mohali, which is main branch of swaraj dvision in punjab My project is to reduce/ elimination of water mixing from engine oil. during my training i studied about this problem and gives my views to reduce by making this report on it.
Chapter 1
About Mahindra & Mahindra
Co-operation
(Mohali)
1. The Indian Tractor Industry
India is mainly an agricultural country. Agriculture accounts for approximately 25 percent of India’s GDP. Agriculture in India is the means of livelihood of almost two thirds of the workforce in the country and employs nearly 62 percent of the population. It accounts for 13 percent of India’s exports. About 42 percent ofIndia’s geographical area is usedfor agricultural activities. It is therefore considered a vital sector of the Indianeconomy.
The Indian tractor industry is the largest in the world, accounting for one third of global production. The other major tractor markets in the world are China and the USA. The global spotlight on tractor manufacture in terms of unit volume seems to be swinging away from the USA, UK and Western and Eastern Europe towards India and China, where growth in the number of producers and the total volume of production in recent years has beenimpressive.
Until 1960, the demand for tractors was met entirely through imports. Indigenous manufacture oftractors began in 1961, but India continued to import tractors to bridge the total volume needs up to the late 1970s. The Indian Tractor Industry has come a long way since then. Volume growth in the past four decades show a compound annual growth rate of 10 percent, despite seasonal variations that cause natural fluctuations in the demand for tractors, subsequently impacting the industry volumes.
The Indian tractor market is traditionally a medium-horsepower market consisting of mostly 31-40hp, which constitutes almost 51 percent to growth in this category. Growth of the Industry is closely related to growth in this category. In other-size categories, 41-50hp category achieved the second highest growth of 34 percent and constitutes 24 percent of the total market share. The rest of the market share is largely with the 21-30 hp category followed by the category of tractors having more than 50 hp. The Indian Tractor Industry has numerous challenges, someof them being:-
1. Reducing the average age of tractor buyers from the age group ofabove 40 to younger people.
2. Development of new products using latest technology and advancements in the field ofelectronics and mechatronics and making the tractors more comfortable, stylish and yetkeeping them in range of a farmer.
3. Reduction of emissions in accordancewith the new international emission standards is the farm equipment manufacturer division and the flagship company of the erstwhile Punjab Tractors Limited of which a major share was acquired by Mahindra and Mahindra Limited in the year 2007. The Company's principal activity is to manufacture, market and servicing of tractors ranging from 25-100 HP. Other products include self-propelled harvester combines, forklifts, tractor drawn agricultural implements, gears, spare parts, casting and accessories. The Company has manufactured and sold more than 600,000 tractors over the past 30 years (with 36000 tractors being manufactured and sold in the fiscal year 2008-2009 alone).The basic credibility of the company is the manufacture of reliable tractors requiring least maintenance and low cost of ownership. The Company is one of the major share-holder in the Indian Tractor Industry in a market with rivals like John Deere, Case New Holland, TAFE, etc. The company has in-house competence in producing engines and transmission systems and has been the best financially managed company in the Indian Tractor Industry. The reputed Swaraj brand of the company is sold through 475 exclusive dealers stocking only Swaraj products The manufacturing plants and the Research and Development centre of the company are located in Mohali, Punjab. The company exports auto components to the markets of African/SAARC countries.
The company has 3 farm equipment manufacturing facilities:-
1. Swaraj Tractor Division (STD) Phase–IV, Industrial Area, SAS Nagar(Mohali)
2. Swaraj Foundry Division (SFD) Mazri, SAS Nagar(Mohali)
3. Swaraj Combine Division (SCD)chapparcheri,SAS Nagar(Mohali)
1.1.Background of the company –
Keeping in mind Punjab’s agrarian economy, it was decided by the Punjab government to encourage the growth of the industries, which complement Punjab’s agriculture growth. This task wasentrusted to P.S.I.D.C. (Punjab State Industrial Development Corporation), which has played a major role in bringing Punjab to the threshold of the industrial revolution. With the dual objective of industrial &agriculture growth, Punjab Tractors Limited was established on 27th June 1970 as a project of Central Mechanical Engineering Research Institute (CMERI), Durgapur, West Bengal.
Punjab Tractors Limited (PTL) was promoted by Punjab State Industrial Development Corporation (PSIDC) to commercialize the indigenous tractor developed by the Central Mechanical Engineering Research Institute (CMERI). The Swaraj brand oftractors were India's first indigenously made tractor suitable for medium land holdings. A number ofplants of the company are situated in the S.A.S. Nagar(Mohali) District, Punjab, India. The construction of the first plant of the company located at phase-IV, Industrial Area, S.A.S. Nagar (Mohali) started in March 1972 and the first batch of tractors rolled outon 14th November 1973. The commercial production commenced in the year 1974. Initially, PSIDC contributed 42% equity capital against the total paid up capital of Rs.140.00 lakhs. The facility was initially created to manufacture 5000 tractors and the capital cost at that time was Rs.321 lakhs.
The company's product line also includes Combine Harvesters and Forklifts. The production capacity of tractors has increased to 60000 tractors per year from the level of 5000. The company, over the years, has also promoted two companies, namely, Swaraj Mazda Limited (manufacture of LightCommercial Vehicles) & Swaraj Engines Ltd. (manufacture of Diesel Engines in collaboration with Kirloskar limited). Both Kirloskar Oil Engines limited and Swaraj Engines Limited manufacture tractor engines for the Swaraj Brand of tractors.
S. no
Year
Event
1
1965
Govt.ofIndia'sresearchinstitute(CMERI)atDurgapurinitiatesdesignanddevelopment of SWARAJ tractor based on indigenous know-how.
2
1970
PunjabGovt.throughPSIDCacquiresSWARAJtractor'sdesignfromCMERIand establishes Punjab Tractors Ltd.(PTL) for its commercialization
3
1971-73
PTLsetsupSWARAJProjectfor5,000tractorsperannumatacapital outlay of Rs. 37.0 million with an equity base of Rs 11.0 million.
4
1974
Swaraj724(26.5HP)tractorcommerciallyintroduced
5
1975
2ndtractormodelSWARAJ735(39HP)developedbyownR&D,commercially introduced
6
1978
3rdTractormodelSWARAJ720(19.5HP)developedbyownR&D,commercially introduced. Maiden equity divided declared.
7
1980
Guidedbysocialconcernsandresponsibility,PTLtakesoverPSIDC'ssickscooters unit - Punjab Scooters Ltd. (subsequently renamed as SWARAJ Auto motives Ltd.)India's first Self-propelled Harvester Combine - SWARAJ 8100 developed by own R&D, commercially introduced. SWARAJ Foundry Division set up in Backward area.
8
1981
IssueofmaidenBonusShares(2:5),paid-upequitymovestoRs15.4million.
9
1983
4thTractorModel-SWARAJ855(55HP)developedbyownR&D, commercially introduced. Expansion of annual capacity to 12,000 tractors per annum at Plant1
10
1984
SWARAJMAZDALtd.promotedintechnicalandfinancialcollaborationwith Mazda Motor Corporation. & Sumitomo Corporation. Japan for manufacture of Light Commercial Vehicles.PTL's equity participation is Rs.30.4 million (29%) and that of Mazda andSumitomo's Rs. 27.0 million(26%).
11
1985
IndustrialForkliftTrucksdevelopedbyownR&D,commercially introduced.
12
1986
SWARAJENGINESLtd.promotedintechnicalandfinancialcollaboration with Kirloskar Oil Engines Ltd.(KOEL) for manufacture of diesel engines. PTL's equity participation is Rs. 6.9 million (33%) and that of KOEL's Rs3.6million (17%).
13
1989
1stRightIssue(1:1)atapremiumofRs50/-pershare(plusreservationof200 Shares per employee) paid up equity moves toRs 31.6 million.
14
1991
1st right issue of Bonus Shares (1:1), paid up capitalmoves to Rs. 101.2million
15
1993
Annualtractorcapacityexpandedto24,000perannumatPlant1.
16
1995
SetupoftractorPlantIIatVillageChappercheri,SASNagarwithannualcapacity of 12,000 per annum
17
1996
3rdissueofBonusShares(1:1),paidupequitymovestoRs.202.5million.
18
1998
Commencementofexpansionto60,000tractors(30,000ateachplant).Capital outlay of Rs 1000 million, funded mainly through internal accruals.
19
1999
5thand6thtractormodels SWARAJ733(34HP)&SWARAJ744(48HP)developed by own R&D, commercially introduced. FY 1999's divided @250% was corporate India's highest
20
2000
1. Expansion of annual tractor capacity to 60,000 completed.
2. .4th issue of Bonus Shares (2:1), paidup equity moves to Rs 607.6million.
21
2001
1. PTL won NationalChampionship trophy in competition organized by All India Management Association (AIMA) for young managers.
2. Economic times and Boston Consulting Group selects PTL as one ofthe India's finest 10 companies out of Economic times top 500Companies.
22
2002
Cumulativetractorsalescrosses500,000
23
2003
PSIDC'sdisinvestmentofitsentireEquityholding(23.49%)inPTLinfavour of CDC Financial Services (Mauritius) Ltd. With this, total holding ofCDC & its associates in PTL stands at28.48%.
24
2004
7th&8thtractormodels-Swaraj939(41HP)&Swaraj834(34HP)developed by own R&D, commercially introduced
25
2005
PTLdisinvested15,73,000equitysharesofRs.10/-eachofSwarajMazdaLtd. (constituting approx. 15% of SML's paid up capital) in favour ofSumitomo Corporation, Japan, a joint venture partner in Swaraj Mazda Ltd.at a total consideration of Rs.629.2 million
26
2007
CDC/Act is Group and Burman Family's disinvestment oftheir Equity holding in PTL (43.3%) in favourof Mahindra Group (M&M). M&M made open offer to shareholders for another 20% equity ofthe Company. Mahindra Group's equity holding in the Company stands at 64.6% Cumulative Tractor Sales cross 600,000. Swaraj Track Type Combine designed anddeveloped by in-house R&D, commercially launched
27
2008
Swaraj3TonneBatteryforklift,designedanddevelopedbyin-houseR&D,commercially launched
1.2.ROUGH TERRAIN
Origin of the word “SWARAJ”.-The word SWARAJ”, in Hindi, means “freedom from bondage”. Since, P.T.L. was the first largest tractor project in India, moreover fully based upon Indian technology. So “SWARAJ” was appropriately chosen as its brand name.
SWARAJ GROUP sells its product under this brand name.
1.3.Position of SWARAJ
products in market –
With more than 2 Lac tractors and harvester combines operating in Indian farms, SWARAJ are now a well-established brand name in country. SWARAJ is also an internationally recognized name in the developing world. The products of SWARAJ are not only restricted to Indian market but, they had entered in international market. SAWRAJ tractors find an important place in developing countries like Ghana, Tanzania, Zambia, Kenya, Sudan, Uganda, Indonesia, Malaysia, etc. They are also sending their Harvesting Combines to South Korea having first AC cabin Harvesting Combine in India. Earlier, they had also transported the machined rims to Japan, a project worth millions of dollars.
1.4.SALES SCENARIO OF VARIOUS TRACTOR COMPANIES
Nowadays, the markets are flooded with tractors of various companies. Most of the companies provide a range (in terms of power) of tractors to capture the market. The data is collected for the year. Following is the detailed list of sales of leading tractor-producing companies:
We see that three-four companies dominate total tractor production in India and around. SWARAJ occupies third position in the market in terms of sales of tractors. Units of SWARAJ Group -Originally, SWARAJ had set up its plant for the production of tractors. But with the passage of time, to fulfil the requirements of Indian market, it diversified into other fields, with the collaboration of foreign companies like Komatsu, Mazda etc. it opened its new Division near Chandigarh. Following are the five divisions of SWARAJ GROUP:
• SWARAJ COMBINE DIVISION
• SWARAJ FOUNDARY DIVISION
• SWARAJ ENGINE DIVISION
• SWARAJ TRACTOR DIVISION
1.4.1. SWARAJ COMBINE DIVISION
It was set up in 1980 in village Chappercheri, on Land ran road near Kharar in Distt. Ropar. It was started with a capital layout of Rs. 2.6 crores to manufacture self-propelled harvester combines modelled SWARAJ-8100. It was India’s first indigenously produced self-propelled harvester combine. In 1985, indigenous diesel fork FD-20 and FD-25 with a lifting capacity of 2tonnes, 2.5 tonnes respectively were brought out. Later in the year, company also entered in collaboration with KOMATSU FORKLIFT CO. of Japan for manufacturing both diesel and electric fork lifters up to 10 tonnes capacity. IN year 1990, the production of tractor was also started here. Presently this division is manufacturing around 75 tractors (FE-855, FE-939).This year target has been set to 30000 tractors annually. Additionally, SCDis manufacturing some components for SWARAJ MAZDA DIVISION.SWARAJ COMBINE DIVISION (SOD) is also producing FIBRE REENFORCED PLASTIC (FRP) shelters for Indian army. Shelters are used for various purposes like housing electronic data, handling systems, refrigerated vans, mobile radio stations and other similar defense applications. Keeping in mind the weight and strength requirements of shelters, they are manufactured either with FRP or Aluminium. FRP used here plays dual role;
firstly, it acts as rust inhibitor.
Secondly, it is a structured material with required strength.
1.4.2. SWARAJ FOUNDARY DIVISION
This plant is located in village Majri near Kurali in Ropar Distt. It is situated at a distance of around 22 km from Chandigarh. This plant was set up in the year 1980 with an initial investment of Rs. 15 crores. This division supplies the casting to all other units of SWARAJ GROUP. It includes supply of input shafts, hub, gear main drive and many other components used in L.M.S. In H.M.S. shop it supply gearbox, differential rear cover, trumpet housing. The current capacity of this plant is 800 tonnes of gray iron casting per annum on single shift basis.
1.4.3. SWARAJ ENGINE DIVISION
This plant is located in Mohali. It was setup in technical and financial collaboration with KIRLOSKAR OIL ENGINE LIMITED. It was setup in the year 1987 for the manufacture of diesel engines. This plant for SWARAJ TRACTORS. It also supplies connecting rods to SWARAJ MAZDA DIVISION. The installed capacity of this plant was 1500 engines per annum. Engine production in this company has reached level of 15921, a volume growth of27% as compared to previous year. Total revenue of this plant has reached up to Rs.72.6 crores. It uses about 99.4% indigenous components. The shareholding of SWARAJ ENGINE LIMITED is as follows:
PTL 38%
KIRLOSKAR 13%
PUBLIC 49%
1.4.4. SWARAJ TRACTORS DIVISION (MOHALI)
Introduction -Swaraj Tractor Division is situated at phase-IV, S.A.S. Nagar, an important industrial town, 5 Km from Chandigarh, in Ropar District, in Punjab. It was set up on May 27, 1970 with the dual objective of industrial and agriculture growth. It was the first SWARAJ DIVISION to be set up. This was India’s first large-scale project totally based upon indigenous design and technology of India itself. It manufactures different models of tractors i.e., of different HPs. Presently around 90— 100 tractors are produced in a day in two shifts.
Rated capacity 40100 tractors per year.
Employee strength: Around 3000
Annual turnover: Rs. 1300 crores
1.5.Company organization chart
(Note- 1,2…… are the different levels)
1. Board of Directors
Chapter 1
About Mahindra & Mahindra
Co-operation
(Mohali)
1. The Indian Tractor Industry
India is mainly an agricultural country. Agriculture accounts for approximately 25 percent of India’s GDP. Agriculture in India is the means of livelihood of almost two thirds of the workforce in the country and employs nearly 62 percent of the population. It accounts for 13 percent of India’s exports. About 42 percent ofIndia’s geographical area is usedfor agricultural activities. It is therefore considered a vital sector of the Indianeconomy.
The Indian tractor industry is the largest in the world, accounting for one third of global production. The other major tractor markets in the world are China and the USA. The global spotlight on tractor manufacture in terms of unit volume seems to be swinging away from the USA, UK and Western and Eastern Europe towards India and China, where growth in the number of producers and the total volume of production in recent years has beenimpressive.
Until 1960, the demand for tractors was met entirely through imports. Indigenous manufacture oftractors began in 1961, but India continued to import tractors to bridge the total volume needs up to the late 1970s. The Indian Tractor Industry has come a long way since then. Volume growth in the past four decades show a compound annual growth rate of 10 percent, despite seasonal variations that cause natural fluctuations in the demand for tractors, subsequently impacting the industry volumes.
The Indian tractor market is traditionally a medium-horsepower market consisting of mostly 31-40hp, which constitutes almost 51 percent to growth in this category. Growth of the Industry is closely related to growth in this category. In other-size categories, 41-50hp category achieved the second highest growth of 34 percent and constitutes 24 percent of the total market share. The rest of the market share is largely with the 21-30 hp category followed by the category of tractors having more than 50 hp. The Indian Tractor Industry has numerous challenges, someof them being:-
1. Reducing the average age of tractor buyers from the age group ofabove 40 to younger people.
2. Development of new products using latest technology and advancements in the field ofelectronics and mechatronics and making the tractors more comfortable, stylish and yetkeeping them in range of a farmer.
3. Reduction of emissions in accordancewith the new international emission standards is the farm equipment manufacturer division and the flagship company of the erstwhile Punjab Tractors Limited of which a major share was acquired by Mahindra and Mahindra Limited in the year 2007. The Company's principal activity is to manufacture, market and servicing of tractors ranging from 25-100 HP. Other products include self-propelled harvester combines, forklifts, tractor drawn agricultural implements, gears, spare parts, casting and accessories. The Company has manufactured and sold more than 600,000 tractors over the past 30 years (with 36000 tractors being manufactured and sold in the fiscal year 2008-2009 alone).The basic credibility of the company is the manufacture of reliable tractors requiring least maintenance and low cost of ownership. The Company is one of the major share-holder in the Indian Tractor Industry in a market with rivals like John Deere, Case New Holland, TAFE, etc. The company has in-house competence in producing engines and transmission systems and has been the best financially managed company in the Indian Tractor Industry. The reputed Swaraj brand of the company is sold through 475 exclusive dealers stocking only Swaraj products The manufacturing plants and the Research and Development centre of the company are located in Mohali, Punjab. The company exports auto components to the markets of African/SAARC countries.
The company has 3 farm equipment manufacturing facilities:-
1. Swaraj Tractor Division (STD) Phase–IV, Industrial Area, SAS Nagar(Mohali)
2. Swaraj Foundry Division (SFD) Mazri, SAS Nagar(Mohali)
3. Swaraj Combine Division (SCD)chapparcheri,SAS Nagar(Mohali)
1.1.Background of the company –
Keeping in mind Punjab’s agrarian economy, it was decided by the Punjab government to encourage the growth of the industries, which complement Punjab’s agriculture growth. This task wasentrusted to P.S.I.D.C. (Punjab State Industrial Development Corporation), which has played a major role in bringing Punjab to the threshold of the industrial revolution. With the dual objective of industrial &agriculture growth, Punjab Tractors Limited was established on 27th June 1970 as a project of Central Mechanical Engineering Research Institute (CMERI), Durgapur, West Bengal.
Punjab Tractors Limited (PTL) was promoted by Punjab State Industrial Development Corporation (PSIDC) to commercialize the indigenous tractor developed by the Central Mechanical Engineering Research Institute (CMERI). The Swaraj brand oftractors were India's first indigenously made tractor suitable for medium land holdings. A number ofplants of the company are situated in the S.A.S. Nagar(Mohali) District, Punjab, India. The construction of the first plant of the company located at phase-IV, Industrial Area, S.A.S. Nagar (Mohali) started in March 1972 and the first batch of tractors rolled outon 14th November 1973. The commercial production commenced in the year 1974. Initially, PSIDC contributed 42% equity capital against the total paid up capital of Rs.140.00 lakhs. The facility was initially created to manufacture 5000 tractors and the capital cost at that time was Rs.321 lakhs.
The company's product line also includes Combine Harvesters and Forklifts. The production capacity of tractors has increased to 60000 tractors per year from the level of 5000. The company, over the years, has also promoted two companies, namely, Swaraj Mazda Limited (manufacture of LightCommercial Vehicles) & Swaraj Engines Ltd. (manufacture of Diesel Engines in collaboration with Kirloskar limited). Both Kirloskar Oil Engines limited and Swaraj Engines Limited manufacture tractor engines for the Swaraj Brand of tractors.
S. no
Year
Event
1
1965
Govt.ofIndia'sresearchinstitute(CMERI)atDurgapurinitiatesdesignanddevelopment of SWARAJ tractor based on indigenous know-how.
2
1970
PunjabGovt.throughPSIDCacquiresSWARAJtractor'sdesignfromCMERIand establishes Punjab Tractors Ltd.(PTL) for its commercialization
3
1971-73
PTLsetsupSWARAJProjectfor5,000tractorsperannumatacapital outlay of Rs. 37.0 million with an equity base of Rs 11.0 million.
4
1974
Swaraj724(26.5HP)tractorcommerciallyintroduced
5
1975
2ndtractormodelSWARAJ735(39HP)developedbyownR&D,commercially introduced
6
1978
3rdTractormodelSWARAJ720(19.5HP)developedbyownR&D,commercially introduced. Maiden equity divided declared.
7
1980
Guidedbysocialconcernsandresponsibility,PTLtakesoverPSIDC'ssickscooters unit - Punjab Scooters Ltd. (subsequently renamed as SWARAJ Auto motives Ltd.)India's first Self-propelled Harvester Combine - SWARAJ 8100 developed by own R&D, commercially introduced. SWARAJ Foundry Division set up in Backward area.
8
1981
IssueofmaidenBonusShares(2:5),paid-upequitymovestoRs15.4million.
9
1983
4thTractorModel-SWARAJ855(55HP)developedbyownR&D, commercially introduced. Expansion of annual capacity to 12,000 tractors per annum at Plant1
10
1984
SWARAJMAZDALtd.promotedintechnicalandfinancialcollaborationwith Mazda Motor Corporation. & Sumitomo Corporation. Japan for manufacture of Light Commercial Vehicles.PTL's equity participation is Rs.30.4 million (29%) and that of Mazda andSumitomo's Rs. 27.0 million(26%).
11
1985
IndustrialForkliftTrucksdevelopedbyownR&D,commercially introduced.
12
1986
SWARAJENGINESLtd.promotedintechnicalandfinancialcollaboration with Kirloskar Oil Engines Ltd.(KOEL) for manufacture of diesel engines. PTL's equity participation is Rs. 6.9 million (33%) and that of KOEL's Rs3.6million (17%).
13
1989
1stRightIssue(1:1)atapremiumofRs50/-pershare(plusreservationof200 Shares per employee) paid up equity moves toRs 31.6 million.
14
1991
1st right issue of Bonus Shares (1:1), paid up capitalmoves to Rs. 101.2million
15
1993
Annualtractorcapacityexpandedto24,000perannumatPlant1.
16
1995
SetupoftractorPlantIIatVillageChappercheri,SASNagarwithannualcapacity of 12,000 per annum
17
1996
3rdissueofBonusShares(1:1),paidupequitymovestoRs.202.5million.
18
1998
Commencementofexpansionto60,000tractors(30,000ateachplant).Capital outlay of Rs 1000 million, funded mainly through internal accruals.
19
1999
5thand6thtractormodels SWARAJ733(34HP)&SWARAJ744(48HP)developed by own R&D, commercially introduced. FY 1999's divided @250% was corporate India's highest
20
2000
1. Expansion of annual tractor capacity to 60,000 completed.
2. .4th issue of Bonus Shares (2:1), paidup equity moves to Rs 607.6million.
21
2001
1. PTL won NationalChampionship trophy in competition organized by All India Management Association (AIMA) for young managers.
2. Economic times and Boston Consulting Group selects PTL as one ofthe India's finest 10 companies out of Economic times top 500Companies.
22
2002
Cumulativetractorsalescrosses500,000
23
2003
PSIDC'sdisinvestmentofitsentireEquityholding(23.49%)inPTLinfavour of CDC Financial Services (Mauritius) Ltd. With this, total holding ofCDC & its associates in PTL stands at28.48%.
24
2004
7th&8thtractormodels-Swaraj939(41HP)&Swaraj834(34HP)developed by own R&D, commercially introduced
25
2005
PTLdisinvested15,73,000equitysharesofRs.10/-eachofSwarajMazdaLtd. (constituting approx. 15% of SML's paid up capital) in favour ofSumitomo Corporation, Japan, a joint venture partner in Swaraj Mazda Ltd.at a total consideration of Rs.629.2 million
26
2007
CDC/Act is Group and Burman Family's disinvestment oftheir Equity holding in PTL (43.3%) in favourof Mahindra Group (M&M). M&M made open offer to shareholders for another 20% equity ofthe Company. Mahindra Group's equity holding in the Company stands at 64.6% Cumulative Tractor Sales cross 600,000. Swaraj Track Type Combine designed anddeveloped by in-house R&D, commercially launched
27
2008
Swaraj3TonneBatteryforklift,designedanddevelopedbyin-houseR&D,commercially launched
1.2.ROUGH TERRAIN
Origin of the word “SWARAJ”.-The word SWARAJ”, in Hindi, means “freedom from bondage”. Since, P.T.L. was the first largest tractor project in India, moreover fully based upon Indian technology. So “SWARAJ” was appropriately chosen as its brand name.
SWARAJ GROUP sells its product under this brand name.
1.3.Position of SWARAJ
products in market –
With more than 2 Lac tractors and harvester combines operating in Indian farms, SWARAJ are now a well-established brand name in country. SWARAJ is also an internationally recognized name in the developing world. The products of SWARAJ are not only restricted to Indian market but, they had entered in international market. SAWRAJ tractors find an important place in developing countries like Ghana, Tanzania, Zambia, Kenya, Sudan, Uganda, Indonesia, Malaysia, etc. They are also sending their Harvesting Combines to South Korea having first AC cabin Harvesting Combine in India. Earlier, they had also transported the machined rims to Japan, a project worth millions of dollars.
1.4.SALES SCENARIO OF VARIOUS TRACTOR COMPANIES
Nowadays, the markets are flooded with tractors of various companies. Most of the companies provide a range (in terms of power) of tractors to capture the market. The data is collected for the year. Following is the detailed list of sales of leading tractor-producing companies:
We see that three-four companies dominate total tractor production in India and around. SWARAJ occupies third position in the market in terms of sales of tractors. Units of SWARAJ Group -Originally, SWARAJ had set up its plant for the production of tractors. But with the passage of time, to fulfil the requirements of Indian market, it diversified into other fields, with the collaboration of foreign companies like Komatsu, Mazda etc. it opened its new Division near Chandigarh. Following are the five divisions of SWARAJ GROUP:
• SWARAJ COMBINE DIVISION
• SWARAJ FOUNDARY DIVISION
• SWARAJ ENGINE DIVISION
• SWARAJ TRACTOR DIVISION
1.4.1. SWARAJ COMBINE DIVISION
It was set up in 1980 in village Chappercheri, on Land ran road near Kharar in Distt. Ropar. It was started with a capital layout of Rs. 2.6 crores to manufacture self-propelled harvester combines modelled SWARAJ-8100. It was India’s first indigenously produced self-propelled harvester combine. In 1985, indigenous diesel fork FD-20 and FD-25 with a lifting capacity of 2tonnes, 2.5 tonnes respectively were brought out. Later in the year, company also entered in collaboration with KOMATSU FORKLIFT CO. of Japan for manufacturing both diesel and electric fork lifters up to 10 tonnes capacity. IN year 1990, the production of tractor was also started here. Presently this division is manufacturing around 75 tractors (FE-855, FE-939).This year target has been set to 30000 tractors annually. Additionally, SCDis manufacturing some components for SWARAJ MAZDA DIVISION.SWARAJ COMBINE DIVISION (SOD) is also producing FIBRE REENFORCED PLASTIC (FRP) shelters for Indian army. Shelters are used for various purposes like housing electronic data, handling systems, refrigerated vans, mobile radio stations and other similar defense applications. Keeping in mind the weight and strength requirements of shelters, they are manufactured either with FRP or Aluminium. FRP used here plays dual role;
firstly, it acts as rust inhibitor.
Secondly, it is a structured material with required strength.
1.4.2. SWARAJ FOUNDARY DIVISION
This plant is located in village Majri near Kurali in Ropar Distt. It is situated at a distance of around 22 km from Chandigarh. This plant was set up in the year 1980 with an initial investment of Rs. 15 crores. This division supplies the casting to all other units of SWARAJ GROUP. It includes supply of input shafts, hub, gear main drive and many other components used in L.M.S. In H.M.S. shop it supply gearbox, differential rear cover, trumpet housing. The current capacity of this plant is 800 tonnes of gray iron casting per annum on single shift basis.
1.4.3. SWARAJ ENGINE DIVISION
This plant is located in Mohali. It was setup in technical and financial collaboration with KIRLOSKAR OIL ENGINE LIMITED. It was setup in the year 1987 for the manufacture of diesel engines. This plant for SWARAJ TRACTORS. It also supplies connecting rods to SWARAJ MAZDA DIVISION. The installed capacity of this plant was 1500 engines per annum. Engine production in this company has reached level of 15921, a volume growth of27% as compared to previous year. Total revenue of this plant has reached up to Rs.72.6 crores. It uses about 99.4% indigenous components. The shareholding of SWARAJ ENGINE LIMITED is as follows:
PTL 38%
KIRLOSKAR 13%
PUBLIC 49%
1.4.4. SWARAJ TRACTORS DIVISION (MOHALI)
Introduction -Swaraj Tractor Division is situated at phase-IV, S.A.S. Nagar, an important industrial town, 5 Km from Chandigarh, in Ropar District, in Punjab. It was set up on May 27, 1970 with the dual objective of industrial and agriculture growth. It was the first SWARAJ DIVISION to be set up. This was India’s first large-scale project totally based upon indigenous design and technology of India itself. It manufactures different models of tractors i.e., of different HPs. Presently around 90— 100 tractors are produced in a day in two shifts.
Rated capacity 40100 tractors per year.
Employee strength: Around 3000
Annual turnover: Rs. 1300 crores
1.5.Company organization chart
(Note- 1,2…… are the different levels)
1. Board of Directors