‘Developing countries offer a great deal of opportunity for our business’
Pradeep Kumar, Vice President of Mahindra and Mahindra for international operations of Auto & Farm sectors in Asia and Australia, was recently in Nepal when he talked to Sujan Dhungana of New Business Age about his company’s business in Nepal.
Excerpts:
What brings you to Nepal?
I have visited Nepal several times in the past because it is a strategic market for Mahindra. We are market leaders in the utility vehicle segment and tractors, with two brands, Mahindra and Swaraj. Both brands, together, account for more than 38 percent of market share in the tractor business. We are here to launch our product, the Mahindra XUV 500, a world class SUV which is now blazing a trail across India, Australia, South Africa and Italy . This is one of the most successful vehicles we have launched in India and its demand is increasing.
Moreover, this year, I am proud to announce that we have completed 22 years of successful association with our Nepal distributor, Agni, and we would like to use this occasion – the launch of our new 3S facility – as a chance to interact with our local customers and to provide them with the best service possible.
What makes Mahindra stand out in the market?
Our products have been developed as per market demand. We have always kept the customer in focus while designing our products, which are reliable. Moreover, the fact that we have won various quality related awards is a testimony of our attention focused on this area.
When did your company start exporting?
We have been exporting our vehicles since the 1960’s but the real growth in export volumes has been experienced within the last ten years.
How is the performence of the products you are currently supplying in Nepal?
In Nepal, we supply Mahindra vehicles with annual sales crossing 2000 numbers. We also sell tractors with both the Mahindra and Swaraj badge, with annual sales of about 2000 numbers. We are currently focusing on expanding our product range in all the segments we are present in.
What prospects do you see for your business in Nepal?
There is a big demand of our products and our sales are also rising here. The Nepal market is a vital one for us.
Why should a consumer choose your products?
Aside from the fact that the Mahindra brand is associated with trust, durability and reliability, we have always prided ourselves on high service levels. We keep the customer and his or her needs in mind when designing our products and we focus on getting better technology, services and operating costs.
How do you see the South Asian market?
The competition is very fierce in this market. South Asian and other developing countries offer a great deal of opportunity for our business. We have been present in this region for a while now and have grown and evolved along with the rapidly changing market.
What is the level of competition you face in Nepal? Are you satisfied with it?
It’s a very competitive market. The size of the market has decreased but we are confident about the prospects for growth. Mahindra is focusing on customer centricity and ensuring a robust after sales network along with our dealer, Agni.
Pradeep Kumar acquired his Bachelor in Technology from GB Pant University, Pantnagar. He also earned a Master in Business Administration from Bhartya Vidya Bhawan. He has 30 years of extensive experience in the field of Farm Machinery, Material Handling and Construction Equipment. He has worked with Eicher Tractors Ltd. India from 1978 until 1984, being in charge of sales and service operations. Subsequently, he has worked with Escorts Construction Equipment Ltd. from 1984 until 2001 and Escorts Ltd. from 2001 until 2005 as a General Manager for both companies. During this period, he has been responsible for various functions including business development, sales and marketing of material handling, construction equipment (like mobile cranes, loaders, vibratory road rollers etc.) and exports of tractors. He joined Mahindra and Mahindra Ltd. in August 2005.
