In an in-depth conversation with Raminder Singh Bhatia, Director, Rajesh Rajgor gathered insights into the operations and growth trajectory of Black Diamond Track Parts Private Limited (BDTPL – Raminder Singh Bhatia Group). Raminder discussed the company’s journey from manufacturing tippers to expanding its product range, emphasizing the shift in market demand towards tipping trailers for fly ash transportation. Highlighting strategic partnerships, Raminder also underscored the collaboration with ADR for high-quality components like the Rhino Kit, driving growth and market penetration. Additionally, he outlined BDTPL’s ambitious expansion plans, addressing the surge in demand and the company’s commitment to innovation and service excellence.
BDTPL is known for manufacturing a variety of trailers, including tipping trailers, trailers, rock bodies, and skeletal trailers. “We initially started with manufacturing tippers and partnered with dealers in Chhattisgarh,” Raminder began with the introduction.
As the market evolved, particularly in the Chhattisgarh and Odisha regions, there was a notable shift from bulkers to tipping trailers for transporting fly ash. “Now, instead of bulkers, customers are taking fly ash in tip trailers,” Raminder explained, highlighting the industry’s changing needs.
BDTPL’s growth has been remarkable. “When we started few years back our turnover was 8.5 crore. Now, in this financial year, we have crossed 200 crores,” Raminder noted. This expansion was fueled by the company’s ability to adapt and scale production quickly, despite initial delays in AIS113 certification.
Driving Success: BDTPL’s Partnership with ADR’s Rhino Kit
Discussing recent advancements, Raminder recounted his visit to Italy to collaborate with ADR, a renowned 70-year-old family-owned business specializing in axles and suspensions. “ADR’s European technology needed adjustments for Indian conditions,” he said, focusing on the modifications required for air suspension and leaf springs. These changes were crucial to address the local weather and road conditions, ensuring durability and performance.
The collaboration with ADR led to significant orders. “The initial order was around 12 units, and now we have placed orders for another 15,” Raminder shared. This partnership highlights BDTPL’s commitment to integrating high-quality components to meet the growing demands of the Indian market.
He elaborated on the ease of integrating ADR kits into their TIP trailers. “For the first five kits, ADR sent a senior design engineer service person and a team to Chhattisgarh for installation and training,” he said. This collaborative effort ensured that both BDTPL’s team and their dealers were well-equipped to handle future installations independently.
The current procedure involves calling in the dealer’s service person and ADR’s representative whenever a kit is fitted. “They are always here to check everything thoroughly before giving us the go-ahead,” Raminder added, emphasizing the meticulous approach ADR follows to maintain high standards.
Regarding the vehicles used, he mentioned, “The prime mover was Tata 5530 Signa, and two were BharatBenz 5528.” He also noted upcoming orders for 25 flatbed and semi-low bed trailers, to be delivered by the end of June.
When asked about choosing the Rhino kit by ADR, Raminder highlighted its superior quality. “The specifications they use are much superior to their competitors, especially the monobloc axle beam,” he stated. This competitive edge, coupled with strong initial support, made ADR an appealing choice for BDTPL.
Raminder also touched upon the need for different specifications based on trailer types. “In mining conditions, you need a heavy axle and suspension for tipping trailers. For side wall and flatbed trailers running on roads, we requested ADR to design lighter axles and suspensions with high tensile strength steel,” he explained. This customization ensures that BDTPL’s products are tailored to specific operational needs.
Regarding after-sales support, Raminder confirmed, “ADR has promised sufficient spare parts and service within 24 hours.” He expressed his satisfaction with ADR’s responsiveness and product quality, concluding, “With ADR, I am extremely happy. They have met our expectations and beyond.”
Market Penetration & Expansion Plans
Raminder also provided an insightful overview of the tip trailer, flatbed, and sidewall trailer market in Chhattisgarh and neighboring states. “We currently hold around 20 to 25 percent of the market share in the tip trailer segment in Chhattisgarh,” he noted, highlighting the region’s significant demand for tipping trailers, which constitute 70 to 80 percent of the market due to their advantages in efficiency and safety.
The company is enhancing the manufacturing capacity to 180 tipping trailers per month, since the but demand has surged beyond this capacity. “Right now, we are at 150 units per month capacity, and we are fully booked with orders that fill our capacities,” Raminder stated. This demand is driven by the expansion of mining activities in Chhattisgarh and surrounding regions, covering coal, fly ash, and iron ore.
To meet this growing demand, BDTPL is also planning an expansion. “We wil be coming up with one more plant within six months,” he announced. Currently based in Bilaspur, the new plant will help them cater to the increasing requirements, especially in regions like the Durg, Bastar and Chandrapur belts.
Raminder also discussed the emphasis on R&D and technological advancements at BDTPL. “We have AIS113 certification and facilities like CNC machines, argon welding, shot blasting and a paint shop,” Raminder said. Despite these advancements, profitability hasn’t grown at the same pace as revenue, mainly due to fluctuating raw material costs. “Steel prices are especially volatile,” he noted.
BDTPL focuses on controlling expenses by bulk buying tires and components directly from manufacturers. He emphasized the importance of differentiating through service quality and customer relations. “It’s all about the service game and the relationship with your customer,” he explained, highlighting that good word-of-mouth and reliable service are crucial in this competitive market.
It has helped that customer feedback on their service has been positive. “We extend the same warranty as our suppliers, but sometimes we go beyond to support the customer,” Raminder shared. This approach helps maintain strong relationships, especially with bulk customers.
Driving Future Growth
Looking ahead, Raminder shared the company’s ambitious growth targets. “For this financial year, we have set a target of 25 percent year-on-year growth,” he revealed. BDTPL is strategically expanding its market reach beyond Chhattisgarh to states like Rajasthan, Madhya Pradesh, and select areas in Jharkhand, Bihar, and Odisha. Raminder emphasized their gradual expansion in other states, highlighting the company’s strategic approach to seize emerging market opportunities.
Additionally, BDTPL plans to diversify its product range in FY24-25. “We will be starting very soon with V-shaped bulkers and oil tankers, including both stainless steel and mild steel options,” Raminder announced.
Raminder further discussed BDTPL’s export activities, representing 5-6% of revenue through exports to SAARC countries and the Middle East. “We export to SAARC countries and the Middle East,” he mentioned. Speaking about the workforce and skilled in-house team, he emphasized the significant role of contractors in bolstering operational efficiency among their 300-strong workforce. This blend of skilled labor and in-house expertise accentuates BDTPL’s commitment to continuous growth and innovation.