Streparava is an Italian company that develops and manufactures powertrain and suspension & chassis components and systems for different vehicle segments. N. Balasubramanian spoke to Streparava’s Enrico Deltratti Director – Business Development and Sales, Davide Ferrario Corporate Research and Development Manager, Shankar T Streparava India’s Director alongside Kunal Sharma Marketing and Product Development consultant and Partner at Tilive International LLP, to know more about the company’s products and its growing presence in India as well as the automotive trends that the company is focusing on.
Could you share the current status of Streparava’s business or presence in India? Where are you positioned right now?
Enrico Deltratti: Streparava is an Italian company that produces chassis and powertrain components with a high degree of precision that are supplied to the main OEMs for motorcycles, cars, buses, industrial, commercial and defence vehicles. Streparava has been in India at Bengaluru since 2006. Earlier, it was a joint venture and from 2014 we are a 100% subsidiary of Streparava S.p.A in Italy. Streparava India has a customer base in India which is demanding in terms of quality and cost-competitiveness. Here, we have indigenised the components’ supply chain completely. We also leverage this supply chain for the export market with Streparava India supplying to leading OEMs such as Ducati, FPT Industrial, MAN AG, Triumph, etc. We now have new customers in India – Eicher (VECV) and Mahindra Group. We are looking to further expand our presence with the establishment of a new plant for which we have started looking for land.
What is the value-addition that Streparava brings to the market in India?
Enrico Deltratti: First of all, the plant that Streparava has set up in Bengaluru is truly state-of-the-art which helps us deliver the same quality of products and technologies that we supply across Europe and other countries. Our skills and experience have aided us in manufacturing the best of critical components. More importantly, we have been able to indigenise the entire manufacturing process and this has built up a very good rapport with our customers who trust us completely.
How strong is Streparava India when it comes to product innovation and R&D?
Davide Ferrario: Innovation is at the centre of all our operations and we move according to the customers’ requirements which have been changing quite rapidly, especially now that electric vehicles are taking over the market. We have been focusing on advanced powertrains and suspension&chassis systems and our research and development activities have helped us stay ahead of the curve and be technologically relevant at all times.
Given that road safety is an important issue in India which continues to be of major concern, what will be the company’s contribution to address this problem? And what are the other megatrends you are focusing on?
Enrico Deltratti: Our work has been in the area of digitisation, which is important from the point of view of enhancing the safety factor of a vehicle. Increasing digital support in a vehicle helps the driver to be aware of many issues that could lead to accidents, and thereby avoid fatalities. Another trend that we are focusing on is the need to reduce the emission levels because of the pollution that India’s cities have to grapple with. Electric vehicles will solve this issue in time. We are also working on making vehicles lighter in weight while increasing the power and performance. One of the products in the digitisation category that we recently showcased is the on-board weighing equipment- called OBWE. At all times, OBWE through a combination of sensors and proprietary algorithms from an awarded and revolutionary technology allows for the constant monitoring of the dynamic load to a accuracy of over 95% on commercial vehicles. If you don’t load a vehicle in a proper way, it leads to problems in handling or braking and that compromises the safety of a vehicle. OBWE will, to a great extent, solve the problems related to improper loading of vehicles. Moreover, it can prove to be a strong tool for regulators and insurance companies to monitors the loading of vehicles, as the data can be captured over CAN bus and get recorded with the data logger.
Kunal Sharma: Streparava is very strong on the side of powertrain technology and they have developed their own design for engine braking which is crucial for the safety of commercial vehicle applications. And as for emissions, they have developed variable valve actuation systems and cylinder deactivation systems for fuel efficiency which are made in Streparava plant in India. All these products are in tune with the current trends and requirements of the automotive industry which, in essence, is moving towards an integration of making vehicles more fuel-efficient, less polluting, and safer. About a decade ago, new technologies developed and implemented in developed countries did not seem relevant to India but now that has changed.
Are you seeing good acceptance for technology-driven solutions in India when compared to more mature markets like Europe?
Enrico Deltratti: India has closed the technology gap and is growing very fast. It is the place to be because no other Asian country is growing like India in the automotive space. We also believe there is not much of a gap between India and European or West or Israel technology.
Shankar. T: The Streparava Group is very confident about the Indian market because of the growth prospects and market stability. Nowhere in the world we see the kind of GDP growth we have in India. And considering the stability of the Indian market, our group is keen on making the most of the opportunity by investing and expanding in the region. At this year’s Auto Expo, we showcased to the OEMs the kind of technology we have; we are bringing tomorrow’s technology today to India. In fact, we have started ‘make in India’ even before it became a tagline. And, we are not making products only for India, we are making them for the world. We will soon start producing latest technology components and solutions at our Bangalore facility and engage closely with the OEMs to showcase our company’s technology capability.
Could you give us an understanding of the different vehicle segments you cater in the Indian market?
Enrico Deltratti: Our share is about 50% in the truck segment and 40% in premium passenger cars with the balance shared by the motorcycle and off-road equipment such as those used on construction sites or for agriculture. One of the important solutions that Streparava India offers is in the area of front suspension of tractors, which is unique and not available anywhere else in the world. This technology helps make the tractors safer, something that is significantly crucial in India given the number of deaths that take place due to tractors.
How strong is your business in India? What is your outlook for 2023?
Enrico Deltratti: The outlook is very good. We have big orders to execute over the next few months and the scenario is much better than last year. In fact, we have moved ahead by more than 10%. Of course, there are challenges too such as rising inflation, shortage of certain components, rising fuel cost, etc. But I am confident that these challenges will be taken care of this year and the potential for growth will vastly improve. Our parent company grew at a record percentage last year, posting more than 26% growth in global sales and performance. Streparava India grew by 30%. If we were to include the Brazil market, we closed 2022 with Euro 340 million.
Where does India rank in Streparava’s global ambitions?
Enrico Deltratti: India ranks on the same level as Europe and number one among Asian countries given the kind of scope that it offers in all the vehicle segments. With electric vehicles soon to become the norm and given the high rate of acceptance in India, the country is set for a major revolution in the automobile sector. We believe Streparava is here at the right time with our products and technologies to partner India’s growth ambitions for the future.