A technology-driven company that focuses on manufacturing high-quality reefer boxes, Sub Zero Insulation Tech (P) Ltd., Pune, is known for its knack of understanding customers’ requirements and proposing customised solutions based on specified inputs. In this interview with N. Balasubramanian, the company’s CEO Deep Khira shares information about their new product – a portable medical unit, while also highlighting the present and future of the country’s cold chain transport space.
Let’s start with a brief background about your company. Could you share some details about Sub Zero Insulation?
Our parent company, Jayanand Khira & Co., was established in 1949 and is a pioneer in commercial vehicle body building. In 2015, I founded Sub Zero Insulation Tech which focuses on refrigerated trucks and other specialised applications on truck platforms. Our HO is in Mumbai and the factory is in Pune. We have recently opened another manufacturing unit in Chennai. I am a third-generation entrepreneur. Upon joining my family business initially, I found it extremely difficult to adapt. Since we are such an old business house, I found that the way of working was really dated and not in line with the latest technologies available. Most of the team members had been there since a while, had fixed ideas and were reluctant to change.
I had the desire to do something new, introduce new technology, use my young business mind and create better quality products for the Indian market. I saw a big gap in the cold chain segment and realised that more than 30% of our agricultural produce is wasted due to lack of proper infrastructure. Hence, I set up Sub Zero Insulation Tech (P) Ltd. A key USP was our technical collaboration with an Israeli company. Using their keen expertise along with our knowledge of commercial vehicles, we introduced state-of-the-art refrigerated trucks to the Indian market. In this short span since starting operations we now have more than 2,000 vehicles running on the road right from three-wheelers to 40 feet trailer containers.
What was the initial investment in the company?
In Sub Zero Insulation Tech we have invested about Rs. 100 million and continue to invest. We have recently started our new production unit in Chennai.
Does the company plan to diversify into different categories?
The company plans to introduce new verticals such as portable and mobile medical units as well as ambulances.
We understand you have developed a portable medical unit. What are its USPs?
The main USP of our portable medical unit is that it has an expansion feature and you can double the area available in less than 45 minutes and using only three people. It can be used with or without a truck and the interior layout is customizable. The unit is built using insulated sandwich panels which provide comfortable space inside. The inner walls are cladded with GRP, thus making it very hygienic and easy to clean. A 20 feet length was selected to make it convenient to transport.
What is the pricing of the portable medical unit?
The pricing for the unit alone will range from around Rs 6 lakhs to Rs 19 lakhs depending on the equipment and features selected.
Who is the target audience?
Our target customers are corporates who can use this as part of their CSR, government agencies, defence, hospitals, NGOs, etc.
Given the kind of competition in the field, how do you plan to stay ahead?
I have seen some units out there wherein a ready bus or truck is modified and used as a medical unit. Our unit is designed and purpose-built specifically for this application and to provide healthcare service to those who don’t have access to good infrastructure. We are also offering innovative features such as portability and expansion module.
What has been the impact of the virus pandemic on your business?
Since our company manufactures refrigerated trucks, our customers are from the food and pharmaceutical industry. There has definitely been an impact on sales but is relatively lower when compared to some other industries. We have used the downtime to develop new products, solutions and verticals for our business. I believe the cold chain industry has massive potential to grow, and this is just the beginning.
What are the future plans for your company?
For now, we would like to focus on the portable medical unit and take this one step forward and design the interior layouts for specialised healthcare segments such as dental, ENT, orthopaedic, blood collection, etc. We will be marketing our expandable unit as ‘FlexiBox’ and will increase the application range of the unit. More details on this will be shared soon.