Mahindra Powerol, a unit of the Mahindra Group, said it is in talks with a number of global and domestic players for a technology tie-up to launch high power diesel generator sets in 500 kVA and above category in the next two years.
The company is also looking to increase exports revenue of its generator business to 25 per cent in the next financial year from the existing around 16 per cent.
“We plan to roll out diesel generators in higher category of 500 kVA and above in the next two years. The industry is moving towards that segment.
We are now working on that,” Mahindra & Mahindra Vice President (Retail and International Business-Powerol) Sanjay Jain said.
The company is currently in discussions with a number of firms rolling out the high powered generator sets, he added.
“We are working on it. We are talking to many companies, both domestic and foreign for a tie up. It may be for the technology. But nothing has been finalised yet,” Jain said.
He did not share any other detail regarding development of the product such as investment for research.
Talking about its business, Jain said: “In 2016-17, we recorded a revenue of Rs 1,250 crore and it is likely to be Rs 1,350 crore in this fiscal. Out of that, around 16 per cent or Rs 200 crore came from the exports and it is likely to go up to 17-20 per cent in this fiscal.”
In 2018-19 financial year, the company is looking to increase its exports revenue from generator sets to 25 per cent of the total turnover, he added.
The company launched its new 250 kVA and 320 kVA diesel generators for the North Eastern market, priced between Rs 12.5 lakh and Rs 16 lakh, excluding GST.
Jain informed that the size of the Indian generator set market is 1,17,200 units with a value of Rs 6,394 crore as per last fiscal.
“We are a dominant player in the lower category generator set market. The North East market size is around 3,000 units and we enjoy 35-40 per cent share of the market,” he added.