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India is at the forefront of significant growth in the mobile lift market, driven by its current economic growth, significant infrastructure development, and significant investment from global construction companies. A stable political system, coupled with a global GDP growth forecast of 7.2% by 2023, has paved the way for a burgeoning market for aerial work platforms, driven by the acceptance of electric lifts as a more cost-effective alternative to traditional methods. The number of platforms in operation in India is estimated to be approximately 14,000, a 25% year-on-year increase over the past two years.

Pedro Torres, CEO of Riwal Holding Group, and Munish Taneja, Country Manager for the Manlift brand in India, stated that Manlift is a leader in the aerial work rental sector in India, holding a 10% share of the total rental fleet in the country. Rental Dynamics Riwal, known as Manlift in the UAE, Qatar, and India, was founded 15 years ago and anticipated significant growth in the Indian aerial work market much sooner. However, a complex political and economic environment means that the potential of truly mobile work platforms is only now being realized. Taneja said, "Rental penetration in India remains low. It has been growing over the past few years, but it's nowhere near as mature as the construction equipment market. But now is the time for us to position ourselves for growth and reach new heights."

Manlift has benefited from its experience in the European market and has adopted rental management initiatives such as the Manlift Way – the company's best-practice ethos, international ERP system, sustainability policy, and the My Manlift app. Torres says another advantage for Manlift is its early entry into the Indian MEWP market, resulting in many parts of the country referring to aerial work platforms as Manlift, rather than any of the more commonly used global terms such as AWP or aerial work platform. However, this emerging market quirk will end in India as the Indian MEWP market takes off and competition among OEMs targeting the country intensifies.

“We had always expected the market to grow faster, but if you look at the project pipeline, the economic national plan, and the trajectory of GDP, the country is projected to become the world’s third-largest economy by 2030, surpassing Germany and Japan and behind the United States and China,” Torres said. Although Torres and Taneja predict India’s five-year growth rate will not be as rapid as China’s, the number of MEWPs in China has increased from approximately 40,000 in 2017 to nearly 500,000 five years later in 2022. Over the past two years, they have done a lot of work educating customers, and awareness has reached a very high level, with customers understanding the benefits, productivity, safety standards, and efficiency on the job site. “But awareness isn’t ubiquitous. India has 28 states, and the main economic activity is concentrated in western and southern India, where we have higher penetration than in the east or some parts of the north. One of the main issues is that all aerial work platforms in India come with operators,” Torres says. “They believe that if a machine doesn’t have an operator, then they can’t use it.” This means that if a rental company grows rapidly, it may need to hire thousands of operators. This is an obstacle to the widespread expansion of mobile work platforms in the country.

"The challenge remains convincing users that they can be easily trained to operate the equipment." The habit of assigning one operator to each machine also leads to inefficiencies, as two people are always needed in the basket. And there's another reason why India's growth isn't expected to be as fast as China's – the lack of domestic manufacturers. "We don't have any major manufacturers here. The equipment is imported from Europe, North America and China, which increases the price, shipping costs and tariffs." Future Manufacturing However, this situation is set to change.

JCB recently established a factory in the country, and there are reports that other major Western MEWP manufacturers plan to do the same, with factories opening in the country this year. "As more manufacturers come to India, prices will become more competitive and delivery times will improve," he said. "Right now, we're seeing more companies using scaffolding because they compare costs and find it much lower. If new equipment were more readily available, the situation would change dramatically." In addition to major international OEMs seriously considering setting up shop in India, several existing companies are in the advanced stages of product development. Torres and Taneja believe there will be five to six Indian manufacturers in the next three years. Meanwhile, traditional manufacturers from North America and Europe have already established a foothold in the market.

"JLG and Genie are both well-known brands with a first-mover advantage, and over the past few years, we've seen Chinese manufacturers become more proactive with their products," says Taneja. As of now, Chinese OEMs account for approximately 50% of new machine sales in the country. "We will continue to work with our primary supplier, JLG, as that's our strategy, just as we do in Europe, but we're open to other manufacturers, as we can also import directly from China." As in many emerging markets, boom lifts are the most popular type of equipment in India. Taneja comments, "Because India is such a large country, operating scissor lifts can be challenging in these areas." "With Manlift's presence throughout India, we prefer boom lifts, although we do offer scissor lifts as a complete solution." In terms of numbers, 40% of Manlift's fleet is scissor lifts, with the remainder being boom lifts. Torres adds, "The rental industry in India has more boom lifts." That’s what we’re asked for and that’s what we follow, but that will change in the coming years and become more like Europe.”

Among the types of new boom lifts ordered by Indian companies, diesel remains the preferred power option, while all-electric RT equipment has yet to appear on the radar of many rental companies. "Electric scissor lifts are more advanced, with 60% of this equipment being electric, compared to 8-10% for boom lifts," says Taneja. Awareness about electric motors and the importance of sustainability goals is not as developed as in mature markets. "But awareness is growing, and people are beginning to understand the cost savings that can be achieved by reducing fuel consumption and CO2 emissions." The number of rental companies in the country is also growing, but the majority are "unorganized" entities. "Rental rates are at historical lows, making new equipment less attractive as an investment. As a result, importing used equipment has become common practice."

Taneja notes that multinational corporations now see India as a "sweet spot" for investment. "Then there are growing sectors like infrastructure, airports, metros, and high-speed rail, which are all performing well. And, to boost productivity, these contractors are looking at aerial platforms." This is coupled with a growing middle class and rising labor costs. Torres adds, "We're seeing a shortage of skilled workers, so we're focusing on training our clients to become operators that meet international standards." "We always discuss best practices with our clients so they understand they'll be more productive if they use their own teams as operators." Currently, there are no standard regulations related to aerial work platforms.

Taneja reports: “As a responsible company, we are promoting IPAF standards. We have training facilities and instructors, and we are training our own operators as well as those of other rental companies.” Torres adds: “There is still a lot of work to be done between us, IPAF and the Indian Rental Association. Last year we trained 600 operators, but that is not enough. We need to promote links with other rental organizations to promote safety in the country, which will change the way we work at height, but there is still a long way to go.” As Torres reiterates, the future is bright.

Source: Mechanical Intelligence Network