Apollo Tyres Ltd, India, is in the business of manufacture and sale of tyres since its inception in 1972. The company has manufacturing presence in Asia, Europe and Africa, with 9 modern tyre facilities and exports to over 118 countries. The company offers a comprehensive product portfolio spread across passenger car, light truck, truck-bus, off highway and bicycle tyres, retreading material and retreaded tyres. Recently, The New Business Age talked with Goutam Roy, head, retreading business, about its retreading products. Excerpt: 

 

Will you be retreading Apollo tyres only?

We will be retreading any type of tyres.  We will be supplying only retread materials, which are made at Apollo tyres.

 

What is the market share of Apollo tyres?

Apollo tyres’ market share will be around 25 per cent in Nepal. In India, it is close to 28 or 29 per cent. It is one of the leading manufacturer and brand in India.  With 25 per cent share, I think we will be close to being first or second in Nepal.

 

Why should consumer use your product?

That is the most important thing and that is why we have come. We have seen the rubbers, which they are using. Small manufacturers of India and maybe one or two local manufacturers are making them all.  They do not have access to those quality machines, which can give you a good product and they do not have access to the technology, which can give a good product. We, being a tyre manufacturer, know the compounding much better than anyone else. We have excellent infrastructure, very good costly machines to prepare materials and our retreaded tyre will give the same mileage as a new tyre. This is something that a non-tyre manufacturer cannot give.

 

When we talk about tyre, people often talk about durability. How do you ensure durability of Apollo tyre?

The tyre is already durable because it has given its full life and now it has come for retreading. We will ensure that we will use quality material and we are also trying to tie up with people to use quality machines so that it becomes durable for another life. A retreaded tyre should give the same mileage of that of a new tyre and then, it should be retreaded again with a little less mileage.  We are quite confident about the quality, which we are giving because it has been tested for almost 100 fits in India. In Nepal, we have fitted in two or three buses. Within three months, it will be very clear about how our product is performing compared to the products, which are used in Nepal.

 

Where do you see yourself in five years?

Nepal is a virgin market for us. There are tyre brands available here which are not present in India. As a manufacturer, we should take assurance of it. We are quite hopeful that we will be able to grab at least 40 per cent of the organized retreading in Kathmandu from tyre manufacturers. 

 

What can Nepal government do to regulate tyre industry more effectively?

There are different bodies in India which first test the tyre and then, they allow selling it. Then, there is branding regarding the quality and safety of the tyre and finally, it is sold in India. But, in Nepal, I think that those standards are not developed. Nepal Government should develop some standards of its own to deliver and to ensure quality. This is required to stop cheap Chinese tyres, which are coming in. Indian tyres always come with ISI and there are hardly tyre manufacturers without ISI. So, Nepal requires effective norms in this matter because of the hilly roads here. Nepal Government should act immediately to standardize and put some regulatory norms which government can decide. It is mainly for the safety of people.

 

Do you have any plans to setup a manufacturing unit here in Nepal?

No, that is not possible because manufacturing unit is very expensive and it needs a lot of skilled labour. There is no scope of any raw material availability in Nepal.