“Implementation process of GST has left a lot to be desired”

  • Interviews
  • Sep 01,18
Birdman Chemeng has been manufacturing load and tension measuring devices, under the brand name of YOTA, since 1972.
“Implementation process of GST has left a lot to be desired”

Birdman Chemeng has been manufacturing load and tension measuring devices, under the brand name of YOTA, since 1972. Today, YOTA branded load and tension measuring device and testing machines have become the first choice of industry, government undertakings, PSUs including defense organisations due to its high quality and user friendly satisfactory performance and service. The company has been active on the research and development front. For example, Birdman recently introduced handy rechargeable battery-operated wireless load and tension indicator having range above 100 M for use in EOT and long boom crane, for long distance measurement away from accident prone zone. In conversation with IPF, R S Chatterjee, CEO, Birdman Chemeng Pvt Ltd, discusses the demand drivers for the industry and how the company plans to ride on this growth crest.  
 
How has been the journey of Birdman Chemeng sinceits inception?
It all started in 1972 in a small ground floor hall in Tiljala, with a 5-6-workmen force and a few high precision machines, procured with bank loan. Hydraulically operated manufacturing mechanical engineering was company’s forte. Load & tension devices were its main products. The company’s first equipment, a dynamometer, was sold to British Oxygen. That was a red letter day in the history of the company.
 
Gradually, railways, state electricity boards were approached and small orders were executed. In 1977, the company went big. An universal testing machine was imported from Germany and HMT brand cylindrical grinder, milling machine, more lathes machines, boring machines were procured in addition to tool cutter grinder, capstan lathe etc, along with other  support machines. 
 
Birdman Chemeng successfully collaborated with USA firms and continued with them for a long period,  manufacturing and fabricating static & in-motion digital weighing systems, in addition to bagging ‘sole selling agency’ from couple of other overseas companies. Thus, began a new venture of ambition without any destination. The journey still continues.
 
Notwithstanding the ups and downs, thereafter, Birdman Chemeng kept on moving and consolidated its reputation in load & tension equipment. Participated in many international trade fairs and that opened the gates for exports. During 2015, the company expanded further and the  Unit II of the factory was constructed in a planned manner in Baruipur, a southern suburb of Kolkata - the present manufacturing hub of the company. Totally computerised CNC (computer numerical control) and VMC (vertical milling center) machines were procured to get more qualitative and quantitative production. 
 
Today, Birdman is a quality accredited (ISO-9001 & TQM) company. RDSO (Research Designs and Standards Organisation) a stringent standard organisation of Railways have certified our production unit. We have pollution certificate of White category which gives us the credibility of a ‘Green’ company. We are working on ‘Lean’ methodology to turn the company in to a ‘Green and Lean’ company. 
 
What types of products do you manufacture? Which end-user industries are the major users of Birdman products?
Load and tension indicators are used by railways, state electricity transmission boards, heavy industries like GRSE, port trusts, ship builders, etc. Crimpers are used in all state electricity transmission boards for jointing ACSR, AAC and AAAC conductions. The third and latest one is a complete testing machine for testing of porcelain insulators widely procured and used by All India Railways. This machine is approved by RDSO. 
 
Your company has been a pioneer in manufacturing Dynamometer. How has the market of dynamometer evolved over these years?
Dynamometers are very much in demand as the usages are extensive. It is used as load & tension measuring device, crane safety device, tensioning of transmission line and railway cables. Besides, ship building companies use these for Bollard Pull Tests. 
 
These equipment are made of mild & alloy steel (EN-8, EN-9, En-24, EN-31, EN-45 series). But now company has switched over to all-stainless steel version which has been a huge hit with the clients. SS has more nickel and chromium, thereby giving the materials more shine and longevity.
 
Birdman Chemeng has diversified to electronic (digital) dynamometer with strain gauge load cell sensing devices and remote hand held wireless indicators since 2016. It has made a huge impact on the market and now the company exploring the possibility of exports.
Trust and built-up reputation has played a key role in getting business without much effort. We are just complying with whatever we get. This justifies our quality over last 46 years. Fortunately, Birdman has been able to retain its huge customer base. Clients’ delight has worked with Birdman for ages. 
 
Why are load testing & measuring equipment important for transmission tower stations?
Load & measurement is guided by a standard specification where equipment must be tested with respect to a standard calibrated equipment. In transmission line, conductors are taken from one tower to another. Before jointing, the tensioning of cables is required by dynamometers to maintain uniform sagging. For jointing of cables, our compressing machines are used at a particular load of 100 T, 30T or 20T, depending upon nature of KVA line. 
 
How is the demand for load testing & measuring equipment in India? What are the factors driving the demand for these products? 
India being the third largest railway network in the world, railway electrification has huge demand through every corner of this vast nation. These requirements have been witnessing continuous rise. At the same time, statutory obligations and safety factors are also driving the demand for such products. The age-old dead-weight system is gone. Now calibrated equipment are in use. 
 
The government has launched schemes such as Integrated Power Development Scheme (IPDS), UDAY, SAUBHAGYA, etc, to give a boost to energy sector. Are these schemes helping in generating demand for your products?
Yes to an extent. Central Government has approved a huge budgetary support for metering and transmission of power. Metering is to protect theft of power where we are not concerned. But state transmission line authorities and state power grids being responsible for the project implementation, our scope of business through tendering process is bound to increase many folds. 
 
What has been the impact of GST on your industry?
Very badly. Uniform taxation is good. But its implementation has left a lot to be desired. Being a MSME unit, we have to raise invoice in time with Government clients and the moment we raise invoice, we are required to make payment of GST within a stipulated date in the month - much in advance before we actually get paid. Sometimes, we are paid after 120-150 days and we lose on GST paid already. Government must think of allowing a window of 90 days allowance be given at least. This is a major factor impacting MSMEs. 
 
What are major challenges before the Indian manufacturers of load testing & measuring equipment?
Non-availability of quality components and repeatability are huge problems. As such pressure of quality production is absent since not many players are in the race.
 
What are the latest trends in the load testing & measuring equipment segment?
Demand is more with limited source because of stiff government stipulations.  
 
Power industry is adopting digitalization process. Is this having an impact on load testing & measuring equipment segment?
We are already in to digital manufacturing which is a welcome change to our clientele. 
 
Throw some light on your exports business. How do you intend to grow your overseas business?
We have been exporting to Bangladesh, Nepal, Myanmar, Bhutan and Philippines. Now, we are looking towards South East Asia and Middle East. 
 
Are there any plans for expansion of manufacturing capacity? 
Most certainly. We continue to strive on innovation for bettering our own capacity. 
 
Are there any new products in the offing?
We plan to launch new products, but would not like to elaborate much on this. However, I would like to mention that if launches are successful, it will take the company to the next level. 
 
What are your short-term and long-term growth plans for the company?
In the last 46 years, the company has been through ups and downs, swings and twists. Our short term goal is to solidify our built-up platform. Long term goal is dependent on the government policies. They must protect SMEs as this sector contributes 60 per cent of business in India. 
Ours is an aged company but we are not old. We are young enough at heart to explore every opportunities that may come our way. Technology is no problem for us as long as our aged MD is in chair.

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