In a conversation with Rishi Aggarwal, Managing Director, JCBL Group, is confident of great growth for the company in the coming years, and how the JCBL are working towards enhancing the capabilities for the Indian bus and coach industry. Here are the excerpts:
How and when did the JCBL journey begin?
JCBL, which was formerly known as JC Coach Builders Limited, was started by my father along with a business partner in 1992. We produced our first bus in the same year (1992). In 1996 when we bought our outgoing partners out we took 100 pc control of the unit. The day-to-day management of the company also came to us in 1996. That’s when I joined the business in September 1996. The years 1996-98 were troubled times for JCBL. We, as a family, were trying to understand the business. I was also new to the business.
The bus segment was one of the worst affected during the Covid pandemic and so how did JCBL handle the extreme and unexpected challenge? How much of a recovery have you seen?
The JCBL bus business is back to the pre-pandemic levels and is currently operating at full capacity utilisation with strong demand visibility for the complete financial year. JCBL’s biggest strength is to manufacture highly customised mobility solutions as per the customer’s requirement which has kept us moving during the pandemic. During this period we supplied 600 ambulances to the Indian Army through Ashok Leyland and 109 advanced life support ambulances to Bangladesh through SML ISUZU. The representative keys of 109 ambulances were handed over by our prime minister to Bangladesh’s prime minister. We also supplied 77 advanced life support ambulances through SML ISUZU to Punjab. Various other healthcare applications that we implemented included coronavirus testing vans, patient-carrying ambulances for NHAI, blood donation vans, etc.
The team at JCBL with the support of our partner OEMs and medical equipment suppliers worked relentlessly and stood strong in the critical hours of need. The bus industry is witnessing favourable growth due to peak demands from the reopening of schools, colleges and offices taking place after a span of two years and moreover, the government spending on public transport for various cities under FAME 2, CESL and the PPP mode, which put together comes to the procurement of 20,000 buses of alternative fuel.
What are the new products that JCBL launched in the last couple of years? Do you wish to share any other positive takeaways from the entire pandemic experience?
We offer a wide range of products across various segments with a colossal capacity to build over 15,000 vehicles in a year. We have been taking significant strategic shifts to serve the growing commercial vehicle (CV) market better in India. However, the economic slowdown over the last two years and the 2020 Covid pandemic have unpleasantly distorted the growth trajectory of the market. Every year we launch a new product. Various product developments and launches include bus body development on various alternative fuel chassis such as electric and CNG supplied by various OEMs for intra-city school, staff, city buses and inter-city buses for STU and private operators.
Our products are available in the market and they go through a well-defined process of new product development, essentially covering the market survey concept development involving various stakeholders, including the chassis manufacturer, the end user, planning prototyping and meeting various regulatory requirements of the government and the homologation process as per the required relevant standards followed by testing, product development and commercialisation. We also have a very strong customer feedback system and after-sales support and are continuously working on customer feedback with the single objective to add value to our product.
As one of the oldest and most respected brands in the Indian bus industry, what are your expectations from the government to help revive the bus sector?
We know the pandemic has been unprecedented in its impact which has severely affected the bus industry and we feel that the government needs to create an ecosystem to enable the STUs and private operators to restore their business model. A few policy-oriented decisions need to be taken which will be win-win for everyone, including the rollout of the national permit, operations of buses on the PPP mode, helping operators with a restructuring programme in place with banks, and reduction of GST, passenger and other taxes to reduce the financial burden on them till the time they get back to a level of normalcy.
What are your plans for the next 2-3 years? What action do you foresee in the industry and at JCBL over the next few years, say until 2025?
The company’s vision is to manufacture high-quality mobility solutions with a high degree of customisation in the domain of passenger transportation, healthcare, special applications, logistics, mining and construction, defence solution and aerospace technology under the ‘Make in India’ initiative to become self-reliant in the defence sector in achieving the goal of a self-reliant India. We as a group are also looking to expand further into parts and components for the railways and complete system solutions for the defence sector. The company aims to achieve a turnover of Rs. 500 crores by 2025. We have a capacity expansion plan in place with an investment of Rs. 100 crores.
What does JCBL offer in the caravan or mobile home market? Could you please share some details as to why you feel JCBL should be customers’ first choice when it comes to these products?
Caravan tourism has been a popular rich segment within experiential tourism around the world. In the post-pandemic era, it appears that India’s caravan travel tradition has also taken off. Vacation at motorable destinations and caravan tourism has grown in popularity since restrictions were eased and people have begun to travel again as it offers them affordability, flexibility and freedom as well as safety and privacy, all of which have become important considerations for a traveller in the post-pandemic world. The best part about travelling in a motor caravan is that it gives you an immense sense of freedom which is the very purpose of travel. People have now started to experiment with their road trips and this trend is here to stay.
The caravan tourism ecosystem is being developed on the PPP model with private investors, tour operators and local communities being the major stakeholders. The government is providing investor subsidies to caravan operators and policy announcement is likely for the development and establishing caravan parks and chalking out processes and procedures for its operation and approvals. JCBL has been a preferred partner in developing the motor caravan for the Kerala government. BharatBenz is one of our major stakeholders as we have developed our motor home on their chassis. We have all the necessary approvals from the state governments and homologation approvals from the ARAI. We have delivered the first lot of 15 motorhomes to various customers for travel, leisure and stay in Kerala, Leh, Ladakh and Rajasthan and other orders are in the making. Since there is a very encouraging business visibility of these motor caravans in Kerala and other states too, we are in the process of developing a few more customised motor caravans for various customers within the price range of Rs. 60-125 lakhs. The JCBL advantage is in the making for achieving customer delight.
What changes do you see in JCBL school bus segments according to the times?
Our unparalleled commitment to excellence and customer satisfaction has made it stand among one of the leading school bus manufacturing companies in India. JCBL’s Happy Bus is a renowned School bus brand in India, which is known for providing sheer quality of buses along with high standards of safety. The safety of school children in the lap of luxury defines our Happy Bus. With more than 9 variants to suit customer’s needs, we are setting the pace for the future of the school bus market and redefining school transportation.
JCBL Happy Buses (Guide, Pride, Wish and Touch) are designed to provide comfort to school children while riding to and from their school. Our dedication to manufacturing the most robust, reliable and safest school buses has made us the leader in the industry. All our buses are aesthetically and ergonomically designed with strict adherence to international standards, ensuring a safe journey for school-going children.
What are the different verticals that JCBL is catering to the business?
JCBL Group has in-house capabilities to manufacture most of the important components that go into a bus, starting from seats, FRPs, interior systems, air conditioning systems, locks and other coach components. Today, MSL has 3 business units – Seating systems, FRPs and Interior components. “Our component strategy has worked well for the group. Next year our component business alone would cross Rs. 100 crores in turnover.
In the seating systems, MSL is the second largest manufacturer of seats in India. The company offers a wide range of seats for all applications and these have been approved by ARAI. MSL supplies seats to all the leading OEMs like Swaraj Mazda Ltd., Tata Motors Ltd., Ashok Leyland and leading bus bodybuilders and luxury bus operators in the country. MSL caters to leading STUs like the Gujarat State Transport Corporation, Maharashtra State Transport Corporation, Himachal Roadways, Rajasthan State Transport Corporation, PEPSU Road Transport Corporation, Chandigarh Transport Undertaking and BEST Mumbai. MSL had also established a joint venture with GHE Group for bus components and interiors. MSL is today a leading supplier of locks, hat racks, roof hatches, roller blinds and other accessories for all major bus manufacturers.
What are the sub-segments that JCBL has and how do you see the growth?
JCBL Armouring Solutions is a quality-cognizant armoured vehicle manufacturer in India with an experienced team of over 33 years specializing in engineering, design, prototype and manufacturing of armoured cars and vehicles. We deploy the latest cutting-edge technology thoroughly tested in-house and by independent testing laboratories to protect you in untoward situations. We are an IATF16949 ISO 9001: 20 15 approved manufacturing facility with extensive experience in developing & designing Bulletproof Military Vehicles, Troop Carriers, Security Vehicles for Government officials/Ministers, Election Campaign Vehicles for VIPs & Bulletproof SUVs. We are also the official partners for Ashok Leyland & Tata Motors in providing armouring solutions. JCBL Armouring Solutions uses up-to-the-minute machinery, with enhanced production efficacy, international quality standards, and high-yielding capacity. We implement the latest technologies in laser cutting and bending, which does not affect the metal structure resulting in our ability to supply armoured vehicles that guarantee the utmost safety and security. The reinforcement processes assimilated into the interior of the vehicle are out of sight and yet provide an exceptional level of security.