CERA calls for building strong relationship between Equipment Rental Industry, Manufacturers and Financers
CERA (Construction Equipment Rental Association) organized its 3rd General Body Meet in New Delhi amidst encouraging reports that developing markets are experiencing huge demand for construction equipment and the global CE market is expected to grow at a CAGR of ~ 8% by 2022.
Addressing the members at the Meet,
Satin Sachdeva, Secretary General, CERA, and MD, Equipment Planet,
stressed on the need to strengthen the relationship between the equipment rental industry, manufacturers and financers. “The APAC region, which includes India, will be the largest construction equipment market in terms of revenue. The reports are indicating big opportunities for huge investments in this region. Therefore, our focus for 2018 is for strengthening the relationship between the equipment rental industry, construction equipment manufacturers and financers for mutual benefits.”
“Demand, type of need and innovations come from equipment rental companies. Manufacturers give us solutions in the form of new products, support and technological innovations. Financers are the important link between manufacturers and equipment rental industry. Therefore, we all can benefit from each other,” he added.
The General Body Meet was inaugurated by
Rajesh Agrawal, President of CERA, and MD, Jindal Infrastructures Pvt Ltd,
with a tribute to Founder Member (Late) Shri Brahampal Panchal, Jagdamba Crane Service, who passed away last month. He said that CERA was progressing across India, but to maintain this momentum equipment rental companies and manufacturers must work together for a win-win situation.
ACE was the main sponsor of the General Body Meet; Liugong and TIPL were associate sponsors, while NBMCW was the official media partner. The Meet was attended by a large gathering of company owners and representatives from the construction equipment rental industry, crane rental industry, piling rig, equipment manufacturers and financers.
Sharing CERA’s vison for future growth and expansion with the opening of regional chapters, Satin Sachdeva said, “We aim to make CERA an organization on the lines of premier associations like CII and FICCI. We also announce the opening of regional chapters of CERA in Maharashtra, West Bengal, Gujarat, Tamil Nadu and Punjab, and more such announcements will be made during the year.”
“We intend to work closely with the Government on policy issues, interact with thought leaders, for enhancing efficiencies, competitiveness and growth opportunities in our industry through a range of specialized services and strategic global linkages. Developing markets are experiencing a huge demand and we are really growing,” he added.
Rishi Raj Agarwalla, CERA’s Regional Head of Maharashtra, and MD of Infracon Resources & Development Pvt. Ltd.,
stressed on the necessity of legal framework for rental companies. He suggested a model legal format for rental companies to avoid payment issues with project companies/contractors. “We have a long journey ahead of us. CERA’s aim is to discuss problems of rental companies and find solutions within a legal framework, as is the practice in the USA. We need to put things down on a stamp paper for a balanced agreement that will also address contentious issues such as idle hours of the machines, breakdown hours, etc. There must be a clause to protect rental companies from facing payment cuts by clients in case of higher fuel consumption, and such like. CERA aims to make a legal framework permanent across all members.”
Suchit Agarwal, Founding Member of CERA and MD & CEO of RV Infrastructural Pvt Ltd,
said, “The market is growing under Modi’s government, and all new market developments are coming on the CERA platform and we must all share our views. We are grateful to ACE; it has been supporting us by representing us at other CERA meets.”