About Emerald Tyre Manufacturers Limited

Emerald Tyre Manufacturers is engaged in the Business of Manufacturing, Supplying and Services for a comprehensive range of tyres for material handling applications like forklifts, skid loaders, ground support equipment of Airports, Port trailers, agri implements, lawn and garden mowers, mining equipment, aerial work platform trucks, backhoe loaders etc. The Company being incorporated in the year 2002, has a renowned presence in the Domestic market as well as Global market for more than two decades in the international market under the brand name “GRECKSTER”.

As of March 31 2024, the Company had 224 permanent and 191 contractual employees. The Banker of Emerald Tyre Manufacturers is State Bank of India.

TYRE MARKET IN INDIA
The India Tyre Market is experiencing robust growth of 8.71% CAGR during the forecast period 2023-2030 and is projected to reach USD 25.50 billion by FY2031 from USD 13.11 billion in FY2023 mainly owing to the rapidly growing automotive industry in the country. Tyres plays a crucial role in ensuring vehicle safety and performance, making them an essential component of the automotive ecosystem. In recent years, the market has witnessed several key drivers that have propelled its growth. With the rising disposable income and growing middle-class population, there has been a surge in demand for passenger and commercial vehicles. This has directly translated into increased demand for tyres. Additionally, government initiatives such as "Make in India" and the push for electric vehicles have further contributed to the market's growth.

Another important driver is the focus on road infrastructure development. The Indian government has been investing heavily in building new roads and highways for better connectivity, which has led to an increase in vehicle sales and subsequently boosted the demand for tyres. The better infrastructure of roads has positively impacted the market for luxury cars in India. More than 16,000 luxury vehicles were sold in India in the first six months of the year 2022, a 55% increase from that of 2021.

Increase in Demand for OTR Tyre
India has witnessed an increase in demand for Off-The-Road (OTR) tyres in recent years. Several factors are included in this growing demand. Firstly, there has been significant infrastructure development in the country, including the construction of roads, highways, and airports. These projects require heavy machinery and vehicles that rely on OTR tyres for optimal performance in challenging terrains.

Secondly, the mining and construction sectors in India have experienced substantial growth. OTR tyres are essential for heavy-duty vehicles used in mining operations, earthmoving equipment, and construction projects. Moreover, the agriculture sector, which heavily relies on tractors and other agricultural machinery, has also contributed to the demand for OTR tyres. The expansion of mechanized farming practices and the need for increased productivity have driven the demand for reliable and durable OTR tyres. Overall, the increase in infrastructure development, growth in the mining and construction sectors, and mechanization of agriculture have all fueled the demand for OTR tyres in the India tyre market. Manufacturers have responded by expanding their OTR tyre offerings to meet the specific requirements of these sectors.

EMERALD TYRE MANUFACTURERS LIMITED COMPETITIVE STRENGTHS
1. Experienced and dedicated management team
2. Manufacturing Facility to handle wide range of Off Highway Tyres
3. Wide product range and customized product offering
4. Diverse Customer Base
5. Qualitative Products

EMERALD TYRE MANUFACTURERS LIMITED GROWTH STRATEGIES
1. The Company handles its international market through the following strategies and network
   i. Through Channel Partners
   ii. Subsidiaries in strategic location
   iii. After Sales Service
2. The company handles its domestic market through the following strategies and network
   i. OEM Market
   ii. After Sales Market
   iii. Service Networks
   iv. Technology
   v. Research and Development

EMERALD TYRE MANUFACTURERS LIMITED RISK FACTORS & CONCERNS
1. The company's ability to secure raw materials at favorable prices is subject to market fluctuations.
2. Volatility in energy and fuel expenses poses a potential risk to the business, financial performance, and cash flow.
3. The company's success is significantly influenced by the strength of the brands and the perception they hold in the market.
4. Their consolidated net revenue will be adversely affected if the Government reduces or withdraws tax benefits and other incentives it currently provides to them or otherwise increases their effective tax rate.