WIKA India, a subsidiary of Germany-based WIKA Group, is on a mission to double its turnover by 2029, driven by strong market demand and strategic localization efforts. Gaurav Bawa, Senior Vice President of Wika India Group, outlines the company’s robust growth strategy that aims to capitalize on India’s economic growth trajectory.
Bawa, who has been with WIKA India for the past seven years, revealed that the company is experiencing significant growth, with a year-to-date (YTD) increase of 27%. He anticipates that the company will end 2024 with a 30% growth rate. “Last year, we clocked over 25% growth. This year, we’re already at 27%, and we expect to finish the year with around 30% growth,” said Bawa.
Localization and Growth Markets
WIKA India operates four manufacturing plants across India, with its largest facility located in Pune, followed by Faridabad, Chennai, and Ghaziabad. Bawa emphasized the company’s commitment to localization as a core strategy for growth.
“We’ve localized a lot of products to cater to the Indian market and other global markets. Our strategy focuses on growth markets while maintaining a strong presence in traditional sectors. India’s economy is booming, and we are strategically positioned to leverage that,” Bawa explained.
India’s industrial sector is growing rapidly, and WIKA’s focus on localization has enabled the company to become a key player in the country’s manufacturing ecosystem. “We are now producing products that are cheaper than China, which makes India a great productivity hub. Our project management office, with over 90 employees, manages global projects out of India,” said Bawa.
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Bullish on India: A Productivity Hub for the World
Bawa highlighted that many global companies are shifting their production lines to India post-COVID-19. This is because India has become a more cost-efficient destination for manufacturing. “India is now even cheaper than China in some areas, and we are more productive and efficient, which is helping us grow globally,” he said.
Wika India’s expertise extends beyond manufacturing. Now, it also provides global services in HR, project management, and marketing. Additionally, the company is investing in research and development (R&D) in India, breaking away from its traditional German-centric R&D model. “We’ve started R&D operations in India for specific products, and this is helping us innovate faster,” Bawa shared.
Focused Markets for the Upcoming Years: Power, Pharma, and Hydrogen
WIKA India’s focus isn’t limited to traditional markets like oil and gas or industrial machinery. The company is targeting emerging sectors, such as power generation, food and pharmaceuticals, and renewable energy.
“We’ve traditionally been strong in oil and gas and industrial machines, but now we’re focusing on sectors like food and pharma, which are predicted to grow significantly. We’re also looking at the power generation sector, especially nuclear energy,” Bawa explained.
WIKA is also betting big on hydrogen energy, a sector poised for explosive growth in India. “India is expected to produce the cheapest hydrogen globally due to solar power, and we are developing products for the hydrogen market as well. This will be a game-changer in the energy sector,” he added.
Digital Transformation and Custom Solutions
In line with global trends, WIKA India is embracing digitization, offering IoT-based solutions for industries requiring real-time data monitoring. Bawa emphasized the importance of innovation and customization, particularly in high-growth sectors like food, pharmaceuticals, and infrastructure.
“We’re looking at connected products that allow remote monitoring of equipment. For instance, we’re developing predictive maintenance solutions using vibration sensors that can detect issues before they occur. This level of innovation is what sets us apart,” said Bawa.
The company is also offering bespoke solutions, tailored to the needs of specific industries. “Many of our products are customized for clients, and we’re working on developing more industry-specific solutions,” he said.
Challenges and Opportunities in the Indian Market
Despite its successes, WIKA India faces challenges, particularly in catching up with competitors in the food and pharma sectors. “We were late entrants into the food and pharma markets, so we have a lot to catch up. Our biggest challenge is to get our product portfolio ready and bring innovative solutions to the table,” Bawa admitted.
Nevertheless, the company’s innovative solutions have given it a competitive edge, helping it gain a foothold in these sectors. “Our entry into these industries is being facilitated by the innovative solutions we offer. We are confident that this will continue to drive growth,” he added.
Aiming for exceptional growth by 2025
With its aim to attain excellence in services and revenue by 2025, WIKA India is well on track, with strong growth across multiple sectors and a clear strategy for market expansion.
“We have a very clear target to attain by 2025. With the strategies we’ve put in place, I am confident we’ll achieve that,” Bawa concluded.
With its focus on emerging sectors, digitization, and customization, WIKA India is poised to play a crucial role in India’s industrial growth story. As the country continues to attract global investments and become a manufacturing hub, WIKA’s localized approach and innovative solutions will likely keep the company on a strong growth trajectory.
