The demand for electric motors is rapidly shifting from standard efficiency electric motors to high and premium efficiency motors.
This shift in trend is directly contributing to revenue growth of electric motors manufacturers. The study highlights current trends and dynamics affecting the growth of this market. In addition, it also provides detailed information about current effective efficiency standards in each major market and their impact on electric motors market development.
Value chain of electric motors market helps to understand the role of each player involved in the industry. Porter’s Five Forces and competitive landscape gives an overview of industry competition and identifies entry barriers for stakeholders looking to enter this market. The company profiles section included in the report gives an idea about key players in the global electric motors market and their growth strategies.
State of Industry
The Indian electric motor industry had its beginning in early thirties with a couple of manufacturing units supplying small size motors. Over the decades, up gradation of technology has been taking place through local research and development efforts and also by importing technology. Concept of Energy Efficient motors is gradually picking up.
The Rotating Machines (RM) Division of IEEMA by and large comprises of manufacturers of Motors and Alternators.
This division has around 56 organisations as its members. Divisional meetings are being conducted in every quarter with average participation is around 11.
Four division meetings had been conducted in FY 2013-14.
The Major highlights / discussion points during the meetings for the year 2013-2014 are below:
- Lots of enquiries but conversion factor is poor.
- Usage of motors past their life after multiple repairs. It was suggested that this is eating into the profit as people do not know the implications it has on the efficiency when the same motor is being used for 15 to 20 years, even after it reaches its durability. An awareness program needs to be conducted.
- The Electric motors manufactured in India conform to IS 12615, which was harmonized in August 2011 with Global IEC standard 60034-30 for the efficiency classes (IE2 ,IE3) and testing methods. Though IS 12615;2011 is a voluntary standard, if the standard is not mandatory in line with the global mandatory regulations, there exists a threat to India’s energy conservation drive through influx of inefficient motors into the Indian market. This has already impacted adversely to motor manufacturers in India, due to steep increase observed in imports of these motors particularly from those countries where the relevant IEC standards are mandatory e.g. EU, USA , Japan and China. Adoption of IS 12615 as mandatory standard needs to be done on priority.
Division followed up with DIPP, BIS & other ministries to have one standard IS12615 for motor manufacturers to measure efficiency and in a due course to make it mandatory so that import will be against permitted standard in the country. Now IS325 stands abolished by BIS & IS12615 to follow by all motor manufacturers.
- Also import of Integral Horsepower (IHP) motors above 750 W has increased over 60 % in this FY resulting underutilization of capacity of domestic manufacturers. This accounts major market of about 75%. IEEMA has taken this up and a study has initialized for the same.
- Gaps in Motor testing facilities at CPRI, ERDA etc. needs to be taken care of.
- Reservation of purchase of up to 100Kw 440v motors from SMEs by PSU’s has been recently mandated by the MSME, which is a serious concern.