Looking at neighbouring markets to counter local slowdown, says Dhulapkar

The realty business in the State is experiencing a trough. The secondary market is still doing quite well but the primary market is depressed. It is tough selling homes in such a market. The ancillary business that surrounds the realty industry is also finding it tough to stay afloat. Powertech Automation Services was one of the first companies in the State to offer automation in entry systems to the construction industry. Established in 1998, the company is now expanding its services as it tries to come to terms with the new ground realities. Dinesh Dhulapkar, promoter of the company spoke about the challenges of doing business and his plans to grow the business with AJIT JOHN.

HERALD: You are in the business of providing automation to the realty industry, how has the journey been?
DINESH DHULAPKAR: We are into automation and we started was back in 1998. There was no one else in the market in the State providing such service. Till then if ever such a demand arose, then companies from Mumbai and Bangalore would provide the product. Prior to this I was selling UPS systems but I was not happy and moved into this business. This industry had so much more scope and I moved into it. We cater to the domestic and the industrial segments. As far as the domestic market is concerned we provide various kinds of products like doors, high speed doors, industrial sectional doors, bollards, dock levelers. It is a very tight market because of the market realities. One of my big orders for doors came from Commonwealth Developers for 48 doors. I have supplied around 100 doors. We import it from Spain, Russia because no one manufactures these doors in India. Now of course it is assembled but the technology is very good. It takes us 6 to 8 weeks to order and to get them to the clients site. That is the domestic side. With regards to industrial market we have high speed doors. We supplied our doors to the pharma industry. We have supplied our doors to 38 of the 40 pharma plants operating in the State. Now of course the pharma companies are no longer setting up operations in the State and we are looking at other sectors.
HERALD: How big is the market in Goa?
DD: There was a market earlier in the pharma sector but for two years now, no new company is setting up operations in the State. We are struggling. We have shifted our attention to Belgaum, Dharwad and Hubli. With regards to our existing clients I am focused on maintenance. After sales service is very important because many customers give orders to companies in Mumbai who come down and install but the after sales service takes time. I on the other hand am here and focused on this aspect. Today is a holiday but my people are working on site. Given the scale of expansion, number of companies entering the market I would say the value of business in the industrial sector is Rs 2 crore. With builders we are not installing barriers which are fully automated. You can control your lights and everything else from your remote. We interact with architects and builders. We do not negotiate on price. There are clients in Goa who are aware of the value of these products and do not negotiate unnecessarily. Considering both the markets, the market is worth Rs 4 to 5 crore.
HERALD: How fast is the market growing?
DD: It is growing, people are going in for automation. Corporates are willing to spend on technology because it reduces cost. They don’t have to hire labour, hire a security guard which works out cheaper in the long run.
HERALD: What are the challenges you face in Goa?
DD: There are no companies setting up operations in the State which means I am looking for new markets. I have set up an office in Bangalore. The effect of the ban on mining can be felt all over the economy. A lot of people who were building bungalows have stopped their work. Four to five years ago it was big especially in the south but now it has stopped. Getting local personnel is a problem and keeping them is a problem.
HERALD: What are your plans for the Goa market?
DD: Expansions plans are on the anvil. I intend to start a fabrication and manufacturing unit in Kundaim industrial estate. It will be better. You have to understand with RERA, it gets better. Payments schedules will be better. 

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