Planing for a market onslaught

To own a shovel or a pickax from Tata Agrico is the dream of every Indian farmer or construction worker. Well known all over the country for the quality of its implements, Tata Agrico is the oldest brand in the Tata Steel stable and therefore worthy of the trust that goes with the Tata name. Continuous efforts to understand customer needs, and the excellent image that it enjoys, has created great value for the brand. Tata Agrico is also the only organised sector supplier of high quality hand tools to the agriculture, construction and mining sectors.

Tata Agrico has, over the years, continued to enjoy market leadership because of the quality of its products. With change in government policy many players from the unorganised sector were able to enter the market. In a price sensitive market this means that the high costs of reaching out to a large customer base was proving unremunerative from the Agrico Works.

With the launch of Vision 2007 and Tata Steel's move away from commodity to branded products, the company is making an extremely significant decision in a variety of business groups. This Vision and the desire to make business EVA+ has now prompted Tata Agrico to adopt a new business model. It has moved away from in-house manufacturing to manufacturing through External Processing Agents, while itself focusing on Channel Management, Rural Marketing and Brand Management.

Mr B K Sinha with members of the Tata Agrico team

This effort will allow Agrico to retain the global value of its brand and at the same time stave off the threat from the unorganised sector. Several initiatives have been planned by Agrico for increasing its market share and to secure a product leadership position through better economies of operations and greater value for money for the customer.

"Agrico aspires to reach new heights and consolidate its leadership position by becoming the complete Solution Provider for all hand tool needs of Farming, Construction and Mining Communities," emphasises Mr B K Sinha, Executive-in-Charge of Tata Agrico.