Parksons Engineering Corporation is a prominent player in the capital goods industry, having been founded by Bharat Parikh in 1980. As one of the earliest adopters of the “Make in India” initiative, the company has experienced significant growth over the years. From its humble beginnings, Parkson’s Engineering has expanded its operations and now exports its products to major countries across the globe. Today, the company is recognized as a leading manufacturer of capital goods and a proud contributor to India’s economic growth.
In an exclusive interview with Machine Maker, Viral Parikh, Partner at Parksons Engineering Corporation, discussed the company’s journey from its inception. Originally founded by Bharat Parikh in 1980, the company operated as a general-purpose machinery distributor, catering to local engineering companies. However, over time, Parksons Engineering Corporation has undergone significant changes in its nature of work and client engagement. Today, the company functions more as a technical consultant, providing guidance on selecting the appropriate machine parameters and specifications, as well as defining performance parameters and acceptance criteria to achieve optimal results. These developments have enabled the company to expand its offerings and establish itself as a leading player in the capital goods industry.
Compared to its early days, Parksons Engineering Corporation has significantly expanded its scope of engagement and business. Nowadays, the company receives visits from clients who seek guidance on both making and purchasing decisions. Its reputation as a trusted solution provider rather than a mere equipment dealer, has established a wide and healthy network with its customers. This success is reflected in the company’s ability to build strong, long-lasting relationships with its clients, who consistently turn to Parksons Engineering Corporation for their capital goods needs.
Viral Parikh during the interview commented, “Our decision-making process concerning the appropriate application of technology at the appropriate place is what makes our company much more valuable. We understand this, as the long-term impact on production and maintenance cost for any large facility is dependent on the choice of machinery that one invests in.” Parksons Engineering Corporation has been dealing in a wide range of equipment including lathe machines, milling machines, drilling machines, grinding equipment, sawing, heat treatment equipment, and so on.
Parksons Engineering Corporation is involved in the manufacturing of equipment in two key segments: turn-key manufacturing and custom building of machines. The first segment involves the creation of a machine shop based on the need for high-value components. The company also works with state governments to create manufacturing facilities that cater to various MSMEs in areas such as plastic engineering and tool room. The goal of this segment is to provide a common facility that small business entities can use for a fee, as they may not have the resources to invest in building high-value equipment. Through this approach, Parksons Engineering Corporation is able to support the growth and development of MSMEs in various industries.
One of the key goals of the organization is to help government agencies to setup common manufacturing facilities like the “Cluster Facilities” whose goal is to provide high-value equipment to MSME manufacturing units at a nominal fee. The second part of the business involves manufacturing custom-built machines. The company has played a significant role in the bullet train project in India between Mumbai and Ahmedabad by providing critical components. Additionally, the company also executed the project of bending forming machines that have been used in the manufacturing of custom-built structural steel mechanical seals for heat exchangers and pressure vessels. Before starting the manufacturing process, the company goes through an extensive technical input process to ensure that the end product meets the required specifications for its intended application. Through this approach, Parksons Engineering Corporation delivers tailored solutions that are specific to the needs of its clients.
As a proud Indian company, Parksons Engineering Corporation is committed to the ‘Make in India‘ initiative. The company has a predominantly indigenous supply chain and prefers to use components manufactured in India when building its machinery. This preference is based on the availability of needed components on demand and good service. While the company relies on imports for some components that are not easily available in the country, such as ball screws and controllers, it proudly states that almost 80% of its components and sub-components are procured from India. This factor not only makes Parksons Engineering Corporation a proud Indian company but also a company that plays a vital role in the development of other native companies.
With a strong foothold in the Indian market, Parksons Engineering Corporation is also making significant strides in exporting its components to various countries around the world, including Bangladesh, Qatar, Ghana, and Maldives. The company is focused on building relationships with its clients and expanding its export markets, with plans to add more countries to the list in the future. Currently, the company’s exports account for approximately 30% of its overall business.
Despite finding success in various countries, Parksons Engineering Corporation acknowledges that it may take time to establish its presence in industrially developed nations as there is little awareness of Indian-made spare parts, which can lead to doubts about the quality of their products among importers. The company recognizes the need to build its reputation in these markets and overcome these doubts through persistent efforts to demonstrate the high quality and reliability of their components.
According to Parksons Engineering Corporation, the government can play a significant role in promoting the export of native machinery by establishing an online portal to market and showcase the domestically manufactured equipment of superior quality. This can create a greater sense of trust and confidence among foreign importers, thereby increasing the demand for Indian-built products. The company believes that this initiative can help in exporting many Indian-built products to different countries around the world.
At present, Parksons Engineering Corporation is involved in three projects, which include the construction of a steel plant in Chattisgarh that involves a mechanical maintenance workshop, a thermal power plant in Bangladesh, and a second-generation bio-mass to ethanol refinery in Haryana. The company is engaged in these projects as a turnkey contractor, responsible for providing end-to-end solutions from design and manufacturing to installation and commissioning of Mechanical Workshop Package.
According to the company, one of the significant challenges faced by the industry in recent years is the rising imports of second-hand machinery. These imported outdated machines are being sold as refurbished ones, which creates an artificial distortion and degrades the final product’s quality in the market, according to the company’s perspective.