CEAT Kelani sales top 2,900 tons

A uniformity machine at the CEAT radial tyre plant.

CEAT Kelani Holdings has recorded sales of over 2,900 tons in the domestic market in the second quarter of 2013-14, accounting for a large portion of Sri Lanka's tyre requirements, according to company sources.

"This is a huge achievement for us and is the result of the substantial investments made by the company over the past two years to expand production capacity," CEAT Kelani, Managing Director, Raman Rajagopalan said.

He said that the sale of truck, light truck, three-wheeler, motorcycle and agricultural tyres and radials for passenger cars and vans in the domestic market had averaged 950 tons per month in 2Q, which, while representing 50% of the country's requirement, also translates to a massive saving of foreign exchange for Sri Lanka through import substitution.

"CEAT Kelani Holdings is a dominant player in the domestic market with a market share of 57% in the truck and light truck category, 32% in radial, 46% in three-wheeler, 19% in motorcycle and 73% in the agricultural segments," a company spokesman said.

In the radial tyre segment, which caters to passenger cars and vans, CEAT's success has been driven by continuous investment in upgrading quality and expanding the range of sizes, Rajagopalan said.

"Out of CEAT's monthly production of 1,450 tons, 500 tons is exported to markets in South Asia, the Middle East and the African continent," the spokesman said.