Leading two and three wheeler tyre maker, TVS Srichakra, which saw it’s turnover crossing

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Rs 1,000 crore mark during last financial year, plans foray into new product segment as also strong brand building activities to boost its share in the after market segment.

“The company is planning the development of radial rear tractor tyres. This foray into tractor radials will help the company in de-risking the business,” according to company’s latest annual report.

TVS Srichakra has the distinction of being associated with all the leading two wheeler manufacturers in their new model development. This has significantly improved its position in the market especially for motorcycle tubeless tyres and scooter tyres, in particular.

However, the ratio between original equipment (OE) and after market continues to be a concern for the company. While it has been gradually increasing the sales in after market, TVS Srichakra seeks to mitigate the risk of dependence on OE segment. Foray into tractor radials is also part of this strategy.

The company has been embarking on intensive brand building exercises, intended to strengthening the quality of dealer network and improve market share in after sales business. It intends to boost the brand building activities during this year. The company has roped in Rediffusion Y & R for handling creative duties for TVS Srichakra brands.

The Madurai-based company, which exports mainly off-the-road tyres, aims higher growth in export turnover as its export destinations are bouncing back and has reached pre-recession days in volumes. In 2010-11, exports accounted for about 11 per cent of the turnover.

The company expects stronger turnover growth during this year primarily from American markets as also from other new markets, while it will also focus on exporting two wheeler tyres to countries like South America.

TVS Srichakra intends to increase the borrowing limit to Rs 300 crore from Rs 150 crore in view of the fund requirements for the proposed expansion activities.