Ideal Motors enters tyre market with Apollo

Ramani Kangaraarachchi

One of Sri Lanka's fastest growing automobile majors Ideal Motors tied up with India's largest tyre manufacturing company Apollo Tyres on Tuesday.

Ideal Motors, the automobile distribution and marketing arm of the Ideal Group of Companies in Sri Lanka focuses on assembly and distribution of automotive spares and accessories with multiple outlets throughout the island.

It has also formed a new company, Ideal Wheels and Tyres for the distribution of Apollo tyres.

Ideal Motors Chairman Nalin Welgama said this tie up with India's tyre giant will help surpass the company's Rs 12 billion target turnover in the fiscal year 2011 and 12 comfortably.

He said the new Apollo zone operational in Panchikawatta in Colombo will add a new dimension to the tyre industry in Sri Lanka.

Apollo has the highest market share in the truck and bus segment in India and it will reflect in Sri Lankan shores within a short span of time.

Apollo Tyres Ltd, India Operations Chief Satish Sharma said as Sri Lanka is currently a cross ply market in the commercial segment and it will work with the partners as they gradually make the shift to radial tyres.

"Ideal Motors with its proven experience in the business would be the perfect partner for this," he said.

The 55,000 tyres a month commercial vehicle market in Sri Lanka is dominated by cross ply tyres a segment where Apollo has a clear product technology and service leadership position.

Apollo plans to make available its entire range of passenger vehicle, commercial and industrial tyres and to introduce its high end commercial radial range called Endurance shortly.