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Millat Tractors Limited - Leaders all the way

ARTICLE (April 19 2003) : Millat Tractors Limited (MTL), an ISO 9002 certified company for its Assembly Plants and Material Testing and Gauge Control Laboratory, is Pakistan's leading engineering concern in automobile sector.

It is manufacturing, Tractors under licensing agreement with Massey Ferguson, UK (owned by AGCO, USA), Diesel Engines in technical collaboration with Perkins Engines, UK, Diesel Generating Sets, utilising alternators from Leroy Somer of France and Stamford Newage of UK and the Forklift Trucks under license from Heli Forklift Trucks China, and a range of Agricultural Implements.

The company is also dedicated to customise its products as per customers' requirements. Millat Tractors is a perfect example of harmonious and successful business relations between a Pakistani Company and its foreign partners, both from the industrialised West and the upcoming East-China.

These relations that span a period of well over quarter of a century and encompass a broad spectrum of investments and technology transfer agreements, are a model for other companies venturing out to attract foreign investments.

The company has spread its products throughout the length and breath of the country. Today the population of MF tractors made by MTL exceeds 250,000 while the total number of tractors in the country is approximately 500,000.

In other words every second tractor in Pakistan is MF tractor. This achievement has been made possible only through the Company's commitment to quality, after sale service and its human resource development.

Millat Tractors has played a pivotal role in transfer of technology and transformation of the fledgling local light engineering sector into a robust, vibrant, quality conscious Auto Vending Industry.

SUCCESS STORY: Millat Tractors Limited was established in 1964, to introduce and market Massey Ferguson (MF) Tractors in Pakistan. An assembly plant was set up in 1967 to assemble tractors imported in semi-knocked down (SKD) condition.

In 1972, the company was nationalised under Economic Reforms Order and renamed as "Millat Tractors Limited". In 1980 the Government decided on indigenisation of the tractor and entrusted this task to MTL. This was the turning point in the Company's history and it went about the task methodically and rapidly.

The Company undertook this new role with enthusiasm and in the spirit of national development and proved its engineering capabilities by surpassing the deletion targets set by the Government.

In 1982, MTL took a giant step towards self-reliance by setting up the first engine assembly plant in Pakistan. The company made a strategic decision right in the beginning to bring those manufacturing facilities in-house for which capabilities did not exist in the country and for parts which required high investments and precision.

Therefore, in 1984, sophisticated manufacturing facilities for the machining of intricate components were set up. Currently, critical components like engine block, sump, cylinder head, transmission case, exle housing, hydraulic lift cover, front axle support and centre housing are being machined successfully in-house at MTL from local sourced castings.

At MTL we firmly believe that producing to International quality standards is the key to our continued success & growth and the quality control department converts this belief into reality. In 1992, the company was privatised, and the employees joined hands and took over its management by winning an open bid.

To maintain its leadership role in tractor manufacturing in the country, MTL continues to look towards future, to identify and exploit new opportunities and to consolidate the existing ones.

The Tractor Assembly Plant is part of this philosophy. This plant started its production in 1992. The establishment of this modern plant not only increased production capacity to 16000 tractors per year on a single shift basis, but also provided a quantum jump to the quality of the assembled tractors and pushed MTL into ranks of the major tractor manufacturing companies of the World.

In 1993, MTL acquired the management control of Bolan Castings Limited (a public limited company specialising in intricate automotive castings) in partnership with employees of that company.

The Company looks to the future with optimism and plans to broaden its customer base. Consequently the opportunities are being explored in multiapplication of engines and tractors in areas other than the farming sector.

Mass production of Generating Sets was started in 1994, while a 3 ton Forklift Truck branded as Millat, based on TCM technology, was launched in the year 2002. Both of these products are made by using Perkins Engines and have been well accepted by the market.

In 2002, MTL established a wholly owned company named Millat Industrial Products (Pvt) Limited to manufacture quality automotive batteries. MTL believes in providing best value for money to its customers. Complete customers' satisfaction is our cherished goal.

There is a constant endeavour at all levels of the organisation to better the company's performance by offering upgraded range of its products and services. MTL's cardinal principle has been to keep abreast with the latest technology.

Our technological collaboration with AGCO Limited UK, Perkins Engines Limited UK, and M/s Heli Forklift Trucks China has been of great help in upgrading technology levels and introducing new models.

The company has been the regular recipient of the Corporate Excellence Awards of Management Association of Pakistan and the Top Companies Awards of Karachi Stock Exchange since early eighties.

The employees of the company, continue to work with full zeal and motivation to further improve performance standards. We are confident that the company will keep marching forward in service of the nation and the valued customers.

(The writer is director marketing of Millat Tractors)

Sourse: Business Recorder;

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