Imports lose their sheen to shaky exchange rates

February 2007

The Rand’s recent volatility has dulled the appeal of imported equipment in many industries, including the bulk materials handling and minerals processing sector, where, until recently, the favourable exchange rate made imports an attractive proposition for mines and quarries. But what will happen to imported equipment if the Rand’s decline continues?

This is a question posed by Martin Botha, Marketing Director at Osborn Engineered Products. Osborn is committed to producing wholly South African equipment, designed for arduous African operating conditions, and competitively priced regardless of precarious exchange rates.

Osborn’s entire product offering, which includes Jaw Crushers, Gyrasphere Cone Crushers, Feeders, Screens, Scrubbers, Classifiers, Rotary Breakers, Idlers and Conveyor Systems, is manufactured at the company’s Elandsfontein facility, east of Johannesburg, Botha states. “Where necessary, some components may be outsourced to local sub-contractors, but Osborn does not import equipment or spares. And judging by our current healthy order book – with 106 machines in the works or due for delivery this year – customers are increasingly recognising the benefits of a local manufacturer.”

These benefits include the level of backup service customers can expect, Botha notes. “The spares, backup and service support of a local manufacturer is a significant advantage. Customers can be assured that spares and service from our trained engineers will be available quickly and easily at a standard charge out rate.

Osborn has one of the largest and most modern crusher manufacturing facilities in South Africa, a skilled and knowledgeable sales force, and an on-call service department which operates 24 hours a day, seven days a week.

Customers are also increasingly recognising the organisational qualities that set Osborn apart from the competition, Botha asserts. It addition to its comprehensive after sales service, these include outstanding customer training, in-depth operating and maintenance manuals and high standards of quality and inspection on all its equipment. “These benefits are unlikely to come with imported equipment,” he notes.

As a South African manufacturer with more than 80 years’ experience in the industry, Osborn is able to supply equipment specifically tailored for efficient operation under harsh African conditions. Osborn’s heavy-duty machines feature added mass, to make them more robust, Botha explains. And they offer low maintenance and simple operation. Many of the machines also feature low operating temperatures, and radiators sized for the higher ambient temperatures in Africa. Even Osborn’s humble idler is designed to be robust and long-wearing, with the longest labyrinth path seal on the market, to protect the bearing from dust and moisture.

“Companies that ignore the potential risks in opting for imported equipment do so at their peril,” Botha stresses. “Choosing a local manufacturer is not about conscience, loyalty or keeping capital in the country, it’s about common sense,” he concludes.