Six currencies, with an estimated population of 184 million - the East African community exists around the Great Lakes Region. “The Cradle of Mankind” is what it is called. This region lies in the heart of Africa and is home to both flora and fauna as it may have existed in the primordial times, undisturbed – SMART.

Mobility has changed considerably in this region by the way the tyres here have found their way into this market. In 1998, Truck Tubeless Tyre Conversions began in Kenya and quickly spread out to the neighboring regions. Presently 95% of the tyres found in fleets are tubeless and there is 100% conversion rate on Passenger and 4x4 range of vehicles. It was the SMART thing to do. The millennium saw an influx of Fleet Management softwares, Tyre Management Contracts, with the help of Budini Tyre Management Software. Unprecedented tyre training, growing investments in tyre machinery, tools and accessories investments. Technology and processes peaked and the bubble burst.

On the tyre spectrum 12.00R20, which was the predominant tyre size, was replaced by the low profile 315/80R22.5 (not the 13R22.5) which continues to hog 60% of the truck tyre market. The 8.25R16 was replaced by the 265/70R19.5 and 295/80R22.5 (together with 12R22.5) replaced 11.00R20. On the tyre spectrum and front we were ahead of developed, space (nuclear) age countries like India and the Gulf where tubeless conversions were less and the predominant sizes remained to be 10.00R20 and 12.00R24 respectively.

Tubeless rims became the order of the day and even when Trilex Split rims (80 years technology) are still in use in the Gulf. For a market that churns out approximately 600,000 trucks tyre casings per year, tyre retreading is the environmentally SMART thing to do. The cold procured tread process replaced the hot casing damaging process.  East Africa has not been left  SMARTing in this field either.

What went wrong:

1.  Intelligent Organisations. Any intelligent system must be data-driven

The primary objective of any successful organisation is to analyse large pools of data accumulated over long periods of time in their areas of operations (This includes transporters, tyre importers and distributors and tyre manufacturers). Increasingly organisational decisions are NOT taken by managers’ intuition and common sense but algorithms and data derived electronically from recording of our interactions and experiences with customers. Selling tyres has ceased to be a contact sport it has degenerated in some quarters into a Nintendo like encounter.

Intelligent organisations normally SCALE (Sense, Comprehend, Act, Learn and Explain) their environment with managers/ owners / directors ceding authority over certain decisions while acquiring new capabilities and roles for themselves. As conjoined twins, SMART (Specific, Measurable, Achievable, Realistic, Timely) and SCALE goals must be matched.

Let me give illustration with a story. In Africa we love to do so. Reader’s discretion is advised!

A (SMART) priest arrived late at the foot of Mt. Kilimanjaro, Africa’s tallest mountain, for a climbing expedition the following day. Exhausted, he searched for a room in the nearest inn. Only one room was available which he was requested by the motel owner to share with a beautiful lady wearing a stunning fishy (SCALEy) dress who had arrived late for the same expedition. To make matters worse, there was only one mattress. The exhausted lady prepared and slept on one side of the mattress, while the honorable  priest laid the sheet and slept on the cold floor two meters away. The following morning at the breakfast table the priest formally introduced himself to the beautiful lady as asked her where she was from. She on the other hand enquired of the priest as to his mission at the Kilimanjaro. “ I have come to climb and conquer this greatest mountain in Mother Africa,” he said proudly trying to impress her. She paused and after a sigh said to  the priest in a low voice, “Tell me exactly how you intend to climb this mountain when you cannot SCALE up a six-inch mattress?!”  Moral of the story: No matter how good your SMART goals are, you must act on SCALE-ing the heights.

2. Smart Technologies portend a smart working force

Tony Nicolini – Founder of the Budini Tyre Software and Systems, puts it beautifully when he says “Technology is only as smart as the users want it to be.”  The exponential growth of data capturing capability has not been matched by its harnessing and channeling into useful avenues largely because investments are low in the field of tyre education and  tyre infrastructure. Having experience Tyre related trainings in different parts of the world, our region receives but a trickle of the much-needed skill laced training that would sharpen their senses in order to tyre SCALE better.

The three aspects related to Smart Tyre Technology are:

Smart transporters

Zul is a transporter who runs a successful bus company. Operating from the heart of Nairobi, to most parts of Kenya. He keeps meticulous records on all his tyre records. These records were the basis for decision making for a transport company that has had the least number of fatalities in the country. Zul represents about 5% of transporters in this region who have scrupulous, readily available  data that is open to scrutiny not only by his own company but can be used by suppliers.

In 2012 I had a chance to visit Tyre Heaven, a company in Sao Paulo. They invited Nicolini (Budini) and me to visit their premises. With over 700 trucks and trailers, there were there only three persons working in the tyre department. Cradle-to-Grave tyre data is maintained for all tyres. Once or twice a year, like a pilgrimage, representatives major tyre suppliers congregate in the transport premises to tender openly for 8,000 tyres.

Smart processes

Special Sales approaches to the market determine the success or failure or a sales person. Many transporters, tyre importers or dealers approach to own products with little comprehension on the conditions of use. Mismatch between tyres and vehicles, tyre and routes, have only added to the chagrin on the end-user. Professional ethics prohibit me from dwelling too much into these sales processes to end-users and dealers, but to say the least, these methodical approaches have no substitute. As a result of tyres being treated as a commodity, where price is the only point of discussion, SMART tyres with lipstick and high-heels have found their way into a hostile market that has unpaved roads, untrained staff and uncaring drivers in some instances.

The readers of this article may have had access to better tyre optimisation processes than the ones I will mention below. Yet I can say without a doubt now will match the dedication and follow-up that is offered by the Budini Tyre Management Systems.

• The Tyre Optimisation Process is a non-patented process that was arrived at by a team of tyre experts on casing (yet not tyre optimisation) in order to achieve the lowest cost per Kilometer in a particular fleet. Pocket Suit, Survey Web and TMS are worth a glance.

Feature Benefits and Evidence (FABEs) is the way tyres were sold, sadly price has over-shadowed all three since both  the purchaser nor the seller are reluctant to discuss the matters relating to performance. Benchmarking of tyre mileages across fleets is more often than not misleading.

Smart sales people

Ajay, Yves, Mick and Tony belong to a fading rare breed of people who were tyre  fleet problem solvers. These gate-keepers and well-trained mentors in process described above played and continued to give solutions and on-site training in the harsh environments. What is common about this people in how  SMART or wise they are. It is the extremely long span of attention they dedicate in their line of duty. It is therefore worrying that today when the tyre is being treated as a commodity and not a Safety Engineering piece of equipment, Africa and Africans without secure gate keepers and anti-dumping laws will fall prey to fast talking sales persons with tik-tok attention spans. If I were to be the Chief Tyre General –  Certain Tyres would only be sold on prescriptions.

In  South Africa, it was uncommon for representatives of different companies to meet at a major transporter and conduct a joint scrap and claim analysis. Just like doctors conducting a post-mortem, sample casings from each brand would be analysed and reported before they would rest back for a Friday  Brae and Beer. SMART. I know this may be happening in other parts of the word any it is the reason we now have the Radial Tyre Damage Book.

RFID, push alerts, Translogic tools, TPMS (Tire Pressure Monitoring Systems) are all example of Smart technologies that many sales persons, managers, owners and directors are aware of but are not capable of implementing just yet. However, training might be that essential key that unlocks the thirst for the much-needed necessities.

I end this article with the SMARTest thing I have heard this year and maybe for a long time. It comes from a great mind in Tyre Management “It does not matter how you record (label) tyres in whatever system you have….what matters is what you do with that tyre after that. A basic tyre system understood by all is the best way to involve others and come out with shining success. It beats even the tyre RFID systems - Marcio Olievera (Budini Systems – SMARTyre SCALER).

Comments (0)

ADD COMMENT

Link Copied!

JK Tyre & Industries has increased product prices and signalled further hikes as it seeks to offset rising raw material costs, even as demand remains resilient across segments.

The company said raw material prices rose about 20 percent quarter on quarter, with a further 8–10 percent increase expected in the following quarter. The increase has put pressure on margins, given that about 70 percent of tyre industry inputs are petro-based.

In response, JK Tyre raised product prices by 10–11 percent until August and plans an additional increase of 5–6 percent in the coming months to mitigate cost pressures.

The pricing action comes despite steady demand conditions. The company reported a 25 percent year-on-year increase in domestic volumes in the June quarter, supported by growth across both replacement and original equipment manufacturer segments.

Management indicated that demand remained stable across commercial vehicles, passenger vehicles and two- and three-wheelers, with no significant production cuts from OEM customers.

The company also said it continues to focus on premiumisation, with higher-margin products such as 16-inch and above passenger car tyres increasing their share in the sales mix.

Comments (0)

ADD COMMENT

Link Copied!

Yokohama Rubber reported record earnings for the first half of fiscal 2026, with profits more than doubling and margins reaching a historic high.

The Japanese tyre maker said sales revenue rose 10.4 percent year on year to ¥639.4 billion in the six months to June, while business profit increased 54.3 percent to ¥95.8 billion. Operating profit doubled to ¥109.7 billion, and profit attributable to owners of the parent rose 104.2 percent to ¥72.6 billion.

Business profit margin improved to 15.0 percent, compared with 10.7 percent a year earlier, marking a record level for the company.

Yokohama Rubber said the results reflected strong performance across its businesses, delivering record first-half highs in all key earnings categories.

Segment data showed that tyre sales revenue rose 10.8 percent year on year to ¥580.4 billion, accounting for 90.8 percent of total revenue, while the MB (Multiple Businesses) segment recorded revenue of ¥54.9, up 6.9 percent and contributing 8.6 percent of the total. Other businesses declined 3.6 percent to ¥4.2 billion.

Business profit growth was led by the tyre segment, where profit increased 57.3 percent to ¥89 billion. The MB segment posted profit of ¥6.3 billion, up 22.5 percent, while other businesses reported profit of ¥0.5 billion.

The company said tyre segment growth was supported by higher sales of high-value-added and high-inch tyres, as well as increased volumes in the off-highway tyre business. Replacement tyre demand strengthened across regions, with strong sales in Europe and continued expansion in North America.

Operating profit was also supported by a ¥35.3 billion gain on the sale of assets at a former off-highway tyre plant in Israel, partly offset by a one-off expense of ¥15.0 billion related to the closure of a US tyre plant in Salem, Virginia.

The company also revised upwards its full-year forecast for fiscal 2026. It now expects sales revenue of ¥1,320 billion, business profit of ¥192.5 billion, operating profit of ¥199.5 billion and profit attributable to owners of the parent of ¥117 billion.

Comments (0)

ADD COMMENT

Link Copied!

JK Tyre & Industries reported broadly steady revenue for the first quarter of the financial year, with profitability constrained by higher input costs.

The company posted consolidated revenue of INR 39.56 billion for the quarter ended 30^th June, 2026, while earnings before interest, tax, depreciation and amortisation (EBITDA) stood at INR 2.68 billion, implying a margin of 6.8 percent. Profit before tax was INR 0.54 billion and profit after tax came in at INR 0.43 billion.

According to the company’s financial statement, revenue from operations was INR 39.46 billion, compared with INR 38.69 billion in the corresponding period a year earlier.

Operating profit declined to INR 2.68 billion from INR 4.24 billionn a year earlier, reflecting pressure on margins.

Dr Raghupati Singhania, Chairman and Managing Director, said: “JK Tyre continued its steady performance in Q1FY27 with a consolidated turnover of INR 3.56 billion, supported by strong demand momentum across segments. The performance is driven by sharp focus on customer centricity, product excellence and disciplined execution across markets. During the quarter domestic volumes grew by 25 percent on year-on-year basis, across both replacement (12%) and OE markets (42%), with increasing contribution from higher-value added products. The continuing west Asis crisis led to a sharp increase in raw material prices which impacted our gross and operating margins. As is known approximately 70 percent of the tyre industry raw materials are petro based, hence, it is highly vulnerable to oil price movement”.

He added: “With a sharper focus on operating leverage, cost reductions, and increasing share of premium products, JK Tyre remains confident to improve performance in FY27 with double-digit revenue growth, aiming to create enduring value for all stakeholders with an increased profitability through strategic expansions”.

Comments (0)

ADD COMMENT

Link Copied!

Dunlop Motorcycle Europe has expanded its original equipment partnership with Beta Motorcycles, securing a deal to supply advanced Geomax tyres across the Italian brand’s trial and motocross lineups. The enhanced collaboration introduces new standard fitments for both competition disciplines.

For trial applications, the Geomax TL01 replaces the previous D803GP on Beta’s Evo and Sincro models. Engineered with a high-adhesion compound and a specialised block layout for angled terrain, the ultra-sticky tyre has already proven popular among Beta racers and now becomes factory-standard equipment.

In the motocross sector, Beta has adopted the Geomax MX34 for its entire RX range, covering both two-stroke and four-stroke 250 cc and 350 cc variants, as well as the 450 cc model. Designed primarily for intermediate ground, the versatile MX34 performs effectively across diverse surfaces, from soft mud to compacted dirt.

Donato Miglio, Race Team Manager Trial, Beta Motorcycles, said, "Geomax TL01 represents a significant step forward in performance, which is why we decided to adopt it as our original equipment trial tyre. Many of our riders already use it in competition, where it has proven its exceptional grip, stability and handling.”

Fabrizio Dini, Race Team Manager Motocross and Enduro, Beta Motorcycles, said, “In motocross, the latest generation of Dunlop MX tyres features significant performance improvements. Geomax MX34 provides excellent grip, particularly on dry surfaces, giving riders a reassuring feeling of safety and constant control. Both tyres suit our bikes perfectly.”

Miguel Morais, Original Equipment Manager, Dunlop Motorcycle Europe, said, “We are proud to deepen our partnership with Beta through the introduction of Geomax TL01 and MX34 across its latest trial and motocross models. Fitments like these are a strong endorsement of the capabilities of tyres throughout our range, and we’re excited that more and more riders will experience increased confidence and performance that helps them get the most out of their Beta motorcycles from their first ride.”

Comments (0)

ADD COMMENT

Link Copied!