By N. Balasubramanian and Abhilash. U
India Nippon Electricals Ltd. (INEL), a leading player in the automotive ignition and electronics market, has consistently outpaced the broader market. The company’s growth trajectory has been stronger than the sector’s average, and this year, it continues to demonstrate robust performance. “Not only this year, but even over the last few years, we have always outpaced the market,” says Ravinder Sharma, President of INEL. “Our growth is consistently higher than the market growth in the segments we are involved in.” In this exclusive interview, Sharma discusses the company’s strategic vision, market opportunities, and its commitment to innovation and customer satisfaction.
Commitment to Innovation and Market Leadership
INEL’s strong performance continues despite challenges, including a temporary slowdown in the second quarter of the year. The company has benefited from the festive season, a time that typically drives a surge in two-wheeler sales. During the festive season, INEL has been able to meet customer demand, to ensure production targets are met. Sharma emphasizes, “We listen to the customer. They tell us what they want, and we design products that solve their problems.”
Founded in 1984, INEL has built a reputation as a trusted partner for major Indian manufacturers, especially in the auto ignition, electronics controllers, and mechatronics product sectors. Despite its healthy growth, Sharma is adamant that INEL is not resting on its laurels. “We are continuously growing every year, but we are not satisfied. I believe we can do much better than what we are doing today.”
The company’s primary focus remains the two-wheeler and three-wheeler segments, which account for around 70-80% of INEL’s original equipment (OE) business. While the company is firmly entrenched in this segment, Sharma also notes that INEL is exploring other potential applications. “India is one of the largest two-wheeler manufacturers in the world, and our focus is clearly on this segment,” he explains.” But we are also exploring applications in other sectors like stationary engines and export markets.” INEL’s aftermarket and export revenue contribute to around 20% of its overall sales.
Technological Innovation and Expansion into New Segments
As a company that specializes in proprietary products, INEL places a strong emphasis on technology development to maintain its competitive edge, particularly in a market where innovation is essential to meet global standards. Sharma remarks, “Technology plays a key role in our products, and from the beginning, we have focused on developing unique solutions that meet the specific needs of the customers.”
“We understand the Indian market better, and that allows us to offer unique solutions that our customers value.”
INEL’s commitment to technology is reflected in both product development and process technology. Sharma stresses, “Technology is one part of the equation, but process technology is just as important. That’s where our manufacturing engineering comes in.”
Looking back, INEL has a strong history of introducing innovative products that have reshaped the industry. In the 1980s, the company was the first in India to introduce electronic ignition systems, which replaced traditional mechanical contact breakers and was a game changer,” recalls Sharma. The company has also developed unique ignition coils that prevent failure modes and improve product reliability.
The company’s innovation extends beyond ignition technology. INEL has expanded its product portfolio to include sensors and Electronic Fuel Injection (EFI) controllers. “We have a fantastic range of sensors now, which have applications not just in the automotive sector but also in non-automotive industries,” says Sharma. “We understood the changing needs of the market and developed these sensors five years ago – today, they are in mass production.” This willingness to embrace new technologies and expand into new areas has positioned INEL as a leader in its field.
INEL is also adapting to the shift toward electrification. Sharma is also optimistic about the future of electric vehicles (EVs) and INEL’s ability to adapt to the transition. “We are listening to the customer and keeping an eye on global macro trends,” he notes. “The market will evolve, and we are prepared for it. We already have the capabilities to develop products for the EV and hybrid segments.”
Customer-Centric Approach and Global Expansion
Customer satisfaction remains central to INEL’s business model. The company works closely with customers to understand their needs and create solutions that address specific challenges. “Our simple strategy is to be close to the customer and understand their needs,” says Sharma. This customer-centric approach extends beyond product development to after-sales service, a segment that INEL has increasingly prioritized. “We have been focusing on aftermarket growth for the last 5-10 years, and we are seeing healthy growth in this segment,” says Sharma, acknowledging that the company has shifted its focus to this area more recently.
INEL has also been expanding its reach through a robust distribution network, particularly with the support of its parent company, Lucas Indian Service. Sharma highlights, “We work closely with our parent company to distribute our products. We focus on quality, brand-building, and educating our customers, and the sales will follow.” This strong distribution backbone ensures that INEL’s products are available to customers across India and beyond.
Looking to the future, INEL is positioning itself for continued growth, both in India and internationally. While the domestic market remains a primary focus, Sharma points out that INEL is also looking to expand its presence globally. “India offers plenty of opportunities, and we will continue to grow by leveraging our technological capabilities and close relationships with our customers,” he concludes. “Change is constant, and we embrace it with open arms.”
As India’s automotive market continues to grow, especially in the two-wheeler sector, INEL has strategically positioned itself to capture opportunities in the premium segment. This segment is experiencing rapid growth, driven by increasing disposable incomes and consumer aspirations for higher-end products. Sharma confirms, “We have ensured our presence across 100% of the premium two-wheeler market in India and abroad.” At the same time, INEL is also capitalizing on the growing scooter market, which now accounts for around 20% of the overall two-wheeler market in India.
While electric vehicles (EVs) are gaining attention, Sharma remains confident in the continued demand for internal combustion engine (ICE) vehicles. “Though the market is shifting towards electrification, we believe the higher-end segments, like premium ICE models, will continue to perform strongly,” he says, particularly in the 125cc and above categories. While the transition to EVs will likely impact the lower-end of the market, Sharma believes the premium segment will continue to grow.
INEL is working on Integrated Starter Generators (ISG) that replace traditional starter motors in internal combustion engines. Sharma notes, “The transition into ISG technology has been a natural progression for us,” pointing to the company’s expertise in motors and controllers. As part of its commitment to future-proofing its product offerings, INEL is exploring new technologies that will be critical in the development of more integrated and smarter vehicle electrical systems.
Safety is another area where INEL is innovating. With vehicles becoming more electrified and complex, there is an increasing need for advanced safety systems. INEL has already introduced a reverse parking assistance sensor for the commercial vehicle sector, a first step toward integrating more safety-critical systems. “We are preparing for the next wave of vehicle technology—safety,” Sharma explains. “The rise of software and electronics in vehicles is increasing the complexity of these systems, and with that comes the need for more stringent safety protocols.”
As the industry continues to evolve, INEL remains optimistic about its prospects. Despite the challenges posed by the shift toward electrification and post-pandemic market dynamics, Sharma maintains a positive outlook. “We are excited about the changes in the market. It’s an exciting time, and we are looking at it with a positive outlook. Challenges are part of the business, and they push us to innovate,” he concludes.
Through its commitment to technological development, customer satisfaction, and consistent product quality, INEL is poised to continue its leadership in the automotive industry. With a focus on innovation, strong relationships with customers, and a forward-thinking approach to market expansion, the company is set to thrive in an increasingly competitive and rapidly changing market.
INEL Tech Centre Revolutionizing IC and EV Technologies
In just two and a half years, the INEL Tech Centre has emerged as a hub for innovation, focusing on internal combustion (IC) engine advancements and electric vehicle (EV) technologies. It caters to the automotive sector’s growing need for “IC plus” solutions, such as electronic fuel injection (EFI)
and integrated starter generators (ISG), alongside pioneering products for the EV market.
With a portfolio of 38 patents—18 already in production—INEL demonstrates its commitment to innovation. “Our high efficiency generator system, designed for two-wheelers, three-wheelers, and
general-purpose engines, is a gamechanger,” says R. Umashankar, Chief Technology Officer. This system utilizes cost-efficient ferrite magnets instead of rare-earth magnets, achieving the same output while reducing cost, size, and weight.
The centre’s focus on cost-efficiency extends to a range of sensors, including a high-performance level sensor
capable of operating between -40 to 180 degrees Celsius. This product, designed for stringent environmental conditions, is already in production for global customers, showcasing INEL’s ability to meet international standards.
Driving Aatmanirbhar Bharat
INEL is actively contributing to India’s “Aatmanirbhar Bharat” vision by developing products tailored for the rapidly growing EV sector. “It’s inspiring to see companies like INEL turning this vision into reality,” says Umashankar. The centre has reimagined century-old technologies, such as Bosch’s early 1900s
high-efficiency systems, enhancing performance and reducing costs. Key advancements include substituting copper wires with aluminium in some components, a practice gaining traction in the automotive sector.
Engineering Excellence and Future Outlook
Employing 100 engineers across disciplines like hardware, software, and mechanical design, the centre is
equipped with state-of-the-art tools, including chassis dynamometers and emission test setups. However,
Umashankar stresses the need to cultivate more interest in R&D. “India’s engineering talent pool is immense, but we need more graduates to embrace R&D roles,” he observes.
Looking ahead, the potential for innovation in EV technologies is vast. “EVs are still in their early stages, and the opportunities for breakthroughs will only grow as the market expands,” says Umashankar.
With its emphasis on innovation and a growing patent portfolio, INEL Tech Centre is poised to shape the future of automotive technology, reinforcing India’s position as a leader in global automotive R&D.
