Oka aims for Indonesian, Malaysian armies

Oka aims for Indonesian, Malaysian armies

By Neil McDonald

AUSTRALIA's rugged four-wheel drive Oka vehicles looks set to
become a preferred military transport vehicle in both Indonesia
and Malaysia.

Apart from the Indonesians, the Malaysian army is looking at
buying the 2.5-tonne full-time four-wheel drive turbo-diesel
machines to use as transport vehicles in diverse and difficult
terrain.

The Oka Motor Company, a specialist four-wheel drive vehicle
manufacturer based in Perth, Western Australia, has been working
on selling its vehicles into South-East Asia for the past year.

The company's Asia push is also part of a world-wide export
strategy to sell most of its vehicles overseas. Up until recently
about 80 per cent of its vehicles were sold only in Australia.

Oka is confident that over time, this will change and more
Okas will be exported.

Oka officials have also just handed over a prototype "rural
transport vehicle" - RTV - to Hindustan Motors in India.

Hindustan has entered a joint-venture deal with Oka to develop
the RTV for the Indian market.

It was designed and developed for Hindustan to carry both
passengers and goods and will be powered by a 2000cc Isuzu diesel
engine.

Oka's chief executive, Mike Walker, was in India to hand over
the RTV. It will be produced at Hindustan's Indore plant.

The first batch of 600 vehicles is expected off the production
line next April.

To make the vehicle more affordable and ensure a steady supply
of spare parts, 98 per cent of its components will be
manufactured in India.

For Hindustan Motors, the Oka collaboration is the result of 2
1/2 years of research into transport needs of rural India, where
rising incomes and the increasing demand for consumer goods are
expected to ensure a healthy market for utility vehicles.

Buoyed by the India success, Oka's operations manager, Mr Kim
Hough, said he was optimistic about Oka's future in Indonesia and
Malaysia.

"The Indonesian military love it," he said. Indonesian
military officials have test driven the vehicles in Perth. Four
Okas are also on evaluation in Indonesia.

Mr Hough, said the Oka's rugged build and reliability was
ideal for military applications.

"It has really started to open doors for use in Asia," he
said.

"The Indonesians are very impressed with the vehicle.

"They said that in comparison with what they use at present,
the Oka's the way to go.

"We expect to get some big contracts out of this."

The only hurdle standing in the way of Oka's Indonesia push is
the issue of the country's tariff regime.

However, Mr Hough said the Oka was confident of working
through this and delivering both SKD and CKD kits to Indonesia.

"And in the longer term we'd also still look at manufacturing
in Indonesia," he said.

Apart from Indonesia and Malaysia, Oka is pursuing other
markets in South-East Asia and has even ventured into Africa.

The South African police have taken a shine to the big beasts
and Oka is confident of selling some there.

"We look like we'll make big inroads into the tourism
industry there as well," he said. Mr Hough said the Okas were
perfectly suited to South Africa as the country was similar in
many ways to Australia.

Oka's vehicles are considered a must for many mining companies
and tourism operators in Australia because of their ground
clearance, reliable 4.0-liter turbo-diesel Perkins engines,
ability to carry big loads and passengers.

The forward control vehicle is built on a ladder-frame chassis
and offers a wide variety of body styles, from single to double-
cab bodies and up to a 13-seater bus.

Oka expects its rising international profile to get another
big lift soon as the company is hoping to sell about 1000 Okas to
an as yet unnamed Middle East country.

Some of their vehicles are already being evaluated on the
roads in Saudi Arabia.

If the deal goes through Mr Hough said the Perth factory would
need to increase production and staffing levels to meet demand.

With Oka's growing international presence, Mr Hough said the
company was also aware of the demands for dealers and servicing.

"Internationally we have 21 dealers. A lot of them out there
in the mining, tourism areas," he said.

This financial year, Oka will produce about 250 vehicles.

"That's at the very least," Mr Hough said.