'Group cos may import steel for the whole group to cut costs'

With steel prices going up, the group companies "" having related interest in auto and auto ancillary sector "" may find importing steel collectively for the entire group as a cost-effective option.

Speaking on the sidelines of the three-day exhibition, Auto Serv 2004, L Ganesh, vice-chairman of Rane Group, said, "With international steel prices rising, the group companies particularly having related interest in auto and auto ancillary sector share information while importing steel and may go one step ahead and order steel together." Ganesh is also the chairman of Auto Serv 2004.

CII southern region is organising 'Auto Serv 2004' "" the exhibition on automotive care, maintenance, service, parts and garage equipments "" from December 4 to 6.

R Dinesh, co-chairman of Auto Serv 2004 and executive director, TVS Iyengar and Sons Ltd, said that group companies do share information on purchasing inputs like steel with one other but was not sure whether they import on aggregrate basis.

Tata Steel and Jindal Iron and Steel Co Ltd have raised steel prices by Rs 500 to Rs 750 a tonne respectively. However, Union minister of steel, chemicals and fertilisers, Ram Vilas Paswan has indicated that the state-owned steel companies would not raise their prices.

The objective of the exhibition is to showcase the opportunities in the automotive aftermarket business and provide a business platform for players involved in the aftermarket business.

It will also educate the trade by showcasing and demonstrate the latest equipments, products services and trends in automotive servicing, maintenance and care, repairs and recovery, components and spare parts, automotive aftermarket products and automotive accessories.

Dinesh added that Auto Serv 2004 was more than just an exhibition; it will be an important forum for the latest developments in the automotive services and aftermarket. It is expected that Auto Serv will be conducted as a biennial event.

The key highlights of the exhibitions included the participation of over 80 leading automotive services and after market companies, participation from 20,000 pan India trade visitors and 10 new product-launches.

The new launches included Canada-based Dominion Sure Seal, that operates in India through PCP Paracoat, launch of corrosion prevention treatment called check rust and Elgi Equipments that launched spot and mig welders for most efficient welding and spot facing operations.

Automotive sealants for metal to metal to glass bonding were launched by Sika India, electronic collision repair measurement system and tyre inflator with built in compressor, automatic inflator or deflator by Elgi Equipments.

Elgi Equipments will also launch electronic body repair measurement system and plasma cutter for advance welding and arc cutting. National service heads of vehicle manufacturers from Hyundai Motor, Ashok Leyland, Tata Motors, TVS Motor and Maruti Udyog will visit with technical and service teams.

The key exhibitors are Mico Bosch, TVS and Sons Ltd, 3M India Ltd, E I Dupont India, Rane Group and Cummins Auto Services, Lucas India service, that motors Ltd, Ashok Leyland and Indian Oil Corporation.