 "International component makers eye India market")
The growth potential in the under-served Indian automobile market and the consequent demand for auto components has drawn a lot of interest from foreign manufacturers who are attending the Auto Expo-Component Show in the capital. The four-day show begins Saturday.
A total of 600 international component firms are showing a range of automobile components and solutions to tap into the rising domestic market, especially the passenger vehicle segment.
In the last edition of the Component Show in 2014, 450 foreign exhibitors had participated. The total number of exhibitors, including domestic ones, has grown to 1,500 now against 1,200 in the previous edition.
Vinnie Mehta, director-general of Automotive Component Manufacturers Association, a local body, said there was rising interest in international manufacturers to understand trends in India.
Bajaj entry-level bike
Bajaj Auto on Friday launched a new variant of its entry-level motorcycle CT100 priced at Rs 30,990 (ex-showroom Delhi).
The new variant, CT100B, delivers a fuel economy of 99.1 kmpl (kilometre per litre) and comes with a two-year warranty, the company said in a statement.
79,000 visit Auto Expo
A total of 79,000 visitors came to the Auto Expo as it opened to the public on Friday. The first day of last Expo in 2014 had seen 75,000 visitors. The Expo ends on Tuesday. Siam (Society of Indian Automobile Manufacturers) expects a total footfall of 700,000 at the Expo against 560,000 a year ago.
The Expo at Pragati Maidan has eight dedicated international pavilions — China, Japan, Taiwan, South Korea, Canada, the UK, France and Germany. The French and South Korean pavilions are an addition over the last Expo.
A representative of the South Korean delegation said there was keenness among industry players to work with the Indian automobile industry. A total of 11 South Korean players are displaying components, especially electronic auto components, where the dependence on imports is significantly high.
Manufacturers from the UK are participating under the aegis of SMMF, the British counterpart of ACMA, to explore opportunities in Indian automotive manufacturing. British companies want to invest in India, put up manufacturing facilities for electric cars and also collaborate in R&D for efficient fuel solutions.
Arvind Balaji, ACMA president and joint managing director of component maker Lucas-TVS, said, “This is the second year when the Component Show is being organised separately from the Motor Show. It has given us more space and attracts focused visitors. We have had a record 1,500 participations this time. This shows that India is a market of the future. Everybody wants to establish a position in the country.” The rising focus of international players means greater competition for quality and market share for the domestic players, many of which have a tie up with foreign companies.
Another highlight of the show is the Innovation Pavilion, spread over 100 square metres, and created to draw attention to the latest innovations which auto component companies have indigenously designed, developed, tested and validated in India. Companies such as Sona Koyo, Lucas-TVS and Brakes India showcased their innovations. ACMA has chosen ‘Make Quality & Technology in India’ as its theme this year. The component industry also made efforts to raise awareness about counterfeit products being sold in the replacement market through its ‘Asli-Naqli’ pavilion.
The $38.5-billion component industry gets almost 30 per cent of its revenue from exports. The Automotive Mission Plan (AMP 2026), unveiled by the government last year, has set a target of a turnover of $223 billion by 2026 for the auto components sector, backed by strong exports ranging between $80-100 billion, from the current $11.2 billion.
