Indian auto component industry grows by 11% in FY 15
Updated: Jul 01, 2015 01:42:03pm
Pune, Jul 1 (KNN) Auto component industry stood at Rs 2.34 lakh crore (USD 38.5 billion) for the period April 2014 to March 2015, registering a growth of 11 percent over the previous year, as per the findings of the Automotive Component Manufacturers Association of India (ACMA) industry performance review for the fiscal.
The industry has also seen a compound annual growth rate (CAGR) of 11 per cent over the last six years.
This data represents the entire supply from the auto component industry in India to the on-road and off-road vehicle manufacturers and the aftermarket in India as well as overseas, ACMA said in a release. The data also includes that of captive suppliers to the OEMs and the unorganized and smaller players.
Commenting on the performance of the auto component industry, President, ACMA, Ramesh Suri said, “Despite a challenging year 2013 -14, the auto component industry bounced back registering an impressive growth of 11 percent in 2014-15. In fact, it is also interesting to note that while India’s total exports stagnated, the Indian auto component industry exports grew by 11.4 percent”.
Corroborating the positivity in the industry, Director General, ACMA, Vinnie Mehta added that the auto component industry in India is expected to scale USD 100 billion in turnover by 2020 with exports to grow in range of USD 35-40 billion.
“We are pleased with the auto component industry’s performance for FY 14-15 and are confident that driven by ‘Make in India’, it will lead the growth story for India,” he said.
During the last fiscal several macro headwinds obstructed the growth in the industry including flagging vehicle sales, high capital costs, high interest rates and slowing down of investment in manufacturing. The industry’s focus on exports, quality and various cost saving initiatives has helped it weather the weak business environment leading to a double-digit growth, he said. (KNN/ST)
The industry has also seen a compound annual growth rate (CAGR) of 11 per cent over the last six years.
This data represents the entire supply from the auto component industry in India to the on-road and off-road vehicle manufacturers and the aftermarket in India as well as overseas, ACMA said in a release. The data also includes that of captive suppliers to the OEMs and the unorganized and smaller players.
Commenting on the performance of the auto component industry, President, ACMA, Ramesh Suri said, “Despite a challenging year 2013 -14, the auto component industry bounced back registering an impressive growth of 11 percent in 2014-15. In fact, it is also interesting to note that while India’s total exports stagnated, the Indian auto component industry exports grew by 11.4 percent”.
Corroborating the positivity in the industry, Director General, ACMA, Vinnie Mehta added that the auto component industry in India is expected to scale USD 100 billion in turnover by 2020 with exports to grow in range of USD 35-40 billion.
“We are pleased with the auto component industry’s performance for FY 14-15 and are confident that driven by ‘Make in India’, it will lead the growth story for India,” he said.
During the last fiscal several macro headwinds obstructed the growth in the industry including flagging vehicle sales, high capital costs, high interest rates and slowing down of investment in manufacturing. The industry’s focus on exports, quality and various cost saving initiatives has helped it weather the weak business environment leading to a double-digit growth, he said. (KNN/ST)
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