Research Institutes, Federations Supporting Auto Components and Leather Industry

The Indian economy is growing at one of the fastest rates it has ever witnessed. This is good news as it would result in better living conditions for the common man. According to projections released by experts, the per capita income would increase by 17.3 % and reach a figure of INR 54,527. A target growth of 9% seems well within grasp. The industrial sector contributes nearly 28% to the GDP and provides employment to more than 14% of the worker population. Trade also contributes a significant portion to the GDP. In the year 2005 – 2006 43% of the GDP was contributed by trade of goods and services.

 

For the continuous growth and development numerous research institutes are set up for the industrial sector and association/ council are formed for respective trade. Below are some of the research institutes/ associations/ federation in the auto component, leather sector:

 

Automotive Component Manufacturers Associations of India (ACMA): In the year 1959 AD a nodal agency for development of auto component companies india was established as The All India Automobile & Ancillary Industries Association (AIA & AIA). In the year 1982, it was renamed as the Automotive Components Manufacturers Association of India (ACMA). With the Indian automotive components industry spread over the country, with best auto parts supplier chennai, pune, gurgaon etc. Some of the functions performed by this association include promoting India as a Brand, Interaction with global companies through similar associations in respective regions, promotion of export related projects, etc. Now every other auto manufacturing company purchase Indian auto component.

 

Central Leather Research Institute (CLRI): This is the largest leather research institute in the world. It was established on 24th April, 1948 AD. The aim of setting up this research facility is to integrate technology with initiatives in the industry.

 

Indian Finished Leather Manufacturers and Exporters Association (IFLMEA): With its headquarters based in Chennai, Tamilnadu, this association looks after aspects related to manufacturing of finished leather as well its trade. The association provides its members updated information related to latest government policies, trends in the market, figures related to raw material, currency exchange rate, etc.

 

Indian Shoe Federation (ISF): This federation was set up in the year 1992 AD. The headquarters is located in Chennai, Tamilnadu. It is the focal agency overlooking footwear manufacturing and trade by Indian companies. It acts as a liaison between the industry and government to sort out matter pertaining to policies. The initiatives taken by this federation includes implementation of latest technologies in the footwear industries for better shoe style fashion and design in India. It also promotes JV and FDI. The steps taken by this federation has helped the shoe industry scale new heights.

Industry Predicts Manifold Growth For Indian Auto Components Industry

With another five marquee names in the automobile world gearing up to enter India, the second-fastest growing market globally, industry stalwarts are of the opinion that this could be the best time for auto component manufacturers to do brisk business. It may be mentioned here that Chrysler, Kia, Peugeot, Triumph and Scania are finalizing their India blueprint. And the reason is obvious.

According to a report by Ernst & Young, India will beat China, North America and Europe to become the fastest growing automobile market.

Meanwhile according to a report from McKinsey & Co, the Indian automotive aftermarket for parts is expected to reach around Rs 39,000 - 44,000 crore by 2015 from the current Rs 24,000 crore, while the industry would require around 1.3 million skilled people.

The industry representatives meanwhile have asked for 'industry' status for the auto parts sector on the basis of number of jobs the industry created and the volume of revenue it generated for the exchequer.

According to a CII Report prepared by McKinsey & Company, the automotive aftermarket in India is growing 11 percent per year, and is at an inflection point with the increase in vehicle parts, more complex parts, price sensitive customers, and expansion of global suppliers in terms of sourcing and distribution presence in India.

The report estimated that the market demand for parts and services was set to double over the next five years. It said that companies across the value chain will require significant additional investments in capital to double their capacity, as well as to enhance their capabilities to produce parts for and service a wider variety and complexity of vehicles.

The production of parts is split between OEM, original equipment suppliers (OES) and generic manufacturers. Commercial vehicles, which include multi-axle vehicles, light commercial vehicles, buses and trailers account for roughly 22 per cent of this market (Rs 4,500-5,500 crore), with Maharashtra, Tamil Nadu, Gujarat and Kerala accounting for over 40 per cent.

The car market is estimated at Rs 6,000-7,000 crore (34 percent of the market) with Maharashtra, Andhra Pradesh, Delhi and Tamil Nadu cumulatively accounting for about 40 per cent of the share.

Meanwhile, industry experts are of the opinion that despite the huge potential that automobile industry offers, both the manufacturers and buyers are unable to connect with each other freely. Here, Internet can play a vital role. Business to business (B2b) websites like automobileindustryindia.com can be a solution to overcome this problem.

To be a part of the growth story of Indian automobile sector and encash the huge potential that the sector offers, manufacturers and suppliers from India can get themselves registered on automobileindustryindia.com, a web portal solely dedicated to Indian automobile industry.

The main aim of the portal is to provide maximum exposure to Indian suppliers and bridge the gap that exists between sellers and buyers in Indian and abroad. It also carries comprehensive information on global automobile trade shows and latest news and updates from the automobile industry.

Tianjin Highlight The Scale And Auto Parts Industry - Automotive Parts, Components Industrial Park,

December 19, in Jinghai County of Tianjin Binhai Economic Development Zone Car Colored flags fluttering parts industrial park, machine rumbling sound, Tianjin 100 000 000 all Auto Parts Co., Ltd., Tianjin, Li Gang, Ltd., Tianjin, Chi Hop Electric Co., Ltd., Tianjin Yan Feng Precision Machinery Co., Ltd. 4 joint venture and was started simultaneously ceremony. So far, the park since the park opened 10 months, 11 companies have been held under construction.



Project started before the ceremony, Jinghai county leaders and Tianqijituan leading site in the park construction site together to listen to the Tianjin Binhai Industrial Park Auto Parts building and project development work to introduce the briefing, and to further strengthen Cooperation To promote the development of Binhai Industrial Park Auto Parts in a meeting.



Sun Wenkui, Taorun Li on behalf of the county government to the auto parts industry settled in the coastal park four projects under construction at the same time to congratulate and Coastal Auto Parts Industrial Park, and fully affirmed the achievements made. Pointed out that the auto parts industrial park in Tianjin Binhai start construction this year since the Tianqijituan under the leadership of the scientific outlook on development as guidance, give full play to the "five plus two, white with black," the work of the spirit, in accordance with the build, investment principles, full speed up the development and construction of the park, so park the work has shown good momentum of development, as Jinghai economic and social development and other development and construction of the park and made an example. Jinghai County, the county government and the departments concerned to carefully learn from the auto parts industry park in the coastal experience and practice, and actively devote efforts fully support the development and construction of the park to further increase cooperation with Tianqijituan promote common development and achieve win-win cooperation. Shi Tang Zhang, on behalf of Tianqijituan



Jinghai county, the county government and the auto parts sector Binhai Industrial Park for their support and expressed thanks. He said Coastal Auto Parts Industrial Park to the basis of existing work to further intensify our work in accordance with the high-end technology, quality oriented, high technology requirements, focus on the introduction of a number of large projects, good projects, efforts to enhance quality and level of development of the park, ensure sound and rapid development.



Auto Parts Industrial Park Tianjin municipal government and China Association of Automobile Manufacturers that support municipal SASAC approved by the Tianjin Automotive Industry (Group) Company Limited and supported by modern Jinghai County Chemical industry Industrial Park. The park is located close to the city Economic Development Zone of Tianjin Jinghai County, North. Park development objectives are: build auto parts industry platform, auto parts industry together to promote the upgrading of automotive components, is the national standard, international factors, high technology, industrial integration, industry promotes trade, to trade with workers in international industrial base. The park since the park opened this year, has introduced 19 projects, total investment of more than 1.2 billion yuan, covers an area of 600 mu and profits 400 million yuan, an average of 13 days to determine a project introduction. Next, the park will continue to increase infrastructure and supporting and focus on the introduction of a number of large projects, good projects to improve the quality of the park business, for the development of automobile industry in Tianjin, as Tianqijituan revival, as the economic and social good and Jinghai rapid development of new contributions.



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Automotive components manufacturers - driving demand in the global market

The automotive components industry has over the years matured not only in quantitative terms but has also witnessed tremendous growth in manufacturing beyond geographical boundaries. There are many organizations making huge investments in research and development, engineering standards and design capabilities. Automotive manufacturers are looking beyond the local market and looking to improve their international presence and sales of products. Many organizations are sending their employees to different countries to get them equipped with the latest trends abroad.

The automotive industry is one of the most sought after industries in the world. Automotive components manufacturers are looking to enhance their market presence and increase revenues by manufacturing auto parts that are genuine and economically priced. The rise in demand for automotive components has motivated auto components manufacturers to adopt a global outlook with innovative engineering solutions.

Besides productions of traditional automotive components, there has been expansion to the production of sub assemblies, industrial gears etc.

Automotive components manufacturers supply products, services and solutions to original equipments manufacturers who use automotive components of high quality in their vehicles and automotive systems. Manufacturers need to consistently produce quality automotive products to enhance market presence both locally and on an international platform and exceed customer expectations time and again.

Automotive components manufacturers need to create value through innovation and technology. Currently automotive components manufacturers are key players in the international market by branching into manufacturing products for different industry segments such as, commercial vehicles to railroad and aerospace. Automotive parts manufacturers cannot always rely on past accomplishments and have to consistently innovate and set new industry benchmarks.

Automotive components manufacturers can tap the benefits of operating in an international market by keeping in mind the following points:-

• Keep a track of technologies being used in the international market
• Be innovative and carry out research and development in the field automotive engineering.
• Establish right cost capability by establishing world class standards of production based on the principles of value for money.
• Fulfill corporate responsibilities by establishing high regard for health, environment and safety.
• Global strength dedicated and trained employees and exceptional production standards go a long way in giving manufacturers a competitive edge in the international market.

Automotive components manufacturing is a challenging and risky industry; thus, manufacturers need to display a high level of commitment towards employees and the environment. Automotive components manufacturers need to establish teams that develop and implement best practices for employee and environment safety. Automotive manufacturing units are required to obtain government certificate for meeting environment and safety management standards.

In recent times trade fairs and auto expo have been important platforms to help these manufacturers reach out to global audience and establish a foothold in the market. Trade events are of immense benefits to automotive components manufacturers especially the small scale ones looking to establish tie ups with major auto manufacturers around the world. These trade events also boost the over all exports of a country as many auto manufacturers look to tap the local talent and open service centers in different parts of the world.