India’s automotive sector will play a crucial role in making India a 5 trillion-dollar economy, said Nitin Gadkari, the union Minister of road transport & highways, adding that it is the economy’s growth engine and “that shifting from cost-centric approach to quality-centric approach is very important”.

Gadkari made these remarks at a special plenary session entitled “Indian Auto Industry for India’s Economic Growth” at the 62^nd Annual Convention of SIAM held in New Delhi.

In another plenary session, based on the theme “Indian Auto Sector’s Journey in the “Amrit Kaal”: Vision @2047”, Anurag Jain, Secretary, and Department for Promotion of Industry & Internal Trade, said the country is expected to grow from 3 to 32 trillion-dollar economy by 2047. He reiterated the government’s vision to create a strong ecosystem where the industry can thrive, and which necessitates adequate investment in R&D, skilled manpower, technological advancements, and focus on knowledge and emphasis on sustainability.

Earlier Kenichi Ayukawa, President, SIAM, and Executive Vice Chairman, Maruti Suzuki who had delivered the inaugural address at ACMA a day earlier said the auto was facing deep structural slowdown even before Covid and now in the aftermath of pandemic and the Ukraine war, there have been severe strains on supply chain.

At the SIAM convention, several speakers shared their perspectives in topics that included decarbonising the automotive sector. These sessions saw the participation of Dr. J. R. Bhatt, Advisor/Scientist, Ministry of Environment, Forest and Climate Change, Andre Aranha Correa Do Lago, Brazilian Ambassador to India,  Sharad Verma, MD and Senior Partner, Boston Consulting Group, K N Radhakrishnan, Chairman, SIAM Two Wheeler CEOs Council and Director & CEO, TVS Motor Company  and Diego Graffi, Chairman, SIAM Three-Wheeler CEOs Council and Managing Director & CEO, Piaggio Vehicle.

Dr Bhatt said, “Climate change is one of the most important environmental challenges today. India’s vision for transport must be based on low carbon emissions and affordability.” Do Lago said, “Brazil and India are the two largest sugarcane producers and have the potential to produce enormous amounts of ethanol. Brazil will work with India on flex-fuel technology, sustainable aviation fuels, second generation ethanol, hybrid flex fuel vehicles, fuel cells, etc.”

Addressing a session titled “Building the Nation, responsibly”, Arun Goel, Secretary, Ministry of Heavy Industries, highlighted the need to encash the disruption of modern technologies and innovative approaches such as EVs, biofuels, and others.”

Goel also added that the government will start PLI disbursements from April 2023. "We are expecting many companies to claim their dues in the first quarter of next fiscal itself. Technology implementation is acting as a big enabler in overall PLI project," he said.

The session began with a message from the Prime Minister which highlighted the significance of the mobility sector and its role in the progress of humanity. He emphasised accomplishing self-sufficiency in the automobile sector urging the industry to avail the benefits of initiatives like the PLI scheme to boost manufacturing.