Nitin Gadkari: ‘Aiming to make India a global manufacturing hub by 2025.’

by Sricharan R 25 Feb 2021


The government of India is firmly putting its might behind the Indian automotive industry. Speaking at the 6th ACMA Technology Summit & Awards 2020 held virtually today, Nitin Gadkari, Minister for Road Transport & Highways & Minister for Micro, Small and Medium Enterprises, Government of India, offered much assurance.

The Transport Minister said: “The government is working towards making India a global automobile manufacturing hub in the next five years. We are confident of it because of the scrappage policy which we will have soon. Due to the scrappage policy, there will be the availability of more raw materials like steel, plastics, rubber, among other things. Keeping this in mind, this is the right time to create automotive clusters and particularly near port areas.

Gadkari said that scrappage policy will help in reducing pollution, and around one crore of vehicles are expected to be replaced. Referring to the theme of ACMA’s Technology Summit, he said: “The theme ‘Towards Atmanirbhar Bharat – Technologies for Sustaining Growth’ is perfect as the country is moving towards Atmanirbhar Bharat. The government recognises the auto components industry. The entire auto sector is a key driver and top contributor to making India Atmanibhar. There needs to be an increase in the local use of components. We have a clear policy to Make in India and Made in India. The component manufacturer has the possibility to make quality products and they have to be given a chance,” the minister said.

Adding more, “The increase in basic customs duty on certain import products is basically due to the fact to increase make in India. We need to make a good alternative for import suppliers. The current localisation level of the industry is around 70 % and we should try to increase it to 100%. This is the time to support making in India.”

Nitin Gadkari pointed out that India is the largest two-wheeler market and the country has the possibility to make 100% of Li-ion batteries in India. Currently around 81% of the Li-ion battery can be generated in India. He also mentioned that the government has started researching other alternative energy sources like aluminum, sodium, and zinc–ion. Also, it is also looking at the possibility of hydrogen fuel-cell, ethanol, methanol, and bio-CNG.

“We need to make the Indian economy self-reliant. FY2021-22 is expected to be a rebound of the Indian automotive industry,” he said. 

While Vinnie Mehta, Director General, ACMA gave the opening remarks, F R Singhvi Chairman, ACMA, Skilling & Mentoring & JMD, Sansera Engineering, Deepak Jain, President, ACMA & Chairman & MD, Lumax Industries were also present. Kenichi Ayukawa, President, SIAM & MD & CEO, Maruti Suzuki India delivered the keynote address.

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