Now is the time to invest - PM Modi urges auto industry

Prime Minister Narendra Modi today promised the full backing of the government of India to the industry in its efforts to make India a global auto manufacturing destination. Speaking at the Bharat Mobility Global Expo in New Delhi, Modi said the government is setting in place the right policy framework for the sector's growth.

“We have a clear intent: We want to develop a total ecosystem for the auto sector in India. We are supporting FDI, technology transfer and global partnerships in the auto sector,” he said, adding that the sector has attracted $36 bln FDI in four years and calling India the ‘destination’ for anyone who wants to work on mobility.

Modi also reaffirmed the government’s commitment to energy transition, and said there is a need to take up battery manufacturing on a mission mode, and said the government remains committed to EV, green technology and biofuel.

“This is the right time for big ticket investments in this sector,” he said, urging the industry to focus on beefing up India’s battery sector with indigenous technology.

“We must work on innovations that can focus on battery and storage systems with available materials,” he added. “We will bring in the right policies, but the industry has to take advantage of them.”

He said the PLI Scheme generated over 1.5 lakh jobs, and said India represents an unrivaled opportunity for the industry due to its position as a young, growing economy.

“Several factors driving India’s mobility such as an increasing middle class, rapid urbanisaiton, infrastructure, affordable vehicles and a large youth population. India has both ingredients for growth - need and aspiration.”

“The coming time belongs to the East, to Asia, to India. The journey to a developed India will involve a multiplication of the auto industry in India. The growth in India is opening doors of opportunity for the auto industry,” he added.