Confederation of Indian Industry (CII) organised a one-day international conference on Advanced Technologies in Auto Industry at Gurugram recently. Several dignitaries spoke at the seminar, which was focused on India’s manufacturing industry, its competitiveness and its impact on the automotive industry. The event started with the inaugural address of Devender Singh, Principal Secretary, Industries & Commerce, Government of Haryana, who shared, “Haryana government has undertaken all-encompassing initiatives to facilitate the industry to flourish in the state. It aims to create a regime where greater trust is posed in the entrepreneur.”
Growth potential of auto sector
The Indian government is on the lookout for partners to create industrial estates with the smartest infrastructure to tap the frontier end of the auto sector, which is aerospace. The government would incorporate the suggestions from the industry that are generated in the CII platform. Speaking on this, Sudhir Rajpal, MD, HSIIDC & Director General, Industries Department, Government of Haryana, said, “The auto industry has the capacity to entirely change the economic landscape of any country. Government and the industry have to become partners to realise optimum growth potential of the auto sector through latest technology.”
Stressing further on the importance of change in the automotive industry, Arun Bhatia, Chairman, CII Haryana State Council & Managing Director, India Region, United Technologies — Climate, Controls & Security, said, “Digitisation, increasing automation and new business models have revolutionised other industries, and automotive will be no exception. These forces are giving rise to four disruptive technology-driven trends in the automotive sector: diverse mobility, autonomous driving, electrification, and connectivity.” He further shared that stricter emission regulations, lower battery costs, more widely available charging infrastructure and increasing consumer acceptance will create new and a strong momentum for penetration of electrified vehicles in the coming years. Bhatia said the speed of adoption will be determined by the interaction of consumer pull and regulatory push, which will vary strongly at the regional and local level.
Recognising that automotive manufacturing specifically is undergoing a massive change, Babu Khan, Regional Director, CII Northern Region, said, “The manufacturing sector promises to be one trillion dollar industry by 2025. The GDP contribution of the auto industry promises to reach 25% by 2025, making it imperative to fuel its growth with advanced technology, better regulatory environment, R&D, and innovation.”
He also stressed on CII’s endeavour to help Indian industry remain abreast with the global technological and manufacturing developments and mentioned that the manufacturing sector is at the centrestage of the economic agenda of the Government of India as well as the State Governments and a number of initiatives in the form of policy amendments, procedural simplifications and promotional measures have been taken in the recent months. Referring to the ‘Make in India’ campaign launched by the Prime Minister in September 2014 as one of the most powerful and visionary initiatives launched, he added that CII is deeply engaged with the ‘Make in India’ campaign and is supporting the government’s reform agenda to attract investments in the manufacturing sector. Khan, further mentioned that CII has formed a task force on ease of doing business and is glad to see that Government of Haryana is progressively working towards improving ease of doing business in the state.
Skill development programmes
Another important topic discussed at the seminar was the need for skill development programmes in the Indian automotive sector. Elaborating on this, Makoto Yokoyama, Director – Factory Automation & Industrial Division, Mitsubishi Electric India, said, “India is one of the most promising destinations for investment today.” He also added that the Government too seems to be more passionate towards industrial growth with the recent ‘Make in India’ campaign. He touched upon the point that his company is running several skill development programmes as an outcome of the industrial strategy, to make it cost-effective for the customers through 6 technical centres in India.
Stressing further on the need for skill development programmes, Dr Wilfried G Aulbur, Managing Partner—India, Chairman—Middle-East & Africa and Head—Automotive Asia, Roland Berger, said, “The auto industry needs to have a skill base with adaptive thinking, new business models, investment in up-skilling and reskilling the workforce, have a clear roadmap to go forward and fulfill the futuristic growth demands of the industry.” The event also witnessed a release of the report on ‘Automotive Advanced Manufacturing: Taking quality and productivity to the next level amid severe industry disruption’.☐