This slide will help you to understand the benefits to setup a automobile plant in India.

1. Presented By:-
Atmdeep Das
Bibin K Ponnachan
Aman Upwan
Arun Gupta
Kushank Varshnay
Prashant Mishra
Amanur Rahaman
Ankur Verma
Anshu Sharma
Joshna Chowdhury
Megha Sharma
Pooja Sirohi

2. According to the operations dept. we would
like to set up our plant in India.
India will become the third largest automotive
market in the world by 2016 ahead of Japan,
Germany and Brazil, riding on its
domestic automotive sales.

3. • Commercial vehicles.
• Mid ranged passenger vehicles.
What we are going to produce:-

4. • 3rd largest investor base in the world.
• Robust legal and banking system.
• 2nd largest pool of certified professionals and highest number of
qualified engineers in the world.
• Investment infrastructure.
• Automotive Industry - Double Digit Growth in all segments.
• India fast emerging as hub for Global Vehicle Programs.
• Good EXIM and foreign trade polices.
Why India??

5. • 2020: USD 113 billion Auto Component Industry.
• Growing Engineering and IT capability for Designing &
Manufacturing.
• Opportunity to Partner in Product & Process Innovation.
• Opportunity to Outsource for OEMs/T1s and Aftermarket.
Why India??

6. Robust Indian Automotive Industry:-
• Manufacturing and Imports Free from Licensing and Approvals.
• WTO compliant policies (no import restrictions and reduced tariff
levels)
• Robust Legal system and stable Foreign Exchange regime.
• Joined UN-ECE WP 29 for Global Standard in Technology.
• Increased budgets for R&D activities.
• 100% FDI permitted without prior Govt. approval.

7. • The production of all categories of vehicles has grown at a rate of
16% per annum over the last five years.
• Export of vehicles: Indian automotive industry is now finding
increasing recognition worldwide. The automobile industry crossed
USD 1 bn. mark in 2003-04 and reached 2.28 bn. in 2005-06.
• Indian auto industry is quite robust with around 500 firms in the
organized sector producing practically all parts and more than
10,000 firms in small unorganized sector.
• Growth trends:- The turnover of auto component sector has grown
form a level of USD 3.1 bn. in 1997-98 to USD 9.8 bn. in 2003-04. Low
labor cost and availability of skilled labor and high quality
consciousness among Indian vendors have spurred the growth.
Indian Automotive Industry:-

9. India is fast
emerging as
a global R&D
hub
Opportunitie
s for creating
sizeable
market
segments
through
innovations
Small-car
manufacturin
g hub

13. Presence of world renowned supporting
industries:-
• Aisin Seiki Co.
• BorgWarner
• Continental
• Delphi
• Denso Corporation
• Eaton
• FAG
• Faurecia
• GKN
• Honda Foundry
Co. Ltd.
• Honeywell
• Knorr Bremse
• Koyo
• Magna
• Magneti Marelli
• Mando
Corporation
• Meritor
• Mitsuba
Corporation
• NHK Spring
• Robert Bosch
• USHIN
• Valeo
• Visteon
• Yazaki
• ZF
• Showa
Corporation
• Sumitomo
• Wiring
• Toyoda
• Gosei

14. Tata Motors:- TATA Nano among the top 10 best sellers.
Presence of NANO plant is surely a
advantage:-

15. 0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
2007-08 2008-09 2009-10 2010-11 2011-12 2012-13
Passenger Vehicles Commercial Vehicles
Growth trend of domestic passenger and
commercial vehicles:-
Source:- http://www.siamindia.com/scripts/production-trend.aspx

18. • Domestic growth sales increased up 12.24% in the year 2012-13
amounting to 17,376,624 vehicles.
• In the month of only March 2012, domestic sales grew at a rate
of 10.1% as compared to March 2011.
• Passenger Vehicles segment grew at 4.66% during April-March
2012.
• Passenger Cars grew by 2.19%.
• Utility Vehicles grew by 16.47% and vans by 10.01%.
• In March 2012, domestic sales of Passenger Cars grew by 19.66%
over the same month last year.
Growth statistics of passenger
vehicles:-

19. • The overall Commercial Vehicles segment registered growth of
18.20% during April-March 2012.
• While Medium & Heavy Commercial Vehicles (M&HCVs)
registered a growth of 7.94%.
• Light Commercial Vehicles grew at 27.36%.
• In only March 2012, commercial vehicle sales registered a
growth of 14.82% over March 2011..
Growth statistics of commercial
vehicles:-

20. Auto
policy
2002
AMP
2006-16
NATRiPS
Dept. of
heavy
industries
& public
industries.
Budget
FY 16
National Automotive Testing and R&D Infrastructure Project
(NATRiP),

21. Gujrat Tamil
Nadu
• Affordable taxes.
• Connectivity.
• Stable govt.
• Friendly policies.
• Factors of production.
• Electricity.
• Well developed port.
• Healthy competition.
Gujrat our destination:-

22. We need the helps from:-
• HR dept.
• Finance dept.
• Marketing dept.
• IT dept.
• Logistics dept.

23. What we are going to do:-
• Set up a plant of passenger and commercial vehicle.
• New product innovation.
• Research and development activities.
• Quality management.
• Increase the capacity of production.
• Just in time and kaizen model to be followed.
• Integration of all the departments.

24. Challenges:-
• Raising Capital & Scaling Capacities
• Infrastructure Challenges
− Roads
− Ports
− Power
• Inflation
• Availability of Skilled Manpower, labour union, strikes.
• Managerial Depth across Tiers
• R&D Competence