The recently concluded Asian Machine Tool Exhibition (AMTEX) in New Delhi gave an indication about the fast growing Indian machine tool industry.
27 Jul 2016 | 8983 Views | By Autocar Pro News Desk
The recently concluded Asian Machine Tool Exhibition (AMTEX) in New Delhi gave an indication about the fast growing Indian machine tool industry. There are currently around 700 machine tool manufacturers in India, of which the top 25 players contribute a 70% share.
The machine tool industry is closely ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
The recently concluded Asian Machine Tool Exhibition (AMTEX) in New Delhi gave an indication about the fast growing Indian machine tool industry. There are currently around 700 machine tool manufacturers in India, of which the top 25 players contribute a 70% share.
The machine tool industry is closely linked with the auto component industry, the latter constituting one of its biggest clientele.
The demand for machine tools is growing at a CAGR 15% annually, of which about 60% of the demand is addressed by annual imports, supported by a boost from the Make in India initiative. Domestic production has shown a strong growth of 24.1% in FY 2014-15 over FY 2013-14.
Forecasting the growth of the industry, Cyril Pereira, managing director, Reed Triune Exhibitions, said, “The forecast of the global machine tool market projects a 5.5% annual growth rate through 2019, driven particularly by expanding demand in China and other developing nations. India is perhaps all set to expand its reach to the global market to become a key player in the global machine tools industry.”
The total machine tool market is estimated at a value of US$ 181 billion (Rs 12 lakh crore) by the end of the current three-year period. Industry experts estimate India to stand 14th in the production and 10th in the consumption of machine tools in the world.
Highlighting the key takeaways from AMTEX Michael Mandl, CEO of Reed Exhibitions India explained, “The prime objective of our government's Make in India campaign is to bring more investment in India, creating infrastructure and manufacturing growth in the country. India needs to create 50 million new jobs to stay at its current unemployment level of 5 percent making easy for workers who want manufacturing jobs transitioning out of agriculture because service jobs require high level of education and professionalism. AMTEX provides the platform bringing in international companies to India to invest aiding to Make in India initiative, creating job opportunities. The automotive, machine tool and textile industries have been considered as among the fastest growing sectors in the last five years generating immense job opportunities.”
You may like: Indian auto component industry targets 8-12% growth in FY2017