Auto Expo to strike $100 mn biz deals
Over 1,000 participants, which includes 300 from 22 countries, will share space at the Auto Expo that begins on Jan 12.autos Updated: Jan 08, 2006 12:10 IST
Between the glitzy shows and new launches, the Eighth Auto Expo is expected to see business deals nearly double to cross the $100 million barrier this time, on the back of increased participation of component manufacturers, especially from foreign locations.
"The response is enormous this time and we expect that business deals, which valued around $55 million in the 2004 edition, will cross $100 million," Gurpal Singh, Deputy Director of CII, which is one of the organisers of the six-day event, said in New Delhi.
The auto component manufacturers, who will occupy as much as 45-55 per cent of the total 70,000 sq metres space, have seen participation rise by a big 40-50 per cent.
"It is one of the biggest event for many companies, many of which are small and hope to get most of their orders here," he said.
The Indian auto component industry, which is focussing more and more on achieving global quality levels, has been on a roll over the last few years with many international companies and suppliers sourcing components to take benefit of lower costs.
Major companies from the Indian auto component sector in the 2006 edition include TVS Group (50 per cent increase in space), Kalyani Group (300 per cent increase), Pricol, Goetze, Talbros Group, Essar Steel, Subros, Amtek, Clutch Auto, Jay Bharat Maruti, Sigma Group, Timken, Cummins, Minda Group and Hi-Tech Gears.
Many international component manufacturers have also shown interest and are participating for the first time this year. These include ABA (Sweden), Beijing East Group (China), Centro Esetro Camere Group (Italy), Chan Chao International Group (Taiwan), CWCE Group (Shanghai), Dow Corning (US), Frenos Electricos (Spain), IKIDO (Iran), Jetta Trade Group (Taiwan), Magna International (Canada) and Taiwan Hand Tools Group.
A recent study reveals that the Indian component industry can aspire to achieve at least $20-25 billion worth of global outsourcing business in the next decade, which coupled with a similar demand in the domestic market, will take the industry to an overall size of $40-45 billion.
Singh said over the last few years, the Auto Expo has proved to be a very effective event for providing a platform for convergence of auto majors from around the world "in a focused fashion, under one roof, for the benefit of automobile and component manufacturers."
Over 1,000 participants, which includes 300 from 22 countries, will be sharing space at the Expo. The foreign participants include 24 vehicle manufacturers, country-level participation from China, Germany, Italy, Taiwan and the UK.
The Expo promises exclusive pavilions for commercial vehicles, cars and SUVs, two-wheelers, apart from exclusive country pavilions from China, Germany, Iran, Italy, Taiwan, and the UK.
There would also be a Design and Technology pavilion, Alternate Fuel Technology Pavilion and also one housing vintage cars.
There will also be interactive sessions, where the best brains in the industry will share experiences and throw light on new technologies in special conferences and seminars.
First Published: Jan 08, 2006 12:01 IST