The Auto Ancillary Industry
India is currently the sixth largest passenger car producer in the world and the automotive industry is one of the key drivers of the Indian economy. The component industry holds a significant place in the growing Indian economy.
The component sector clocked a turnover of US$ 39.7 billion, recording a CAGR of 8 per cent during the period of 2008-2013. The industry is expected to grow up to USD 115 billion by 2020, with increase in vehicle production. Of this, the domestic turnover expected to touch USD 85 billion and exports USD 30 billion. The component industry is expected to become a significant contributor - 3.6%, to India’s GDP, up from the current level of 2.2%. To achieve this potential, the industry requires additional skilled manpower of over 1 million and cumulative investment of over USD 35 billion.