Indian auto mobile industry is one of the leading contributors to the Indian economy. Since 1991 the growth of Indian automobile industry has seen no limits. From that year onwards the FDI percentage has gone on to score a perfect 100% in India. Various major brands has come to India since then which has led to a tremendous growth in number of manufactures auto parts in India.
There are various reasons due to which manufactures auto parts in India has increased rapidly over years:
Investment over last few years:
As major automobile brands including the likes of Harley Davidson, KTM and Mahindra has invested heavily in India over past few years and the total FDI inflow or investment has gone on to reach high figures of US$ 9,079 million from year 2010 to 2016 and it is estimated to be around 4 % of the total FDI I flow in US dollars. This increase in foreign investment has boosted India’s economy heavily and seeing this growth major other brands have tried to invest in country which is a good news for the economy. The production base of Indian automobile has touched 16 million units in 2 wheelers only and ca be used to estimate the overall growth.
Various benefits which have impacted India due to increase in manufactures of auto parts in India.
Read More Related This :Most of the machines are prone to damages due to various working environment problems, not only environment problems but human mistakes are too responsible for any machine damages. These damages include a range of troubles including complete malfunction to as small as a nut or bolt break. One of such damages is Cylinder breakage or cylinder damages.
- Easy and cheap skilled labor availability in India.
- Space and resources availability.
- Easy Government regulation for Foreign Investment.
- Largest three-wheeler market in the world
- World-wide Second largest two-wheeler market
- Tenth largest passenger car market across the globe
- Fourth largest tractor market for Asia
- Fifth largest commercial vehicle market across the world
- Fifth largest bus and truck segment producers in world
Investment over last few years:
As major automobile brands including the likes of Harley Davidson, KTM and Mahindra has invested heavily in India over past few years and the total FDI inflow or investment has gone on to reach high figures of US$ 9,079 million from year 2010 to 2016 and it is estimated to be around 4 % of the total FDI I flow in US dollars. This increase in foreign investment has boosted India’s economy heavily and seeing this growth major other brands have tried to invest in country which is a good news for the economy. The production base of Indian automobile has touched 16 million units in 2 wheelers only and ca be used to estimate the overall growth.
Various benefits which have impacted India due to increase in manufactures of auto parts in India.
- Employment opportunities for Indian workforce: As the number of companies have increased so the job opportunities; every company need skilled workforce to carry out its operations smoothly and it is a good opportunity for Indian workforce to get a job.
- Trend in sector of Employment: As the sector is growing heavily so more number of brands are setting up their plants in India for the same industry hence it is creating a trend in terms of employment due to rapid growth of companies and so as the jobs.
- Economic growth for country: More person getting job means a better economic outlook for the country and hence leading to economic growth for the country.
- More Foreign Money: Many multi national brands are coming to India and so is their money. It is a well-known fact that foreign investment or FDI is backbone for any developing nation and so it is for India. Indian government is highly benefited from higher amount of foreign investment in country as it gives them an edge in doing business with other countries.
Read More Related This :Most of the machines are prone to damages due to various working environment problems, not only environment problems but human mistakes are too responsible for any machine damages. These damages include a range of troubles including complete malfunction to as small as a nut or bolt break. One of such damages is Cylinder breakage or cylinder damages.