Automotive Tyre Manufacturers’ Association (ATMA) has sought policy level changes to double the export volume of tyres from India in the next three years, said a top official.
"We welcome competition. But, what we want is suitable policies that will give us a level-playing field,” said Satish Sharma, chairman, ATMA. “On exports, let me make it simple. Give me a policy that will double my exports.”
The changes have been sought by ATMA based on a third party report which would suggest measures on exporting tyres from India in large numbers. Thought Arbitrage Research Institute will submit its report in the next two months.
Right now, exports constituted 15% of ₹50,000 crore automotive tyre industry and it had the potential to double it in the next three years. Hence, the association sought a level-playing field to propel exports.
Stating that it was no longer an increased competition among the domestic big four — namely Apollo Tyres, Ceat Tyres, MRF and JK Tyres — he said global big four are setting up manufacturing units in India, while Indian firms are on expansion mode.
Mr. Sharma said the macro conditions are favourable to the Indian tyre industry with falling inflation, forecast of a good monsoon, Centre’s push towards infrastructure, falling level of crude prices and strengthening of Indian rupee.
Regarding demonetisation, he said it was a mixed bag and urged the Centre to implement the Goods and Services Tax (GST) soon so that the industry could focus on the festive season sales than getting bogged down with GST-related issues later.
Asked about the dumping of Chinese tyres, he said the price advantage enjoyed by the imported Chinese tyres will not be there post-GST.
Mr. Sharma also said ATMA was willing to partner with the Centre in skill development, road safety and development of North East as another rubber producing belt.
