Indian Machine Tool Manufacturers’ Association (IMTMA), Chairman — Exhibitions, Jamshyd N Godrej said “the sector is witnessing huge demand for products from the manufacturing sector, but owing to capacity constraints machine tool manufacturers are unable to meet the demands.”
The industry needs to access funds at lower rate of interest so that they can expand their capacities rapidly to meet the growing demands from user industries like automobile and auto components sector. It would also help the industry compete with global companies effectively, he added.
Talking to Deccan Herald on the sidelines of IMTEX 2011 and Tooltech 2011, he said the industry needs to invest at $1 billion in the next three to five years to meet the growing demand from the automobile sector, which is expected to see a total volume of 5.5 million passenger cars and 25 million two-wheelers by 2015.
“The IMTMA in its pre-budget memorandum has asked for setting up of machine tool clusters with facilities like design and technology centres and common facilities so as to help the industry meet global standards,” Godrej said adding a corpus of Rs 2,000 crore has been suggested to enable the sector set up clusters in various Indian cities.