There are about 500 firms in the industry, employing over 25,000 people. The industry has a collective annual turnover of over Rs. 50 crore. The industry, which is considerably big in size, largely manufactures various types of auto parts, like engine parts, steering wheels and brakes, among other products .
“This is an old industry, which mostly comprises of micro units that sell their products to major automobile manufacturing brands. We also sell our products to various other manufacturers all over the country,” said Sanjeev Singh, one of the manufacturers.
“The major reason for the slowdown in growth of this industry is the lack of trust between the manufacturers. There is no co-ordination between them, which results in a lack of unity in the community, obstructing the smooth functioning of the industry. We have to face various other issues due to this problem,” he added.
“We are also facing problems like lack of linkages with technical and testing centres as well as lack of promotion and exports of products. Moreover, we do not produce all automobile parts. We are unable to find solutions to our problems due to lack of co-ordination between the industrialists,” said Sagar Kumar, another manufacturer.
“There should be an association to represent this industry, and to help develop a certain level of trust between the manufacturers. It could also bring forward the problems and demands of the industrialists, and help them grow, ” he said.