INDIA TO BECOME STRONG MANUFACTURING BASE
HEAVY INDUSTRY MINISTRY CONSULTATIVE
COMMITTEE MEETS
Shri Balasaheb Vikhe Patil, Minister of Heavy Industries
and Public Enterprises has emphasised the need for strengthening
the manufacturing sector in India so that the capacities built
up over the years are optimally utilised. He elaborated that in
a liberalised environment the industry and the Government have
to work together in partnership to not only meet the demand of
the domestic economy but also to play a meaningful role in the
globalised market. Shri Patil was addressing the Parliamentary
Consultative Committee attached to his Ministry last evening.
Dr. Vallabhbhai Kathiria, Minister of State for Heavy Industries
and Public Enterprieses were also present at the meeting.
An Inter-Ministerial Committee (IMC) set up in the
Ministry of Heavy Industries & Public Enterprises to deal
with issues relating to development and growth of capital goods
has already started working. The Committee will inter-act with
various industry associations and make suitable recommendations
to the Government to resolve the issues. Regarding the present
status of the capital goods industry, the members were informed
that a multi-pronged approach is needed to tackle issues affecting
the capital goods industry which include fiscal structure, infrastructural
constraints and internal weaknesses of the manufacturing units
in the country. The IMC will meet the industry associations and
other Government Departments regularly to provide necessary support
to the industry in removing the impediments in growth and development.
The industry on its part will have to put extraneous efforts to
improve quality and productivity of its operation, to improve
its competitiveness to contemporary levels to provide goods and
services of international quality to the domestic customer as
well as make a dent in the export market. The industry will need
to upgrade itself to meet quality standards conforming to ISO.
The IMC will meet shortly to draw up an action plan
outlining strategies for development and growth of different segments
of the capital goods industry. The Task Force on export for capital
goods will identify markets for export and working towards removing
the constraints speedily for giving the desired thrust to export
of capital goods and services.
The Minister told the Committee that the Automobile
Cess Committee of the Development Council on Automobiles has approved
several new project proposals for upgradation of automotive testing
facilities. An expenditure of Rs.50 crore has been approved for
this purpose. It has also been decided to immediately release
funds amounting to Rs.26 crore against the newly sanctioned projects
and the ones which are under implementation. These projects would
substantive help the testing agencies in testing automobiles for
Euro II and Euro III norms as also for world-class safety standards
being implemented in the country. The Committee was informed that
the Department of Heavy Industry in consultation with Society
of Indian Automobile manufacturers (SIAM) and Automotive Component
Manufacturers Association (ACMA) has formalised a major upgradation
plan for testing the infrastructure in the country. The plan involving
setting up of futuristic and state-of-the-art infrastructure will
cost approximately Rs.1500 crore and will be established over
a period of eight years.
Earlier, the meeting observed
two minutes silence in memory of Shri Atmaram Patel, Member of
the Committee who died recently.
