Automotive sector apex body Society of Indian Automobile Manufacturers (Siam) on Thursday said that it has proposed to set up a South Asian automotive forum, with the participation of industry associations and government representatives from countries — Bangladesh, India, Myanmar, Nepal and Sri Lanka. The forum’s objective is to further trade and establish a strong automotive industry, along with a goal to widen and deepen the relationship between the automotive industries in all the five South Asian countries.
Siam has proposed this during the first meeting between the associations of all the five countries. The associations that participated in the meeting included Bangladesh Automobiles Assemblers & Manufacturers Association (Baama), Automobiles Association of Nepal (Nada), Myanmar Automobile Manufacturers and Distributors Association (Mamda) and Ceylon Motor Traders Association (CMTA), said Siam here.
Rakesh Sharma, chairman, Siam exports group, and executive director, Bajaj Auto, said, “A large share of our automobile exports, about 16% amounting to $1.8 billion per annum goes to these South Asian countries. Hence, it is important that a forum for discussions be established to ensure sustained and mutually-beneficial growth.”
According to him, several Indian automobile and auto component manufacturing companies have already established factories for manufacturing and assembly in these markets. “Now, the aim is to build a closer engagement within the South Asian automotive fraternity to support the development of an efficient value chain and serve the large customer base whilst meeting the objectives of the respective governments.”
It is is a full-stack four-point proposal that emphasises on an exchange of views and information on topics of mutual interest for all the participating organisations, organising joint conferences, seminars and trade shows, organising business meetings — between a manufacturer and manufacturer & supplier and manufacturer — and delegation visits to manufacturing units, testing and scrappage facilities. The proposed forum will also enable the participants to provide better inputs in shaping the automotive policies including homologation, scrappage, road safety and other developments in the mobility space. Sharing of infrastructure could also be envisaged, Siam said further.
