Automobile industry wants stable policy from govt

Automobile industry leaders Wednesday asked the government to provide clear and stable policy framework, saying it should not "become a crisis for the industry" whenever there is a regulatory change.

Heads of Maruti Suzuki India, Mahindra & Mahindra and Tata Motors were of the opinion that having short, medium and and long-term policy road map will help automobile and component makers plan capacities and align capital investments accordingly.

Speaking at the annual convention of Auto Component Manufacturers of India (ACMA), Mahindra & Mahindra Managing Director Pawan Goenka cited examples of BS-VI emission norms adoption and implementation of BS-IV across India to highlight how regulatory changes can impact the auto industry.

"Regulatory environment will remain very aggressive. We have seen that already and it will not change. Whether it is safety or emission or even other things, and at times the change is expected within a time period that we in the industry do not consider enough lead time," he said.

Asking the government to provide a long-term road map "so that we can prepare for these changes", Goenka said, "Every change that happens (it) should not become a crisis for the industry."
Stressing on the need for a well defined road map, he said, "A clear and stable policy framework for the new technologies will give confidence to the principal investors in OEMs and component manufacturers."
"Let us keep all options open -- electric vehicles (EVs), hybrids, CNG, methanol and ethanol."
Seeking support from the government for the development of new technologies, he said, "Adoption of any new technology needs adequate infrastructure to take off and attain critical mass."