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India plans incentives to double auto exports in next five years: Report

Govt wants to promote exports and has identified some sectors, including autos and textiles, for which incentive plans are being designed, said a senior government official

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Auto sector exports touched $27 billion in the fiscal year ending March 2019, led by companies including Ford Motor, Hyundai Motor, Maruti Suzuki, Volkswagen and Bosch, which analysts say stand to gain the most.

Aditi Shah & Aftab Ahmed | Reuters New Delhi

3 min read Last Updated : Jun 29 2020 | 6:42 PM IST

India is drawing up an incentive scheme for the autos sector aimed at doubling exports of vehicles and components in the next five years, four sources with direct knowledge of the matter told Reuters.

The Department of Heavy Industries (DHI) has sought feedback from auto industry groups on the initial proposal, which suggests giving incentives over five years to increase local production and procurement for export, the sources said.

The incentives would be based on the sales value of vehicles or components and eligible companies would need to meet certain conditions, including a minimum revenue and profit threshold and presence

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