The automotive component manufacturers association (Acma) has signed up a memorandum of understanding (MoU) with the Confederation of Indian Industry (CII) to start new cluster training programmes to achieve zero-defect quality to turn India into a high-quality auto component manufacturing hub.
“The new cluster training programme will help companies achieve zero-defect quality of a range of products for domestic market and exports,” said Ramesh Suri, Acma president and chairman of Subros, a company into auto airconditioning systems manufacturing.
He said the first cluster training programme involving about 5-6 companies each from Acma and CII would start this year. It will be of one-to-two years duration, involving sharing of best production practices and systems and upgradation of technologies.
Acma director general Vinnie Mehta said the cluster training programme, launched in 1998, has 245 centres across India and covered 3,000 manufacturing companies, including small scale ones from tier II sector.
For the first time, out of the 450 Indian companies covered under the cluster training programme, 14 have won the coveted Deming prize, the Japanese global quality award that recognises contribution to total quality management (TQM) and businesses that have successfully implemented TQM.
“Achieving zero-defect components will help us earn more exports,” Mehta said. Last year, Acma exported $10.2 billion worth of auto components. This year it is aiming for 15 per cent growth.
Mehta said India was targeting the Chinese market, which would import $20 billion and $7.5 billion worth of auto components over the next five and two years, respectively. Last year, Acma sold $300 million worth of auto components to China.
Suri said Acma was expecting single-digit growth this financial year. He said by 2020, Acma targets exports of $35-40 billion.