Rising dollar makes Indian engineering exports competitive ; IESS 2014 to net over Rs 3,000 crore worth orders.
Rising dollar makes Indian engineering exports competitive ;
IESS 2014 to net over Rs 3,000 crore worth orders.
With strong dollar making imports from India cost effective for global buyers, business orders worth over Rs 3,200 crore are set to be bagged by exporters at the India Engineering Sourcing Show (IESS) which opened in Mumbai today with a significant participation of manufacturing firms from the United States, Germany and several other countries from Asia and Africa. Speaking after inaugurating the 3rd edition of IESS, the Union Minister of State for Commerce & Industry Mr. E M S Natchiappan said there is great potential for Indian firms to push up exports. He said the government of India has earmarked an annual outlay of Rs 300 crore for promoting Brand India through different schemes like the Market Access Initiatives. The Minister also said that to promote the strength of the Indian Engineering industry, the IESS will be held in different parts of the country every year. Mr. Natchiappan also unveiled the new logo of Indian Engineering Brand in the presence of over 1000 delegates and 500 exhibitiors.
Mr. Natchiappan also hoped that with the operationalization of Delhi-Mumbai Industrial Corridor, Amritsar –Kolkata Industrial Corridor and the proposed Bangalore – Mumbai corridor, manufacturing activity will get the required boost to improve its share in the GDP.
" An estimated $500 million business is in the offing with leading multinationals willing to source from India. The strengthening of the US Dollar vis-a-vis the Indian Rupee has made sourcing from India more cost effective and major global players are ramping up procurement plans from India," Chairman of the EEPC India, Anupam Shah said. This sentiment has been seconded by global corporates like ABB of Switzerland, Claas from Germany, Danfoss from Denmark, Kubota from Japan, Cummins and Pentair from the United States, which have deputed their senior managers to scout for opportunities.
The IESS initiative, being organised by the EEPC India (formerly Engineering Export Promotion Council) with the support from the Union Commerce Ministry, is taking place at a time when India's domestic manufacturing industry is facing a down turn. However, even while domestic demand was sluggish, the engineering exports registered a growth of 15 per cent during December 2013. India’s engineering exports in 2012-13 aggregated to US $ 56 billion . With all out push and improvement in the major markets of the US and Europe, the shipments this year may well go above US$ 62 billion.
One of the highlights of the event is a large contingent of the COMESA -the largest economic bloc of eastern and southern Africa which has an annual import bill of USD 32 billion. Trade and industry ministers from several key African countries like Uganda, Congo and Zambia have descended on IESS, inviting investment from the Indian entrepreneurs, particularly in tapping the rich natural resources of Africa.
IESS 2014 focus sectors include automotive components, industrial and electrical machinery, subcontracting and industrial supply and R&D for technological advancement. As part of the three day event a special sessions have been organized for business opportunities in the Eurasian region, German Business day and PSU vendor development meet.