Saga of Indian Tire Industry
The ‘Open Economy’ policy mooted by the Indian government in 1991 was a blessing in disguise for the country’s industry and trade. This decision turned out to be a literal formula of ‘Open Sesame’ for multinational companies (MNCs) to make their presence felt in India.
A prime beneficiary was the segment of manufacturers and dealers of automobiles. Consequently, all the entities associated with this segment like OEM (original equipment manufacturer) or ancillary and spare parts supplier gained from these trends.
The industry of car tires India witnessed a steep rise for all the products and allied services like retreading. Major makers of two and four-wheeler as well as numerous other commercial vehicles from across the world set up their units in India.
To suit the needs of these automobiles rolling out from different plants across the country, every car tire manufacturer geared up with the latest technologies. Alongside the in-house research and development (R&D) facilities, a breakthrough was achieved in the making of radial tires in India.
Despite the weak rupee and other recessionary global trends, the Indian tire industry has never looked back. On a confident note with an optimistic outlook, it has catered to every new generation vehicle that hits the road.
High-quality standards have successfully steered the Indian tires to explore markets. With both the import of raw materials and export of products being delicenced, the tire industry in the country has achieved commendable landmarks.
Tubeless tires have captured a lion’s share in the export market. Experts and certified market analysts have predicted the demand for tyres to grow by 6 to 8 percent during 2014-15.
There has been a constant demand for Indian tires in the segment of two-wheelers and commercial vehicles like trucks and buses. Evident is the fact that tire exports from India grew by over 7.5 percent during 2013-14 and the industry is poised to meet the challenges of the future.