Government of India’s various policy initiatives have paved way for the Indian machine tool industry to move further on the growth path and IMTEX 2019 & Tooltech 2019 will provide once in a lifetime opportunity for the manufacturing industry to make itself at par with global leaders, says V Anbu, Director General and CEO, IMTMA (Indian Machine Tool Manufacturers’ Association).
What is the current status of machine tool and metal cutting industries?
Indian machine tool industry is globally ranked 10th in production and 8th in consumption as per 2018 Gardner’s report on world machine tool consumption. Current market size for Indian machine tool industry is around $ 2.3 billion (Rs 14,692 crores), of which the domestic production accounts for almost 50 per cent of the total consumption. Machine tool production for FY 2017-2018 was around $ 1.1 billion (Rs 7,294 crores). There was a growth of around 26 per cent in production and around 27 per cent in consumption in FY 2017-2018. India’s machine tool industry has around 1000 members engaged in the production of machine tools, accessories, subsystems and parts.
The market size of India’s metal cutting sector during 2017-2018 was Rs 11,724 crore. Indian metal cutting industry has a market share of around 80 per cent. Around 47 per cent of metal cutting machines consumed in India are imported. India’s metal cutting sector contributed around 45 per cent of the total machine tool demand in India during 2017-2018. Machine tool production during 2018-19 would touch $ 1.3 billion (Rs 8,751 crores) and consumption may touch $ 2.6 billion (Rs 16,894 crores). Production is estimated to grow by 20 per cent and consumption may grow around 15 per cent during the period. Metal cutting industry is expected to grow at a CAGR (compound annual growth rate) of around 8 per cent in the next 3 years.
How is industry preparing itself for Industry 4.0? What role is IMTMA playing in this direction?
Industry 4.0 is a boon for manufacturing sector to ramp up their shopfloor activities and manufacture high precision products. From users’ perspective especially industry sectors such as automotive, power, defence, railways, aerospace, and many others, Industry 4.0 application has helped streamline operations by establishing connectivity between humans and machines to work seamlessly for the end product. Operators however need to learn and understand machine language for deriving optimum results.
Using Industry 4.0 enables OEMs and suppliers get an agility to quickly adapt manufacturing specifications and respond well to the changing standards. Plants which are enabled with Industry 4.0 will have robust monitoring systems for identifying potential maintenance issues before they cause downtime. Often customers seek to personalise the configuration of their products. Traditional manufacturing processes have limitations but with Industry 4.0 manufacturers can customise products as per individual needs besides shortening the delivery time.
IMTMA is holding a special pavilion on Industry 4.0 at IMTEX 2019. The pavilion will serve as a platform to see and experience all facets of implementation of Industry 4.0 including sensors, analytics, connectivity, automation, smart machines, digitization, Internet of Things (IoT), cyber security, and so on. Large companies will be showcasing their innovations in the Industry 4.0 pavilion.
Are Government initiatives such as Make in India, opening of defence equipment manufacturing for private sector, investments in infrastructure (roads, railways), etc creating demand for machine tools industry?
The ambitious growth plans of auto, auto components and capital goods industry will drive the demand for machine tools. The demand for machine tools will witness a robust growth in next 4-5 years from current levels on the back of these plans. According to Indian Machine Tools Manufacturers’ Association (IMTMA), production of Indian machine tools industry is projected to grow at a CAGR of about 20 per cent till 2020-21, whereas consumption is projected to grow at a CAGR of 15 per cent till 2020-21.To reduce the dependence on imports, given the sector’s growth potential, many machine tool manufacturers are expected to invest significantly in expanding capacities. Increase in capital spending will be supported by government policies, such as the ‘Make in India’ initiative and measures to improve transport infrastructure, which were highlighted in the recent budget.
On the eve of IMTEX 2019, what message would you like to give to exhibitors, visitors and the industry, in general?
The role of machine tools in economy as well as manufacturing cannot be ignored. Investments in machine tools will have a direct bearing on advancement of the nation as a whole. Government of India’s various policy initiatives have paved way for the Indian machine tool industry to move further on the growth path and IMTEX 2019 & Tooltech 2019 will provide once in a lifetime opportunity for the manufacturing industry to make itself at par with global leaders.
IMTEX 2019 is the best platform for technology exchange through collaborations. Many Indian companies have benefited by such transfer of technologies. Tie-ups and developing business networks in addition to collaborations and partnerships will drive manufacturing business forward. In terms of technology, IMTEX has always been a pioneer in showcasing technologies and solutions from across the globe and at IMTEX 2019 as well manufacturing and technology enthusiasts will have a lot to see, experience and learn regarding some of the emerging trends in manufacturing. The focus will be on productivity, precision and automation.