Advertisements


Engineering Industry
Among the Third World countries, India is a major exporter of heavy and light engineering goods, producing a wide range of items. The bulk of capital goods required for power projects, fertilizer, cement, steel and petrochemical plants and mining equipment are made in India. The country also makes construction machinery, equipment for irrigation projects, diesel engines, tractors, transport vehicles, cotton textile and sugar mill machinery. The engineering industry has shown its capacity to manufacture large-size plants and equipment for various sectors like power, fertilizer and cement. Lately, air pollution control equipment is also being made in the country. The heavy electrical industry meets the entire domestic demand.

Indian Engineering Community considers quality as the very essence of successful marketing of any product. Majority of Indian engineering firms are pursuing a systematic approach to quality control and standardization so as to carve out market position in the competitive world market place. Engineering industry in India has been constantly upgrading its technology base and diversifying its manufacturing range in tune with global market requirements. More than 2500 firms from the engineering sector have already acquired ISO 9000 accredition in areas such as casting and forging, automobile parts, machine tools, electrical machinery, primary iron and steel products, industrial machinery, IC engines, pumps, textile machinery, etc. to name a few. Simultaneously, Indian exporters are not lagging behind in adopting eco-friendly manufacturing techniques, which have become the word in developed world.

Engineering and Machine Tools: Status of Industry
Over the years, engineering industry in the country has registered a phenomenal growth to generate a strong base in a wide range of heavy and light engineering industries covering a broad spectrum of capital goods and consumer durable products. Bulk of capital goods required for power projects, fertilizer plants, cement plants, steel plants, mining equipment and petrochemical plants are being met from indigenous production. Construction machinery and equipment for irrigation projects, diesel engines, pumps and tractors for agriculture, vehicles, etc., transport are also being met from within the country. Engineering industries have also demonstrated their capacity to manufacture large size plants and equipments for various sectors such as power generation, fertilizers and cement.

The sale of construction equipment & machinery, cement machinery, chemical machinery and agriculture machinery were Rs. 1544 million, Rs.1353 million, Rs.18.52 billion and Rs.3480 million respectively in year 1999-2000.

Exports

Indian engineering industry has shown commendable performance on the export front over the year. Engineering exports went up from US$ 22 million in 1960-61 to US$ 6781 million in 2000-01. There has also been a marked shift in commodity composition as well as direction of exports. Developed markets of the West now account for 40% to total engineering exports, as against 9% in 1960-61.USA has emerged as the largest single buyer for Indian engineering products accounting for 18% of total exports. Other major markets include UK, Germany, Hong Kong, UAE, Singapore, and Malaysia. As regards composition, capital goods sector presently occupies a pride position. Its share to overall engineering exports has increased from 13% in 1960-61 to more than 33% in 1996-97. The same is also true for subcontracting items, such as forged and cast components, which offer unlimited prospects, on long-term basis, in industrialized countries all over the world.

Joint Ventures/Turnkey projects
Indian engineering industry has also been actively participating in the industrialization programmes of the developing countries. Several joint ventures have been set up in various countries, particularly, African plant and equipment, intermediate technology products. Indian engineering industry has also been successful in supplying turnkey projects for manufacturing several items of mass consumption like cement, paper, textile, etc.

Quality Control/Standardisation

Indian Engineering Community considers quality as the very essence of successful marketing any product. Majority of Indian engineering firms are pursuing a systematic approach to quality control and standardization so as to curve out market positioning in the competitive world market place. Engineering industry in India has been constantly updating its technology base and diversifying its manufacturing range in tune with global market requirements. More than 2500 firms from the engineering sector have already acquired ISO 9000 accredition in areas such as casting and forging, automobile parts, machine tools, electrical machinery, primary iron and steel products, industrial machinery, IC engines, pumps, textile machinery, etc. to name a few. Simultaneously, Indian exporters are not lagging behind in adopting eco-friendly manufacturing techniques, which have become the buzzword in developed world.

Major manufacturers of machine tools have now developed CNC machine tools such as machining centers, milling centers, turning centers etc. The machine tool industry has also commenced production of high productive machines such as industrial robots, flexible manufacturing system, etc. Indigenous industry is not only exporting general-purpose machines to advanced countries but have also commenced export of CNC machine tools. Overall production of machine tools has increased from just under Rs. 10 million in 1950-51 to Rs.15.20 billion in 1999-2000. Major export markets for machine tools are USA, Germany, Bangladesh, UK, UAE and Italy. The exports of construction equipment & machinery, cement machinery and agriculture machinery were Rs. 7.0 million, Rs. 23 million and Rs.566.0 million respectively in year 1999-2000.