In a bid to further trade and establish a strong automotive industry in South Asia, Society of Indian Automobile Manufacturers (SIAM) proposed to set up a South Asian automotive forum, with the participation of industry associations and representatives in the government from atleast five countries — Bangladesh, India, Myanmar, Nepal and Sri Lanka.
According to apex industry body, the proposed forum would widen and deepen the relationship between the automotive industries in all the five South Asian countries. It would also enable participants to provide better inputs in the shaping of the automotive policies including in the critical areas of homologation, scrappage, road safety and other developments in the mobility space, claims the organisation.
“A large share of our automobile exports, about 16 per cent amounting to $1.8 billion per annum, goes to these South Asian countries. Hence, it is important that a forum for discussions be established to ensure sustained and mutually beneficial growth,” SIAM Exports Group Chairman Rakesh Sharma, who is also executive director at Bajaj Auto said. Several domestic automobile and auto component manufacturing companies have already established factories for manufacturing and assembly in these markets, he noted.
The SIAM proposed the setting up of the forum during the recently held first meeting between the associations of the five countries. Associations that participated in the meeting included Bangladesh Automobiles Assemblers & Manufacturers Association, Automobiles Association of Nepal, Myanmar Automobile Manufacturers and Distributors Association and Ceylon Motor Traders Association (CMTA).