Date:07/09/2007 URL: http://www.thehindubusinessline.com/2007/09/07/stories/2007090752080300.htm

Back Govt plans to set up centres of excellence

To promote research and development in auto sector

Kamal Narang

(From left) Mr Keshub Mahindra, Chairman, Mahindra Group; Mr Brijmohan Lal Munja, Chairman, Hero Honda Motors Ltd; Mr Rahul Bajaj, Chairman, Bajaj Auto; and Mr R. Seshasayee, Managing Director, Ashok Leyland, at the AGM of ACMA, in the Capital on Thursday. —

Our Bureau

New Delhi, Sept. 6

The Government is planning a slew of Centres of Excellence to promote research and development (R&D), and automotive testing infrastructure in the country.

“We will be establishing nine Centres of Excellence to promote R&D in the auto sector and this would definitely help the small and medium enterprises in the component sectors to acquire latest technology at the lowest cost,” the Union Minister for Heavy Industries and Public Enterprises, Mr Santosh Mohan Dev, said while addressing the Auto Component Manufacturer Association’s annual convention here.

Kicking off the broad theme of partnership with the original equipment manufacturers in design and development of the components as the way forward for the Indian auto component makers, Mr R. Seshasayee, Managing Director, Ashok Leyland, said that if the component companies were to overcome the current challenge of profitless growth that the industry was going through, it could be only through greater engagement with the vehicle manufacturers.

This could be by way of contributing inputs on design of components and developing testing capabilities. Acknowledging that some of the component makers had already started partnering with the OEMs, he reiterated that such level of engagement must be achieved across the industry.