[darklord]

At a time when India's auto industry is reeling under a prolonged slump, component makers have something to cheer as exports grew 4.4 per cent to touch $9.69 billion in 2013.

Despite a decline in import by 5 per cent to $12.70 billion last year, the country remained a net importer of components, data issued by the Automotive Component Manufacturers Association of India (ACMA) showed.

"80 per cent of our exports are to global original equipment manufacturers (OEMs) and tier I companies. Growing credibility of domestic component makers have led to many global companies setting up their sourcing centres in India," ACMA executive director Vinnie Mehta told PTI.

http://profit.ndtv.com/news/industri...billion-384183

[sagarpadaki]

This is good news. In the midst of sinking economy, these exports will help towards growth of GDP

[GTO]

Learn something new everyday....those are incredibly impressive numbers. To put things in perspective:

$9.7 Billion = Nearly Rs. 60,000 crore rupees

That's more than the turnover of Maruti and about 40% of the turnover of all car manufacturers in India.

[Warwithwheels]

From the second piece of information in the article, it is also imperative to note that the import numbers are significantly higher than the export numbers.

Extrapolating the numbers posted by GTO, it is interesting to note that the import of components compares to about 50% of the turnover of all car manufacturers in India!

[SmartCat]

Samvardhana Motherson (www.motherson.com) alone is expected to clock $5 billion turnover this financial year. However, most of the revenues are from its overseas subsidiary. I think over a period of time, they will move some of its manufacturing operations to India (and then export from here).

[GrammarNazi]

Whether it is exports or domestic consumption, the cars that were sold in the past 5 years WILL need part replacements.

Do read something interesting I posted HERE

Companies are going to milk the post-warranty consumer to the fullest.

An authorised FIAT dealer I know publicly admitted in another FB auto forum that his profit in spare parts is 8%. IMO, if you consider that every cycle is even 1 week (and I'm being VERY generous with the cycle, its probably 3 days), that converts to a profit of 8x52=416% p.a.

Moreover FIAT has recently notified that the service intervals have been reduced to 10,000kms from the previous 15,000kms for the national engine - 1.3L mjd , citing conditions like bad driving/roads and even bad weather(yep, you read it right, ala somwhat like VW said for their DSG Gearboxes!).

So obviously the revenues are only going to grow. No wonder they can plan to add 500 new dealers by 2014!

[anu21v]

Originally Posted by GTO

Learn something new everyday....those are incredibly impressive numbers. To put things in perspective:

$9.7 Billion = Nearly Rs. 60,000 crore rupees

That's more than the turnover of Maruti and about 40% of the turnover of all car manufacturers in India.

It looks impressive to see... but it will be worthwhile to find out how much % of that Export was coming from import. Going by what i have seen (So far) with Tier-1 suppliers, roughly 40% of that would be import content. So net Forex Gain to India would be roughly 60% of that i.e. 36,000 crore. Still very impressive.

[turbospooler]

Not to sound like a spoilsport but the dollar appreciated approx 11% during the 2012-13 to 2013-14 period. Thus, we can discount the sales by that amount. However, the YoY increase is only 4.4%!
So we can safely assume that forex gain was the only source of increased revenue and in fact, the export orders are reducing.
Though, when the dollar appreciates, the foreign firms are the first to invest here or place orders here as they can get more bang for their buck. But in this case it doesn't seem that way.
Let's hope we see some good days for our beloved industry