Auto Companies in India: Union Minister Nitin Gadkari said the government’s mission is to create India the number one automobile manufacturing hub in the world and make a Rs 25 lakh crore auto sector industry.

Gadkari addressed this in an event at the Vibrant Gujarat Global Summit in Gandhinagar.

Mr. Gadkari suggested auto companies in India should invest in clean technologies, especially in electric vehicles, otherwise, they will “miss the bus”.

India currently stands at the world’s third position successfully surpassing Japan in terms of automobile manufacturing and the aim is to stand at the number one position he said.

Gadkari marked the importance of good infrastructure, water, power, transport, and communication for the development of capital investment, industry, and agriculture.

Air Pollution

Focusing on air pollution that major cities are facing, Gadkari said, that as a transport minister, we are responsible for 40% of air pollution. We import eight percent of fossils. In India, 40% of CO2 emission is seen in the transport sector, so we need to find an option that is import-substitute, cost-effective, pollution-free- free and indigenous.

Gadkari’s Vision

The minister further expressed his thoughts and said “ We have all the products and all major players present in India.

The auto companies in India will give financial strength to the Indian economy and we will be Atmanirbhar Bharat, the minister was quoted as saying by the Economic Times.   

The minister said that he is not dependent on government funding for his infrastructure vision, instead, he will provide a guaranteed return of 8.5% per annum to small investors who invest in bonds.

Government aims to broaden alternate fuels, lowering the import of fossil fuels which currently stands at Rs. 16 lakh crore per year.

He said the government is working on a project with the Indian Oil Corporation in Panipat where they are using rice straw to make ethanol and bio-bitumen.

“Diversifications of agriculture towards energy powers, so that our farmers are no longer “anna daata” but “urja daata” ‘bitumen daata’ and “hawaii indhan daata” or substantial aviation fuel,” the minister said.

Gadkari has confidence, that by the end of 2024, India’s logistics cost will be around 9%, surging exports one and a half times.

He also highlighted the need to lower the logistic costs in the country, comparing it with China, European countries, and the US.

Gadkari said they are constructing 36 expressways to lower travel times between major cities and by the end of 2024, India’s national highway network will match that of the USA.

The auto sector in India has already created 4 crore jobs in India and also gives the maximum revenue as a part of GST to the state governments and central government, he said.