“India Is Now On The Threshold Of Becoming A Global Economic Powerhouse, With The Auto And Automotive Component Industry Playing A Significant Role” – Prime Minister

The Prime Minister, Shri Narendra Modi addressed a program at India’s largest and first-of-its-kind mobility exhibition – Bharat Mobility Global Expo 2024 at Bharat Mandapam, New Delhi today. He also took a walkthrough of the Expo. Bharat Mobility Global Expo 2024 showcases India’s capabilities across mobility and automotive value chains and will feature exhibitions, conferences, buyer-seller meets, state sessions, road safety pavilion, and public-centric attractions like go- karting.

Addressing the gathering, the Prime Minister congratulated the automotive industry of India for the grand event and praised the efforts of the exhibitors who showcased their products in the Expo. The Prime Minister said that the organization of an event

of such grandeur and scale in the country fills him with delight and confidence. Recommending the people of Delhi to come and witness the Bharat Mobility Global Expo 2024, the Prime Minister said that it brings the entire mobility and supply chain community on a single platform.

The Prime Minister recalled a mobility related conference from his first term and remembered his focus on battery and electric vehicles and expressed satisfaction that he could see significant progress during his second term and said that in the third term mobility will see new heights.

Reiterating the goal of Viksit Bharat by 2047, the Prime Minister underlined the pivotal role of the mobility sector. He repeated his call that he gave from the rampart of the Red Fort that ‘Yeh Hi Samay Hai, Sahi Samay Hai’- this is the right time. “India is on the move and is moving fast”, the Prime Minister said, highlighting that the present era is the beginning of the golden period for the mobility sector. He underlined that the economy of India is expanding at a fast pace and India is set to become the third-largest economy in the world during the present government’s third term. Throwing light on the efforts of the government in the last 10 years, the prime Minister informed that approximately 25 crore people have risen out of poverty. He emphasized that when a citizen breaks out of poverty, the means of transportation be it a cycle, two-wheeler or a four-wheeler, becomes their first requirement. Touching upon the emergence of a neo-middle class, PM Modi underscored the need to fulfill the aspirations found in such economic strata which is equal to none. The Prime Minister stressed that the expanding spheres and growing income of the middle class of the country will give strength to the mobility sector of India. “The numbers of growing economy and the growing income are bound to infuse new confidence in the mobility sector”, Shri Modi said, pointing out that the number of cars sold in India rose from 12 crores to more than 21 crores from the 10 years before 2014 to after 2014, while the number of electric cars sold in India rose from 2 thousand per year 10 years ago to 12 lakh per year today. He further added that in the last 10 years, the number of passenger vehicles saw an increase of 60 percent while two-wheelers increased by 70 percent. According to the latest statistics, the Prime Minister informed that car sales in January have broken all previous records. “Mobility sector is witnessing an unprecedented atmosphere in the country and you must capitalize on it”, PM Modi urged the industry leaders present on the occasion.

The Prime Minister said that today’s India’s making new policies keeping in mind the needs of the future. Referring to the Union Budget that was presented yesterday, PM Modi informed that in 2014 India’s capital expenditure was less than 2 lakh crore and has risen to more than 11 lakh crore today. This has brought many opportunities for India’s Mobility sector, he said. This unprecedented expenditure is transforming rail, road, airport, waterway transport and all other sorts of transport. He also talked about completion of engineering marvels like Atal Tunnel to Atal Setu in a record timeframe. 75 new airport has come up in India in the last 10 years, about 4 lakh kilometer rural roads have been laid, 90,000 km national highways have been constructed, 3500 km of high-speed corridors have been developed, 15 new cities got

Metro and 25,000 rail routes have been constructed. Conversion of 40,000 rail coaches into modern Vande Bharat type bogies was announced in the Budget. These coaches when fitted in the ordinary trains will transform the Indian Railways.

The Prime Minister said that “the speed and scale of our government has changed the very definition of mobility in India”. He talked about systematic and timely completion of jobs and highlighted the steps for removing logistics bottlenecks. PM National Gati Shakti Masterplan is promoting integrated transport in the country. GIFT City regulatory framework has been worked out for aircraft and ship leasing. National Logistics policy is addressing the problems of logistics, he said. Dedicated freight corridors are bringing the costs down. Three Railway Economic corridors announced in the Union Budget will also increase the ease of transportation in the country.

The Prime Minister also highlighted the transformative impact of the Goods and Services Tax (GST) in accelerating trade and abolishing check posts at state borders. Furthermore, Prime Minister Modi underscored the role of Fast-Tag technology in saving both fuel and time in the industry. “Fast-Tag technology is facilitating savings in fuel and time in the industry,” he affirmed. Citing a recent study, the Prime Minister noted that Fast-Tag technology is contributing to an annual benefit of

₹40,000 crores to the economy.

“India is now on the threshold of becoming a global economic powerhouse, with the auto and automotive component industry playing a significant role,” PM Modi stated. Highlighting India’s stature in the global automotive market, Prime Minister Modi remarked, “Today, India is the world’s third-largest market for passenger vehicles and among the top three countries globally manufacturing commercial vehicles.” Moreover, Prime Minister Modi reiterated the government’s commitment to supporting various sectors through initiatives such as the Production Linked Incentive (PLI) Scheme. “For the industry, the government has introduced a Production Linked Incentive Scheme of more than ₹25,000 crores,” he said.

The Prime Minister said that the National Electric Mobility Mission is pushing manufacturing of Electric Vehicles. The Government has invested 10 thousand crore rupees for creating demand for electric vehicles. FAME scheme has led to electric buses in the capital as well as in many other cities, he said.

Prime Minister Modi informed that a fund allocation of Rs 1 lakh crore has been made in this year’s budget to encourage research and innovation and also mentioned the decision to further expand the tax exemptions given to startups. “These decisions will create new opportunities in the mobility sector”, PM Modi said. Touching upon the most significant challenges of cost and battery in the EV industry, the Prime Minister recommended using these funds in its research.

Prime Minister Modi encouraged the industry to explore research avenues that utilize India’s abundant raw materials for battery manufacturing and delve into areas such as green hydrogen and ethanol. He said, “Why not conduct research to manufacture batteries using raw materials available in India? The auto sector should also explore research in green hydrogen and ethanol.”

The Prime Minister emphasized the importance of leveraging indigenous technology for developing hybrid vessels in the shipping industry. “India’s Shipping Ministry is advancing towards making hybrid vessels using indigenous technology,” he remarked. Shri Modi also mentioned the drone sector in India getting a new flight due to startups and recommended using funds for research related to drones. He also noted the emergence of cost-effective means of transport via waterways and informed about the push by the Ministry of Shipping towards making hybrid vessels using indigenous technology.

PM Modi also drew attention towards the humane aspect of drivers in the mobility industry. And highlighted the hardships faced by truck drivers. “The Government understands the concern of truck drivers and their families”, the Prime Minister said informing about a new scheme on the works to develop modern buildings with facilities for food, clean drinking water, toilets, parking and rest for drivers on all national highways. He further added that the government is preparing to build 1,000 such buildings across the country in the first phase of this scheme. He said that it will give a boost to both the ease of living and ease of traveling for truck and taxi drivers, thereby improving their health and also help in preventing accidents.

Highlighting the immense possibilities in the mobility sector in the next 25 years, PM Modi urged the industry to transform itself rapidly to fully utilize these possibilities. Addressing the need for technical workforce and trained drivers in the mobility Sector needs, the Prime Minister mentioned more than 15 thousand ITIs in the country providing manpower to this industry today. He also urged the industry leaders to collaborate with ITIs to make the courses more relevant according to the needs of the industry. He also touched upon the scrappage policy by the government where exemption in road tax is provided on new vehicles in exchange for scrapping of old vehicles.

The Prime Minister referred to the tagline of the expo – Beyond Boundaries and said that it showcases the spirit of India. “Today we want to break old barriers and bring the whole world together. We want to expand India’s role in the global supply chain. There is a sky of possibilities in front of the Indian Auto Industry.”, the Prime Minister asserted as he urged to move forward with the vision of Amritkaal and make India a global leader. The Prime Minister asked the tyre industry to reduce import dependence for rubber with the cooperation of farmers. Stressing his confidence in the farmers of India, the Prime Minister advocated an integrated and holistic approach. He asked the gathering to think out of the box and think in collaboration. Mentioning the presence of all the major designing players in India, the Prime Minister called upon the industry to promote indigenous designing capabilities. Giving example of the global embrace of yoga, the Prime Minister said ‘when you believe in yourself, the world believes in you. Where your gaze falls, you should see vehicles from you, he concluded.

Union Minister for Commerce and Industry, Shri Piyush Goyal, Union Minister for Road, Transport and Highways, Shri Nitin Gadkari, Union Minister for Micro, Small and Medium Enterprises, Shri Narayan Rane, Union Minister for Petroleum & Natural Gas, Shri Hardeep Singh Puri and Union Minister for Heavy Industries, Shri Mahendra Nath Pandey were present on the occasion among others.