Auto component players from the world over marked their presence at the trade fair.
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The third edition of ACMA Automechanika New Delhi once again reinforced its position as an effective sourcing and networking platform for auto components players from India and the world over. Attracting 552 exhibitors from 17 countries, the fair proved to be a good platform to highlight the latest trends in the aftermarket. Facilitating serious business discussions, the four-day event saw auto components manufacturers showcase their innovations as well as their rising capabilities. Held at Delhi as the name would aptly suggest, the biennial fair saw wholesalers, distributors, traders, and components manufacturers, speak about the present and the future; about synergies and their plans to grow. With latest advancements and solutions in the fields of parts, systems, tuning, workshop equipment, bodywork and paintwork, car wash, IT and management, and automobile services on display, the third edition of the fair saw higher participation as compared to the earlier edition of the fair. Companies like Schaeffler Group, Ample Autotech, Elofic, ZF India, Shriram Pistons, Valeo India, Mansons, Liqui Moly, and ACDelco among others, turned the fair into an important event for the auto industry. Expressed Rattan Kapoor, President, ACMA, during his inaugural speech, “ACMA Automechanika showcases the prowess of the industry. It enables international players to source from India, both products and technologies, and create an opportunity for business alliances.” Opined Michael Johannes, Vice President, Brand Management Automechanika, MesseFrankfurt Exhibition GmbH, “Since its debut in 2013, ACMA Automechanika New Delhi has grown in quantity and quality. This shows the great potential the Indian automotive market has, and the interest in it.”
Recording a 40 per cent increase in international participation this year, the fair had six dedicated pavilions representing China, Germany, Korea, Singapore, Taiwan and UK. There were also the individual overseas participants who represented Hong Kong, Indonesia, Italy, Japan, Malaysia, Poland, Russia, Thailand, UAE and the USA. Marking a 28 per cent increae in exhibitors, and 25 per cent increase in exhibition space over the 215 edition, 15,150 business visitors made it to the fair. A noticeable uptake in overseas visitors was observed, and turned the fair into an ideal meeting ground for various stakeholders of the auto industry.
ACMA Automechanika New Delhi 2017 had a safety pavilion called ‘ACMA Safer Drives’. It marked an initiative on road safety and use of genuine components. Visitors were sensitised towards ensuring their safety and that of other road users by demanding genuine auto parts. A two-day conference on ‘Preparing Aftermarket for Digital Economy & The Road Ahead’ looked at new online business platforms like ecommerce and mwallets. Domain experts spoke not just about the two online business platforms, but also about safer ways of doing businesses using new mediums that are bringing the world together, turning it into one single market. A seminar on the second day of the fair highlighted key trends in the aftermarket, and delved into the future of the aftermarket while looking at areas like telematics, alternate fuels, vehicle servicing, eretailing and GST. With the next edition of the fair to focus on the needs of the growing Indian aftermarket, companies made it a point to unveil new, exciting products that are reflective of the changing nature of automobiles as well as the way the auto components industry has come to operate.
AC Delco unveiled a ‘Cabin Air Filter’, which is made up of a high-quality multiple fibre layer media, and is equipped to trap up to 95 per cent dirt, dust, pollen particles and other pollutants. The filter facilitates improved airflow and aids defrosting performance of the AC system. The supplier also displayed its range of aftermarket offerings. Said Rajesh Nangia, Director ACDelco India, “The new ‘Cabin Air Filter’ will meet the rising demand of a product that was developed keeping in mind the degrading cabin air quality.” Schaeffler India Automotive launched intelligent component and repair solutions in the form of a Dual Mass Flywheel (DMF), Self-Adjusting Clutch (SAC), Double Clutch Technology, FAG SmartSET and INA Chain Drive kit. Liqui Moly launched Molygen new generation oils for special protection against wear. Gaziabad Precision Products introduced new valve train components and other engine parts. Mahle International GmbH unveiled a new cabin filter with S5 broadband technology, which provides five-fold protection against pollen, bacteria, mould, fine particulates and odours. ZF Aftermarket promoted its Openmatics telematics platform that can help access data collected from the vehicle on a web portal with the help of a computer, tablet or a smartphone. The Openmatics Dashboard offers customers the scope to develop new ideas that enhance customer service. For example, faster processing of vehicle returns at rental car companies. According to ZF sources, Openmatics is a free platform.
Shriram Pistons & Rings showcased a range of pistons, rings, pins and engine valves. Its sister concern showcased cylinder heads, cylinder liners, connecting rods and filters. Allied Nippon displayed disc brake pads, brake shoes, brake linings. Delphi Automotive Systems showcased 11 product lines across four different categories, included steering, suspension and brake parts. Elofic Industries exhibited a wide range of filters and lubricants suitable for a wide range of vehicles, starting with two wheeler and going up to earthmoving equipment. Participating for the first time in this event, Oerlikon displayed transmission synchronisers and differential components. Jamna Auto Industries showcased its entire product portfolio including suspension parts like leaf springs, parabolic leaf springs, axles and lift axles. The aftermarket business constitutes 15 to 18 per cent of the company’s overall business. Climax Overseas Pvt. Ltd., displayed engine mounts, centre bearings, bushings, oil seals and gaskets, and filter components.
In order to understand the growing impact of urbanisation, changing customer preferences and choice of vehicle ownerships, ACMA shared a comprehensive study on the `Indian Automotive Aftermarket: The Road Ahead’ during the fair. According to the findings of the study, the Indian automotive aftermarket, valued at Rs.56,098 crore (USD $ 8.4 billion) in FY2016-17, is expected to reach Rs.75,705 crore (USD $ 13 billion) by FY2019-20, a growth of 10.5 per cent CAGR. The comprehensive study delved upon vehicle parc analysis, used car market, taxi market, trends and size of the aftermarket, eretail and regulations. The Indian automotive components sector is a USD $ 39 billion industry, the study mentions, contributing around 4 per cent to India’s GDP. Taking a holistic view of the aftermarket business potential in the wake of growing urbanisation, the study highlights the shift in average vehicle age in India. Looking at changing customer preferences, vehicle ownership pattern, evolving taxi market and a rise in the pre-owned car segment, the study also looks at vehicle replacement patterns and servicing habits. ACMA’s knowledge partner for the study, Frost & Sullivan, conducted an extensive research through numerous interviews and collected data from various stakeholders in India.
Putting the current vehicle population in the country at an estimated 228.7 million as per the transport authorities, the study puts OE spares account at 40 per cent of the total consumption. The remaining 60 per cent spares are evenly split between IAM (Independent AfterMarket) branded parts and U-parts (parts from the Unorganised segment). The IAM-branded parts consumption is highest in the CV segment. It is estimated to be 50 per cent of the total consumption. The tractor segment, the study mentions, exhibits the highest consumption of U-parts at 40 per cent.
As per the study, Maharashtra accounts for the largest number of registered two wheelers, three wheelers and commercial vehicles. The NCR (Northern Capital Region) accounts for the highest population of passenger cars, with Maharashtra a close second. As per the study, the NCR region and Greater Chennai have the highest population of two wheelers at 6.1 million and 5.1 million respectively. Greater Mumbai, according to the study, has the highest number of three wheeler registrations at 3,65,500 vehicles. The highest commercial vehicle registrations are in the NCR region, Greater Hyderabad, Greater Mumbai and Bangalore whereas Bhatinda and Ferozpur have the highest tractor populations at 72,900 numbers, and 71,000 numbers respectively. Of the total Indian aftermarket, the two- and three-wheeler segments account for around Rs.12,038 crore; the passenger car segment accounts for around Rs.18,970 crore; commercial vehicles account for around Rs 19,748 crore, and tractors account for Rs.5,342 crore. Gujarat, the study mentions, is among the top five states where replacement market demand across all vehicle segments is the highest. Maharashtra features in the top five across all vehicle segments not counting the tractor segment. The penetration of counterfeit auto components has drastically reduced from 36 per cent in FY2010-11 to five per cent in FY2016-17 as per the study. Their place has been taken by U-parts. The report highlights alternate fuel technologies, growing localisation of products and affordability of new-age technology as the key differentiators.