STATUS OF TIRE INDUSTRY IN INDIA
Even though this site is to cater to the needs of persons working in tire industry throughout the world was originally thought of for fulfilling the needs of persons in tire industry in India. So let us have a brief look into Indian tire industry.
India was a free country till 12th century. In the beginning of 13th century Muslims invaded and occupied part of India, followed by Moghul in 16th century who occupied almost the entire country.
But both settled in India, so it has not much affected the growth. Only when European (British, French and Portuguese) who came as traders ended up as rulers, growth was affected. Their purpose was trade and Indians became dependent on the products manufactured in their countries. Even they couldn’t stop marginal growth as it was needed for their product sale.
Keeping that point in mind if we look at tire industry from 1920 to 1935 which was the nascent stage for tire industry, the overall industrial growth in India was very less and the need was met through imports. Main organizations who were catering to the need was Dunlop (U.K), Firestone & Goodyear (USA)’
Then from 1936 to 1960 some development did take place in India. Then there was need of wartime. It was followed by freedom and India became a republic. Those three companies which had a footing started domestic production. Firestone at Bombay, Dunlop at Calcutta. Dunlop made tires for Goodyear and India Tyre & Rubber Company also made tires.
Transportation is backbone of any industrial growth and need of tires for that became an essential one. From 1961- 1974 even though there was no revolutionary growth, evolutionary growth happened which increased the demand for tires.
Indian government issued licenses to set up new factories. MRF with Mansfield (USA) at Chennai, Premier with Uniroyal (USA) at Kalamaserry, Tata’s with Ceat (Italy) at Bombay, Incheck with Checkoslovian knowhow entered. Goodyear put their own unit at Ballabgarh near Delhi and Dunlop one more plant at Ambattur, Chennai.
Next was growth stage and from 1975 to 1990. In late 70s government had restrictions on foreign investments and insisted on technology sharing. In this period large Indian business houses like Singhania, Modi and Birla with technical collaborations with MNCs, set up factories. Introduction of radial tires, vertical integration and exponential growth in tire production started and India started exporting tires.
From 1991 onward, changes came in approach. So, in licensing policy and external trade liberalization and incentive in the form of reduction in import duty brought in MNCs either on their own independently or in collaboration with Indian capital.
At present, there are more than 40 listed companies in the tire sector in India. Some have put up or acquired plants in other countries and our technicians started heading, guiding some companies abroad. Recently under Dr. S. N. Chakravarti’s guidance a tire plant was commissioned in Bangaldesh.
India now exporting their tires world over.
In other words, now they have reached from knowledge seeker phase to knowledge giver phase. So, the need of understanding the product at all levels has become imperative.
This makes us, who entered the industry in dark age extremely happy and giving impetus to our effort.