Cluster formation will help the machine tool industry implement automation and digital solutions: IMTMA

Machine tools play a fundamental role in the manufacturing industry. They are called “mother machines”, since they can make other machines possible. The Indian Machine Tools Manufacturers’ Association (ITMMA) is the only voice of the industry in India.

Ravi Raghavan, President, IMTMA, tells us more. Excerpts from an interview:

DQ: Can you delve into India’s path to becoming a global manufacturing hub?

Ravi Raghavan: Manufacturing activities have grown very well and India is moving on the growth path. The country’s manufacturing PMI rose to 54.9 in February versus 54.0 in January, signaling a month-over-month improvement. Industries are taking advantage of various measures announced by the Indian government, including PLI regimes, friendly corporate taxes, which are the lowest in Asia, rising FDI, land reforms, state governments calling on industries to set up plants. production and so on.

The various PLI schemes, incentives for various sectors such as semiconductors, medical devices, cars, electronics as well as the creation of dedicated industrial corridors, SEZs, sector parks for medical devices, defense and toys, should help manufacturing activities.

India has a large consumer base with disposable income in the hands of the middle class, rapid digitization, localization efforts, global markets which view India as a sourcing hub, etc. The country also has a demographic advantage when it comes to having a large pool of young workforce with the skills needed to work in manufacturing industries.

DQ: How do you think the growing government focus on Aatmanirbhar Bharat / domestic manufacturing is helping the Indian economy?

Ravi Raghavan: AatmaNirbhar Bharat aims to promote a self-sufficient India and make the country independent in terms of the production of goods and services. It is also expected to allow India to recognize and capitalize on its inherent strengths. For public procurement up to Rs. 200 crore will no longer be global tenders, which will encourage localization.

The Union government has also banned the import of various weapons and military systems and plans to develop them locally to increase self-sufficiency in the defense sector. As manufacturing industries strengthen their infrastructure, implement modern technologies, build a strong supply chain, institutions can build a human resource pool with skills, and manufacturing will hit top gear, which is sure to lift the Indian economy. .

DQ: What is the contribution of the MSME industry to help India’s goal of reaching the $ 5 trillion economy?

Ravi Raghavan: The Indian manufacturing landscape has a significant presence of MSMEs, which are the backbone of manufacturing. MSMEs play an important role in maintaining the pace of the economy and in creating jobs in various industrial sectors. Actors from large and small businesses depend on these MSMEs for their business needs. The contribution of the MSME units is key as India aspires to become a $ 5 trillion economy. Exports of goods from MSMEs are also growing at a significant pace which testifies that Indian MSMEs are globally competitive as their products are well received by overseas markets.

DQ: What do you think has been the impact of the budget announcements on the MSME industry?

Ravi Raghavan: The union budget published earlier this year is important for MSMEs. Capital expenditure on infrastructure projects is very encouraging as it will help maintain the momentum of growth. PLI schemes and the drive for localization result in the creation of manufacturing facilities in India, which bodes well for SME growth and job creation.

The Government of India has extended the Emergency Credit Line Guarantee Scheme (ECLGS) until March 2023 with the full allocation under the scheme increasing by Rs. 5 million million. In the previous budget the government had presented an ECLGS of Rs. 20 million million euros to allow the lifting of the MSMEs affected by Covid-19.

DQ: Can you elaborate on the role of MSMEs in the machine tool sector?

Ravi Raghavan: According to the 73rd round of the National Sample Survey carried out by the National Sample Survey Office in 2015-16, there were 633.88 lakhs of unregistered non-agricultural MSMEs engaged in various activities in India, of which the highest, 196.65 lakhs were in the manufacturing sector.

MSMEs create more job opportunities for all skill levels, of both genders, and keep labor costs low. MSMEs are scattered throughout India and are part of the production value chain, a crucial entity of the supply chain, inseparable and crucial. It has the potential to also penetrate into Tier 2 and Tier 3 cities and rural regions. MSMEs contribute approximately 40% of India’s total exports. MSMEs together contribute nearly 30% of India’s GDP, which is substantial.

DQ: What are IMTMA’s efforts in helping MSMEs leverage digital technologies to transform their productivity?

Ravi Raghavan: IMTMA has set up clusters for micro and small businesses to enable them to become competitive businesses. The IMTMA cluster “COBIZ – Collaborative Business” composed of members from the Pune region was formed in February 2021. The IMTMA cluster in the northern region “SAHAYOG – Collaborative Business” was formed in July 2021, which includes members from the National Capital Region of Delhi and Punjab.

Cluster formation will help the machine tool industry implement needs-based and even customized digital and automated solutions along the manufacturing value chain.

IMTMA regularly develops and delivers customized training programs for companies based on individual needs at technology centers in Bengaluru, Pune and Gurugram or at company locations.

Programs are led by faculty with required industry experience and with knowledge of the latest industry developments. Many of these training programs are aimed at MSMEs.

IMTMA’s Production Technology Center has implemented the Industry 4.0 solution in its configuration for demonstration. A smart model factory has been set up at the IMTMA Technology Center, where the CNC turning center, CNC machining center, digital height gauge and CMM machines are digitally connected and monitored in real time. Real-time data is acquired through data acquisition devices and CNC controls.

IMTMA offers training programs on Industry 4.0 awareness, practical approach to implementing Industry 4.0 in manufacturing, etc. We also conduct a seven-week automation course with a focus on robotics. IMTMA also organized a live demonstration on the concept of Industry 4.0 during IMTEX 2019, from 24 to 29 January at its Technology Center at BIEC.

During IMTEX, our member companies and exhibitors showcase the implementation of Industry 4.0 in production setups that help the manufacturing industry in general. Our member companies are able to implement customized Industry 4.0 solutions and offer them in all manufacturing sectors.

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