Mayor R.Venkatachalam (third left) visiting a stall at the ‘International Foundry Tech 2010' at the CODISSIA Trade Fair Complex in Coimbatore on Friday. Executive Director of Electrotherm (India) Limited Narendra B.Dalal (left) is in the picture.
Foundry and steel industries are on a recovery path, N.B. Dalal, Director-Technical, Electrotherm (India) Ltd., said here on Friday.
Talking to the media on the sidelines of the ‘International Foundry Tech 2010' exhibition, he said the signs of recovery were bright. “The last two quarters of this financial year will definitely be better.”
“In the last couple of years, many foundries were running at 60 per cent capacity. Now that has increased to cent per cent. Foundries are also looking at increasing production capacity or setting up new plants.”
Attributing the revival to the growth in the automobile industry, Mr. Dalal said the foundry sector would grow by around eight per cent this year. Aiding the growth was India turning into an automobile hub. Indian foundries manufactured six million castings a year, catering mostly to the automobile sector and micro steel industries. The capacity was close to Brazil's eight million tonnes.
It would take another four years for India to catch up with Brazil, he said and added that cost of labour, power, availability of raw materials and modern technology were the advantages the country enjoyed.
Compared to China, which manufactured 32 million tonnes a year, he said there was nothing for India to be worried about as the labour cost and technological advancements were more or less on a par. More than 150 establishments have set up stalls at the exhibition. The fair is open till July 26.