Auto component industry aims to log in double-digit sales growth in FY24
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
The Automotive Component Manufacturers Association (ACMA) has said that it expects to log in double-digit sales growth in the current fiscal (FY24) after having reported its highest-ever turnover in 2022-23, as demand is expected to remain robust.
It stated the sector reported a turnover of Rs 5.6 lakh crore last fiscal (FY23), registering a growth of 33 per cent over Rs 4.2 lakh crore in FY22. Moreover, it said in FY23, exports grew by 5 per cent to Rs 1.61 lakh crore while imports grew by 11 per cent to Rs 1.63 lakh crore. Further it said, the aftermarket, estimated at Rs 85,333 crore also witnessed a steady growth of 15 per cent while component sales to OEMs in the domestic market grew by 39.5 per cent to Rs 4.76 lakh crore.
Besides, ACMA President Sunjay Kapur noted ‘With significant mitigation in the supply-side issues of availability of semiconductors, input raw-material costs and logistics, the vehicle industry is expected to continue to perform well in FY24, which augurs well for the auto components sector.’ he added whilst the automotive value chain faced significant disruptions in the wake of the pandemic, vehicle sales, especially in the PV, CV and tractor segments have now reached pre-pandemic levels. Even the two-wheeler industry has recovered well.
