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Time of India
06-07-2025
- Automotive
- Time of India
COMING FULL CIRCLE
Tamil Nadu accounts for 35% of India's automotive production and more than 40% of auto exports. But as the state prepares for the next phase of investments and manufacturing growth, it is eyeing a new-age production strategy focussed on circular manufacturing and cluster collaboration in electric mobility. Many of these future-ready ideas are included in a just-released State Planning Commission report (titled Powering Tamil Nadu's Automotive Manufacturing Growth) being scrutinised by the govt. Says state industries minister TRB Rajaa, "The report lays out a clear, ambitious and actionable roadmap for the EV sector, one that places innovation, inclusion and impact at the centre of growth." The idea, he says, is to secure "long-term leadership in the sector." Some of these ideas are in the process of being greenlit. "Recommendations on the skilling and R&D side are already being put into action. We're coming up with a circular economy policy to encourage reuse of recoverables," says state industries secretary V Arun Roy. TN will not only focus on making EVs and parts, but on reuse and recycling as well as scrappage opportunities as part of an end-to-end manufacturing strategy. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 3.5, 4.5 BHK Homes starting at ₹4.89 Cr.* Hero Homes Learn More Undo Some of that effort is already bearing fruit. The govt has approved a unit to be set up in Hosur for recycling lithium-ion batteries, the industry secretary says. "There is scope in scrapping and usage of recycled steel, which can reduce cost and improve manufacturing competitiveness. But we must keep safety and ecosystem requirements in mind," adds Arun Roy. MSMEs will play a big role in circular manufacturing. Says Atul Anand, state MSME secretary: "MSMEs can be part of TN's focus on battery manufacturing and circular manufacturing, including second-life applications, battery reuse, and material recovery." This includes refurbishing, repurposing used EV batteries for applications like energy storage systems for green energy grids or backup power for commercial, residential use. They could set up small-scale recycling units to recover materials like lithium, cobalt, nickel from spent batteries, extend blockchain for traceability in auto manufacturing and battery recycling as well as 3D printing of low-volume complex parts, he adds. You Can Also Check: Chennai AQI | Weather in Chennai | Bank Holidays in Chennai | Public Holidays in Chennai The Automotive Component Manufacturers Association (ACMA), apex body for the auto component industry, is on board with this vision which "reaffirms the state's leadership as a critical hub in India's mobility value chain — not just in traditional manufacturing, but in driving the next wave of electric, intelligent, and sustainable vehicles," says Shradha Suri Marwah, president, ACMA & CMD Subros. For circular manufacturing to work, the report's cluster collaboration concept — which bundles industry and academia to create factory-floor innovation — is also being piloted. "As part of setting up cluster parks close to academic institutions, we're developing University Research Parks in TN," says V Arun Roy. "We're tying up with Kamaraj University in Madurai and Bharatiyar University in Coimbatore, and there will be a soft launch. " These parks will offer manufacturing solutions when industry approaches them with production-related problems, he says. This ties into TN's skilling focus on making the next-gen factory worker proficient in factory analytics, IOT, machining learning and AI. "The push to skill up through a dedicated Mobility Skills 2030 programme, along with EV servicing support for MSMEs (as suggested by the State Planning Commission Report), shows real intent," says Rajaa. Interestingly, some of the critical skilling interventions are coming from industry instead. Take Delta Electronics, which has launched a Centre of Excellence (CoE) programme with Tamil Nadu Skill Development Corporation (TNSDC). This involves a tie-up with local engineering or polytechnic colleges to train future staff on working with robots. Said Rachna Kango, senior director, ESG & strategic marketing, Delta Electronics India: "The segment-agnostic programme will help engineering or ITI grads to be employed in any manufacturing unit, auto, electronics or cement. We conduct a short-term (one-month) and long-term (3-4 months) course to train between 200 and 300 students every year. We will tie up with an engineering college in Ber, Krishnagiri district (an EV hub), for this course," she added. The move to make TN's auto industry future-ready will work only when new-age production is backed by scale. Says Satyakam Arya, MD & CEO, Daimler India Commercial Vehicles, "To attract the next generation of automotive manufacturing, Tamil Nadu needs to focus on gaining scale and efficiency, evolving with Industry 4.0 technologies, and investing in new mobility solutions such as electric, hydrogen, and gas." Tamil Nadu accounts for 35% of India's automotive production and more than 40% of auto exports. But as the state prepares for the next phase of investments and manufacturing growth, it is eyeing a new-age production strategy focussed on circular manufacturing and cluster collaboration in electric mobility. Many of these future-ready ideas are included in a just-released State Planning Commission report (titled Powering Tamil Nadu's Automotive Manufacturing Growth) being scrutinised by the govt. Says state industries minister TRB Rajaa, "The report lays out a clear, ambitious and actionable roadmap for the EV sector, one that places innovation, inclusion and impact at the centre of growth." The idea, he says, is to secure "long-term leadership in the sector." Some of these ideas are in the process of being greenlit. "Recommendations on the skilling and R&D side are already being put into action. We're coming up with a circular economy policy to encourage reuse of recoverables," says state industries secretary V Arun Roy. TN will not only focus on making EVs and parts, but on reuse and recycling as well as scrappage opportunities as part of an end-to-end manufacturing strategy. Some of that effort is already bearing fruit. The govt has approved a unit to be set up in Hosur for recycling lithium-ion batteries, the industry secretary says. "There is scope in scrapping and usage of recycled steel, which can reduce cost and improve manufacturing competitiveness. But we must keep safety and ecosystem requirements in mind," adds Arun Roy. MSMEs will play a big role in circular manufacturing. Says Atul Anand, state MSME secretary: "MSMEs can be part of TN's focus on battery manufacturing and circular manufacturing, including second-life applications, battery reuse, and material recovery." This includes refurbishing, repurposing used EV batteries for applications like energy storage systems for green energy grids or backup power for commercial, residential use. They could set up small-scale recycling units to recover materials like lithium, cobalt, nickel from spent batteries, extend blockchain for traceability in auto manufacturing and battery recycling as well as 3D printing of low-volume complex parts, he adds. The Automotive Component Manufacturers Association (ACMA), apex body for the auto component industry, is on board with this vision which "reaffirms the state's leadership as a critical hub in India's mobility value chain — not just in traditional manufacturing, but in driving the next wave of electric, intelligent, and sustainable vehicles," says Shradha Suri Marwah, president, ACMA & CMD Subros. For circular manufacturing to work, the report's cluster collaboration concept — which bundles industry and academia to create factory-floor innovation — is also being piloted. "As part of setting up cluster parks close to academic institutions, we're developing University Research Parks in TN," says V Arun Roy. "We're tying up with Kamaraj University in Madurai and Bharatiyar University in Coimbatore, and there will be a soft launch. " These parks will offer manufacturing solutions when industry approaches them with production-related problems, he says. This ties into TN's skilling focus on making the next-gen factory worker proficient in factory analytics, IOT, machining learning and AI. "The push to skill up through a dedicated Mobility Skills 2030 programme, along with EV servicing support for MSMEs (as suggested by the State Planning Commission Report), shows real intent," says Rajaa. Interestingly, some of the critical skilling interventions are coming from industry instead. Take Delta Electronics, which has launched a Centre of Excellence (CoE) programme with Tamil Nadu Skill Development Corporation (TNSDC). This involves a tie-up with local engineering or polytechnic colleges to train future staff on working with robots. Said Rachna Kango, senior director, ESG & strategic marketing, Delta Electronics India: "The segment-agnostic programme will help engineering or ITI grads to be employed in any manufacturing unit, auto, electronics or cement. We conduct a short-term (one-month) and long-term (3-4 months) course to train between 200 and 300 students every year. We will tie up with an engineering college in Ber, Krishnagiri district (an EV hub), for this course," she added. The move to make TN's auto industry future-ready will work only when new-age production is backed by scale. Says Satyakam Arya, MD & CEO, Daimler India Commercial Vehicles, "To attract the next generation of automotive manufacturing, Tamil Nadu needs to focus on gaining scale and efficiency, evolving with Industry 4.0 technologies, and investing in new mobility solutions such as electric, hydrogen, and gas."


Time of India
18-05-2025
- Business
- Time of India
Tamil Nadu bets big on warehousing policy
Two weeks ago, Tamil Nadu govt officials announced that the state was going to soon release a policy on warehousing with a focus on the delta districts. Given that the state integrated logistics policy and action plan (ILPAP) was prepared in 2023, why a warehousing policy? A dedicated warehousing policy, expected to be launched by Oct 2025, could serve as a benchmark for integrating storage solutions in the entire logistics value chain, says state industry secretary V Arun Roy. Tired of too many ads? go ad free now The ILPAP is focused on "overall logistics movements in the state", he adds. A few national and international developments have made a warehousing policy imperative. First, the Union govt announced development standards for warehouses, which provides guidance on specific cargo type and services. "The (TN) policy would focus on warehousing as a sub-sector of the entire logistics ecosystem," says Roy. Second, the new US tariffs have opened up investment and expansion opportunities for TN and an efficient warehousing roadmap is critical to making the most of them. Tamil Nadu Industrial Development Corporation (Tidco) MD Sandeep Nanduri says, the state govt plans a "robust institutional mechanism" to support growth of the warehousing sector. At the heart of this plan is a more commodity-based approach instead of a one-size-fits-all policy. "This will ensure a broader coverage, from perishables to automobile, from cement to electronics, considering the diverse commodity profile of the state," he adds. Currently the state govt is consulting multiple stakeholders. "The policy aims to establish warehousing clusters in tier-2 and tier-3 cities that could seamlessly integrate with TN's industrial development plan," says Roy. Tamil Nadu is looking to develop several "logistics parks or MMLPs (multi-modal logistics parks), dry ports and other road and rail-based freight terminals, working with central logistics agencies and private players through PPP", he adds. Tired of too many ads? go ad free now Two major investments on this front are (Chennai) and MMLP Coimbatore. "Mappedu is expected to be completed by 2027 following which the second phase would be constructed," says Roy. "We are in advanced stages of land acquisition near Coimbatore." The state's warehousing capacity is between 10-15 million sqft with large third-party logistics clusters in Chennai and Coimbatore. Chennai alone contributes more than 5 million sqft of warehousing volume, and Coimbatore contributes another 2 million sqft. The fragmented warehousing market in tier-2 and tier-3 cities is yet unaccounted for. With the new policy, govt would streamline the registration process, which would allow it to monitor the available space and gaps. "The focus of the warehousing policy is to capture the untapped potential of cities such as Hosur, Trichy, Madurai, Tuticorin etc," says Arun Roy. The policy focuses on the delta region because it is the hub for perishables, . "The region has a huge potential for development of cold storage facilities for domestic as well as export-oriented supply chain," says Arun Roy. Logistics experts say that apart from attracting new investments, the policy will also cater to existing investors. "Given TN's strong agricultural and horticultural base, developing infrastructure with temperature control and storage segregation that are integrated with downstream industries will greatly reduce wastage and improve value realisation for our farmers," says R Dinesh, chairman, TVS Supply Chain Solutions. Also, he adds, warehouses near manufacturing clusters should "align with production clusters and their supply chain needs". What will help is the development of a key transshipment hub in neighbouring Kerala. "India's first deepwater transshipment port at Vizhinjam is being built by Adani. Once fully operational, containers that are headed to Colombo for transshipment can be routed to Vizhinjam. This opens up a big warehousing opportunity for both north and south TN particularly Tuticorin, Tirunelveli and Kanyakumari," says Rejyson Samuel, director & CEO, Sandook Logistics.


New Indian Express
30-04-2025
- Business
- New Indian Express
CUMTA plans to integrate air cargo movement, metro rail
CHENNAI: Chennai Unified Metropolitan Transport Authority (CUMTA) is looking to integrate air cargo movement with metro rail services in an effort to bring down light commercial vehicles on city roads and ease congestion. The plan forms a key part of the city's forthcoming logistics roadmap, which is likely to be released soon. The initiative will integrate metro services and parcel collection centres to reduce emissions and promote sustainable movement of goods. Speaking at a logistics policy session hosted by the Madras Chamber of Commerce and Industry, CUMTA member-secretary I Jayakumar said the broader logistics plan envisages investment of around Rs 4,000 crore (approximately USD 480mn) over a decade. Among other measures, the state is also working on a platform to digitally map empty trucks within city limits, potentially improving the efficiency of short-haul urban freight operations. 'Currently, around 30% of trucks entering and leaving the Chennai Metropolitan Area are running empty,' he added. Industry inputs sought The state government is simultaneously drafting a dedicated warehouse policy and inputs from the industry have been sought, said industries secretary Arun Roy, adding that the move follows a recent announcement in the Assembly by minister TRB Rajaa to draft a warehousing policy. Tamil Nadu Industrial Development Corporation (TIDCO) MD Sandeep Nanduri spoke on the progress of key logistics infrastructure, including freight corridors, at the session. Meanwhile, the Container Corporation of India (CONCOR) plans to invest `60 crore to construct a net-zero ambient warehouse in Sriperumbudur, west of Chennai. The 1.3 lakh sqft facility, comprising both cold storage and temperature-controlled ambient warehousing, is expected to be operational by mid-2026. CONCOR area head G Gayatri said the company is in talks with multinational clients and will soon float an expression of interest. The firm has also begun deploying LNG-powered trucks across Tamil Nadu, with over 50 vehicles now in use.