Prime Minister of India - Dr. Manmohan Singh

PM lays foundation stone of Global Automotive Research Centre

"Vanakkam! I am delighted to be here in Tamil Nadu once again and be associated with yet another new project, an important milestone in Tamil Nadu's progress towards prosperity. The setting up of the Global Automotive Research Centre marks the beginning of a new chapter in the history of the automobile industry in our country and in particular, in the history of Tamil Nadu. It will have state-of-the-art infrastructure for automotive testing and homologation. This facility, along with the Centres of Excellence being set up in this State should help make India and Tamil Nadu global frontrunner in automobile research and development (R&D).

Tamil Nadu is already a leading centre for the automobile sector and has acquired the reputation as the "Detroit of India". This centre, as part of the comprehensive National Automotive Testing and R&D Infrastructure Project, will push the automobile industry in the state and in the southern region to new frontiers of achievement, both domestically and internationally. This modern testing infrastructure will enable the automobile and auto-components industry achieve global standards of excellence. I am happy to learn that it will help our enterprises reduce product development cycles, enabling them to become more dynamic and flexible in responding to changing customer needs.

The Indian automotive sector has entered the brave new world of globalisation. Just two decades ago, most industries were anxious that our industrial and trade policies would hurt their prospects. We still remember the range of automobile models that we could choose from thirty years ago. However, by demonstrating its flexibility in responding to customer needs, its ability to meet the challenges of competition, its drive to meet global standards of excellence, and its ambition to be second to none, our automotive industry has become successful beyond expectations. The success of the Indian automobile and auto-components industry is a proud symbol of the success of Indian enterprises in this new era of globalisation. Brand India has now begun to make its mark on the world stage. But I believe this is just the beginning and the best is yet to come. The Indian automobile industry has, like a beautiful butterfly, come out of its protective cocoon and is now showing its wares across diverse continents. What is more, it has done so with virtually no state subsidy, or support. It has done so based on a transparent system of taxation, pricing and technology development. It has done so on the basis of domestic talent in design, marketing and brand building. The automotive sector is truly a sunrise sector in our economy. It has grown impressively to carve out a 7% share of the global market. Our vehicles and components are now being accepted in European and American markets, and by major firms like BMW and Daimler Chrysler.

Firms from all over the country are playing their role in this activity. Here in Tamil Nadu, the TVS Group, Hyundai and Ford have contributed to this very impressive growth. Similar success stories are there in Pune, Gurgaon and other parts of India. The success of Indian enterprise has encouraged foreign companies to also set up their base in India. I thank the many Korean, Japanese, European and US auto firms for investing in India and for linking their prosperity to India's future. All these firms, Indian and foreign, are contributing to making India an automotive and industrial powerhouse, making us a global manufacturing hub. They have the potential to generate millions of jobs, which our youth needs. The UPA government will do whatever is necessary to realize the goal of making India the manufacturing ' workshop of the world'.

I am happy to note that the Ministry of Heavy Industries is preparing an 'Automotive Mission Plan 2006-2016' to quadruple the turnover of automotive sector in ten years. The plan must address the transport needs of all sections of our society, particularly the poor people living in rural areas. As Soniaji has emphasized we must also pay the attention to the mass transport system.

Road safety is another area, which needs priority attention. We need to make our roads and vehicles more safe, more environment-friendly, our people more skilled at driving, and our roads better equipped with emergency trauma care facilities. We often ignore road safety and endanger valuable lives. We need to change this attitude.

Tamil Nadu has been a major driver of industrial growth in our country. It has been a leader not only in the automobile sector, but also in electronics, Information Technology, textiles, garments, leather, petrochemicals and cement. It is also one of the most advanced states in health and education. The welfare and prosperity of the people of Tamil Nadu are very close to the heart of the UPA government. For the past 2� years, under the guidance of Soniaji, we have been working hard to take this state to new levels of development. Three cities - Chennai, Coimbatore and Madurai have been covered under the Jawaharlal Nehru National Urban Renewal Mission. We hope to give these cities first-rate infrastructure, including modern transport services. Six districts have been taken up under the National Rural Employment Guarantee Act and more will be covered gradually. The National Rural Health Mission and the Sarva Shiksha Abhiyan cover the entire State. The Metro in Chennai will also be supported. Work on the Sethusamudram Project is going ahead. I have already asked the Railways to examine the feasibility of extending the Dedicated Freight Corridor to the South, including Tamil Nadu. There is however, much more to be done. The DPA Government in Tamil Nadu, under the leadership of Kalaignar Dr. Karunanidhiji, is taking bold steps towards a bright future for the people of Tamil Nadu. We will support the efforts of the State government in all possible ways. We will begin work soon on the modernisation of Chennai airport. Plans are being made for the development of Coimbatore, Madurai and Trichy airports. We will support the efforts to develop Colachel port as a major container port once the feasibility report is completed. We will also support the desalination project for Chennai, which is our solemn commitment in the National Common Minimum Programme.

Our Government will create a positive environment for the growth of Tamil Nadu. We will also support the growth of the automobile sector. We will ensure a level-playing field to the auto industry to ensure global competitiveness in the sector. I would like to thank my colleague, Shri Sontosh Mohan Dev, and his Ministry for commencing the work on this facility. By establishing this facility, we expect the auto industry to take up the challenge of global competition.

I would also like to thank the Chief Minister of Tamil Nadu, Thiru Kalaignar Dr. Karunanidhiji and the Government of Tamil Nadu for providing the land and related infrastructure for establishing this important global centre. This project will definitely help the further growth of the automobile sector in Tamil Nadu. I wish the enterprising and creative people of Tamil Nadu a bright and golden future".