Frost & Sullivan’s Automotive and Transportation Practice South Asia and Middle East (http://www.transportation.frost.com) will host an Analyst Briefing – Webinar on, Wednesday, 25 April, 2007, titled “Immense Opportunities for 3PL Market in Indian Auto Components Sector†between 11 am and 12 noon Indian Standard Time (GMT + 5.5 hrs).
The world’s top auto makers are increasingly turning to India for their vehicle components. Riding this success and capitalizing on the spiraling demand from domestic auto companies, the Indian auto components industry is emerging as one of fastest growing manufacturing sectors, and a globally competitive one. And to fulfill its dynamic supply chain needs, the sector is increasingly relying on third party logistics (3PL) services.
New analysis from Frost & Sullivan (www.transportation.frost.com), Strategic Analysis of 3PL Markets in the Indian Auto Components Sector reveals that the 3PL market in the Indian auto components sector earned revenues of US$172.0 million in 2006 and it is likely to reach $900.6 million in 2013.
“The encouraging growth in global and intra-Asian level trade of Indian auto components sector has created many avenues for 3PL adoption and more can be expected due to India’s active participation in the regional free trade agreements,†notes Frost & Sullivan Logistics & Transportation Practice Team Leader, Srinath Manda. “This is bound to improve prospects for auto components 3PL market.â€
With India emerging as an auto components sourcing hub, several opportunities lie with professional import/export logistics services for the intra Asian trade. The steady growth of sales in domestic and regional automotive markets is increasing pressure on its supply chains thus necessitating auto component makers in the country to improve their efficiencies to grab greater orders to auto makers. This is leading to the increase of 3PL usage in Indian auto components sector.
However, it is important for 3PL providers in India to deliver high quality services and to their auto components clients, on a consistent basis in order to gain higher business from this sector. Service providers also need to provide integrated logistics services at affordable prices to match the increasing demands of clients.