Electric Vehicles is an Sunrise Area for MSMEs: Nitin Gadkari

Well, the industry is moving forward and it must move forward. But, moving forward towards post-COVID-19 era, Indian manufacturing sector should think smart and understand the contemporary market trends and demands. One such very strong trend that Union Road Transport & Highways and MSMEs Minister Nitin Gadkari has subjected is the Electric Vehicles segment. "India has the potential to become a major manufacturing hub for electric vehicles in the next five years. POlicies are setting up and a favourable ecosystem is getting prepared for this sector and I recommend to MSMEs that they must examine their own feasibilities of working around this electric vehicle sector," says Mr. Gadkari.

According to him, the Centre is trying to extend the best possible concessions to this sector and has lowered GST rate on electric vehicles to 12 per cent.

Addressing a webinar on 'India's Electric Vehicle Roadmap post-COVID-19', Gadkari said that he was aware of the issues facing the sector, but was also sure of improvement in the business environment as sales volumes are expected to rise.

He said the world is no more interested in doing business with China, which is a very good opportunity for the Indian industry to pick up the shift in business.

Besides, he indicated the ensuing vehicle scrapping policy, commenting that it will give a fillip to the auto manufacturing sector.

The Minister further said the Centre is looking at initiating a pilot project for developing an electric highway on the upcoming Delhi-Mumbai Green Corridor.

In addition, he called upon the auto industry to go in for indigenisation and support the Prime Minister's 'Aatma Nirbhar Bharat Abhiyan.'