Pithampur is one of the largest Growth Centres in Central India and a well-developed industrial town of Madhya Pradesh. Located at 30 kms from the city of Indore, the Growth Centre is spread across an area of nearly 2000 hectares. With about 122 medium and large-scale industrial units, and more than 455 small-scale industries, Pithampur has attracted cumulative investment of over Rs. 68,250 million and today provides employment to approximately 25,000 people. The automotive industry is one of the most significant constituents of the Growth Centre .
Genesis of Automotive Industry
India’s automotive industry is concentrated across three major regions the National Capital Region (NCR), with OEMs such as Maruti, Hero Honda, Honda-SIEL and Yamaha; the Chennai-Hosur-Bangalore region, with OEMs such as Hyundai, Mitsubishi, Toyota, Ford, Ashok Leyland and TVS; and the Pune-Nashik-Aurangabad region, with OEMs such as Tata Motors, Bajaj Auto, Force Motors, Ford and Kinetic Engineering. The genesis of the automotive industry in Pithampur can be traced to the mid-80s, when Pithampur was envisioned to become the Detroit of India. It was dream that, backed by proactive support from the State Government, saw an excellent start in the establishment of automotive OEMs such as Eicher Motors and Bajaj Tempo. After this initial impetus, however, the focus on cluster growth receded, and the industry witnessed stagnation in new investment. Today, the Pithampur Auto Cluster houses five automotive OEMs (Force Motors, Eichr Motors, AVTAC Motors, Kinetic Motors, Man Force and L&T Case), one major tyre producing unit (Bridgestone India Pvt. Ltd.), Kaparo Engineering Ltd. and about 60 auto component and ancillary units. The value of production in the cluster totals approximately Rs. 3000 crore annually.
Pithampur Auto Cluster-Global Ambitions
The Pithampur Growth Centre, which houses the Pithampur Auto Cluster, is spread across a total area of nearly 2,000 hectares, and provides basic industrial infrastructure facilities across areas such as power distribution, water supply, telecom, roads and a dry port. Pithampur has several inherent strengths that provide it with the potential to emerge as a vibrant cluster in India’s automotive industry. Today, the cluster is at an inflection point, where OEM-initiated plans for aggressive growth provide a big opportunity for focused development of the cluster. Addressing this opportunity will, however, require several critical intervention to ensure cost / quality competitiveness of the existing component production base, and significant capacity expansion. PAC is an organization dedicated towards addressing these needs of the automotive Industry in Pithampur & catapult Pithampur into the elite club of global automotive hubs.