The Hindu Business Line : Truck, bus tyres output growth dips

New Delhi May 19 Production of truck and bus tyres for the financial year ended March 2007 increased by four per cent, lower than the eight per cent rise recorded in the previous fiscal. The production touched 123.67 lakh units during the year as against 119.41 lakh units in 2005-06 financial year.

The overall tyre production across segments increased by 11 per cent for the fiscal to touch 735.44 lakh units as against 660.32 lakh units the year before, according to the figures released by the Automotive Tyre Manufacturers' Association (ATMA).

Tractor (trailer) tyre production saw the maximum increase at 38 per cent with 8.23 lakh units being produced (5.96 lakh units). Tractor (front) tyre production was next with 17.54 lakh units as against 13.83 lakh units, an increase of 27 per cent.

Motorcycle tyre production was up 24 per cent with 260.79 lakh units compared with 210.53 lakh units in 2005-06 fiscal. Passenger car tyre production was up 5 per cent at 142.63 lakh units (136.05 units).

On the exports front, the overall change has just been around 1.15 per cent.

Export front

Tyre exports for the financial year ended March 31, 2007 was at 54,49,560 units as against 53,87,502 units. Truck and bus tyre exports fell by around 5.51 per cent to 22,76,049 units from 24,08,759 units in the 2005-06 fiscal. Exports in the passenger car segment was at 9,66,046 units compared with 10,52,874 units, a decline of 8.25 per cent.

There was, however, good news in the export of motorcycle tyres. It increased by 78.64 per cent to touch 1,51,677 units as against 84,908 units. Though the tractor front and rear tyre segments fell by 17.38 per cent and 43.14 per cent, respectively, exports in the trailer segment saw a 126.06 per cent increase to touch 8,665 units as against 3,833 units in 2005-06 fiscal.

According to Mr D. Ravindran, Director General, ATMA, "The industry on the whole underwent a lot of hardships during the last financial year, with the prices of raw material increasing.''