ECO - FRIENDLY ( GREEN ) CARS IN INDIA – THE ROAD AHEAD Mr K K Sunil

The Indian automotive industry has flourished like never before in the recent years. On the canvas of the Indian Economy, Auto Industry occupies a prominent place. The car industry in India has been on steroids. The domestic sales have reached a level of 2 million units per annum, growing in double digits. It is expected to rise further to 3.66 million units by 2014-15 and 5.2 million units by 2019-20. The extraordinary growth that the Indian automotive industry has witnessed is a result of a two major factors namely, the improvement in the living standards of the middle class and an increase in their disposable incomes. Moreover the liberalization steps, such as, relaxation of the foreign exchange and equity regulations, reduction on tariffs on imports, and the banking reforms, initiated by the Government of India, have paled an equally important role in enabling the Indian Automotive Industry achieve great height. Also, the institutionalization of automobile finance has further paved the way for a sustainable longterm high growth of the industry. Now, the challenge ahead for the Indian Automobile Manufacturers, especially Cars, is to make eco-friendly cars, i.e. GREEN CARS. At the same time, they also have to satisfy the needs and demands of the consumers in the automobile industry. They have to market the cars, by not only using the features, discounts, offers, and other privileges, but also by as an eco-friendly car that does not damage the ecological balance of the environment. The study is based on GREEN CARS and their future in the Indian Automobile Market.