Plastics Machinery Manufacturers Association of India. 9th April, 2015

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1 Plastics Machinery Manufacturers Association of India 9th April, 2015

2 Plastics Processing Machineries (PPM)Indian Industry Overview 14 manufacturers in organized sector manufacturers in small & medium sector Comprises of wholly owned subsidiaries, Joint Ventures, Manufacturers under Technology License and home grown technology machine builders Main products include Injection Moulding Machine, Extruders and Blow Moulding Machine. Injection Moulding Machine accounts for 70% of total PPM Indian Industry Export earnings: $50 million; Employment generation potential: 1.20 Lakh (Direct + Indirect)

3 PMMAI, Founding Members Windsor Machinery Limited Kabra Extrusiontechnik Ltd Lohia Starlinger Limited Rajoo Engineers Limited Mamata Machinery Pvt. Ltd. Toshiba Machines Limited Electronica Plastic Machines Limited Ferromatik Milacron India Pvt. Ltd Neo Plast Engineering Pvt. Ltd. Steer Engineering Pvt. Ltd. Negri Bossi Division Sacmi Engineering (India) Pvt. Ltd. Sidel India Pvt. Ltd J.P. Extrusiontech Pvt.Ltd

4 Imports & Industry s Concerns Continuous imports despite industry having sufficient or significant surplus capacities Continuous dumping of injection moulding machines despite industry having surplus capacities Fresh dumping by other countries, apart from China Imports of used plastics processing machineries- not only causing damage to Industry s market share, but also inducing processer inefficiencies Imports of certain technology parts & components due to unavailability in domestic market leading to high cost of production

5 Import Status New Machines Quantity (Nos.) Imports of Plastic Processing Machinery 3,000 1,200 2,500 1,000 2, , , Quantity (Nos.) 2,501 1,789 1,617 Value (Rs. Crores) 1,

6 Import Status Used Machines Quantity (Nos.) Imports of Plastic Processing Machineries 1, , Quantity (Nos.) Value (Rs. Crores) ,

7 Imports Share , Country wise New Machines Share in total Imports, % 7% 28% China Germany Japan Malaysia 29% 8% 8% 4% 4% Philippines 3% Korea Rep Taiwan Vietnam Others

8 Imports Share , Country wise Used Machines Share in total Imports, % 9% 8% 3% Canada 16% 3% 4% 6% Germany Italy Japan Malaysia 9% UK 39% US A Korea Rrep Taiwan Others

9 Imports Share , Machine wise New Machines Share in Total Imports, % 11% 9% Blow Moulding Extrusion Injection Moulding 77% Vaccum Moulding

10 Recent Imports of Machines- QoQ SN Period Qty Nos. Value Rs. Lacs (New M/C) (New M/C) Qty Nos. (Old M/C) Value Rs. Lacs (Old M/C) (Q1) , , (Q2) , , (Q3) , , (Q4) , , (Q1) , , (Q2) , ,946

11 Recent Imports (Nos.) of MachinesQoQ Import Nos. New & Used Machines New Machines Used Machines 134

12 Duty Structure

13 Machine Name: Injection Moulding Machine (ITC Code: ; BCD: 7.50%) Sno. Commodity HS Code BCD 1 Ball Screw % 2 Bi-Metallic Barrel % 3 Contact Less Transducers % 4 Electronic Control % 5 Electronic Variable Volume Pump % 6 Fixed Volume Pump / % 7 Graphite Bushings % 8 High Precision Bearing % 9 High Torque Hydro Motors % 10 High Wear Resistance Pad % 11 Hydraulic Valves % 12 Linear Motion Guide % 13 Load Cell / % 14 Lubrication System % 15 Power Supplies % 16 Variable Frequency Drive / % 17 Automation Components % 18 S.G. Iron Casting 72/ % 19 Steel Bars % 20 Machine Base % 21 Hydraulic Reservoir % 22 Heat Exchanger % 23 Sheet Metal % 24 Hydraulic Hoses % 25 Hydraulic Cylinders % 26 Hydraulic Fittings % 27 Accumulators % 28 Electric Motors % 29 Seals % 30 Transducers % 31 Thermocouples % 32 Electrical parts % 33 Filters % 34 Breathers % 35 Heaters % 36 Fastners % 37 Anti vibration pads % 38 Extruder Gearbox % 39 Others %

14 Machine Name: Extruders/ Extrusion Machine (ITC Code: ; BCD: 7.50%) Sno. Part/ Component Code BCD 1 Endless Belt % 2 4 Way Ball Valve % 3 Spring Loaded Plunger % 4 Insert % 5 Pullboring Head % 6 Pressure Transducer % 7 Mating Connector % 8 Drives % 9 Cables % 10 Bearings % 11 Infra Kote % 12 Heat Transfer Compound % 13 Shank type Finishing Cutter % 14 Plain Bearing % 15 Water Pump % 16 Mechenical Seal % 17 Cartridge Heaters % 18 Vaccum Pump % 19 Slewing Ring Bearings % 20 Cast Heater % 21 Round Flange bearing % 22 Alloy Steel Round Bar % 23 A.C. Motors % 24 Potentiometer, Transducer % 25 Inductive Sensor % 26 Socket % 27 Safety Light Curtain % 28 U Sensor & US Controller % 29 Screen Filters % 30 Lin Power Supply % 31 Actuator Ball Drive % 32 Static Generator & Genrator Bar %

15 Machine Name: Blow Moulding Machine (ITC Code: ; BCD: 7.50%) Sno. Commodity HS Code BCD 1 Ball Screw % 2 Bi-Metallic Barrel % 3 Contact Less Transducers % 4 Electronic Control % 5 Electronic Variable Volume Pump % 6 Graphite Bushings % 7 High Precision Bearing % 8 Hydraulic Valves % 9 Linear Motion Guide % 10 Lubrication System % 11 Power Supplies % 12 Variable Frequency Drive / % 13 Automation Components % 14 S.G. Iron Casting 72/ % 15 Steel Bars % 16 Machine Base % 17 Hydraulic Reservoir % 18 Sheet Metal % 19 Hydraulic Hoses % 20 Hydraulic Cylinders % 21 Hydraulic Fittings % 22 Electric Motors % 23 Seals % 24 Transducers % 25 Thermocouples % 26 Electrical parts % 27 Filters % 28 Breathers % 29 Heaters % 30 Fastners % 31 Anti vibration pads % 32 Extruder Gearbox %

16 Date: 10 th April, 2015 To, Shri. Mahender Kumar Secretary Tariff Commission 7 th Floor, Loknayak Bhavan Khan Market, New Delhi Sub: -Request in the matter of reduction in import duties on major parts and components used by Plastics Machinery Manufacturers Dear Sir, We the Plastics Machinery Manufacturers Association of India is an industrybody representing all plastics machinery manufacturing organisations in India. PMMAI was formed with the objective to promote the advancement of plastics machinery manufacturing industry and also to promote common interest of constituents of plastics machinery manufacturing industry comprising of primary processing machinery, post forming processing machinery and auxiliary equipment used in pre and post forming operations etc. in the fields of economy, technology and science through cooperation and coordination at national and international level and train people for the industry with required skills. This is with reference to our discussions held on 9 th April, 2015 at your office. As discussed, import duties on certain technology parts & components used in manufacturing of plastics processing machineries are quiet high. There is no or very limited availability of these parts & components, domestically; and therefore, industry has to import all such parts & components; thereby, adversely effecting the cost competiveness. In view of the above, we request you to conduct a study and recommend your valuable suggestions to the concerned ministry for the reduction of import duties on parts & components, so that this industry can become more cost competitive.

17 We are enclosing herewith overview of the Industry; Import Situation; and Duty Structure of Injection Moulding Machines, Extrusion Machines and Blow Moulding Machines, which constitute more than 95% of total Indian Plastics Processing Machinery Industry. Should you need any further information in this matter, we would be pleased to provide the same. With Regards, Yours truly, For Plastics Machinery Manufacturers Association of India Mahendra Patel Chairman.

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