IIF FOUNDRY BULLETIN Issue No. 178, Dt. 10 · 2016-05-11 · Brief Details: • Limited funds are available Term loans of upto - 90% of the project cost with minimum loan amount of

Foundry Informatics Centre, 67 TughlakabaTel: +91 11 29960601, Email: fic@indianfo

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It has been observed that several communications, IIF Journals and other important documents meant for members are not reaching them as their updated communication address, phone numbers, mobile, email etc. are either not available or might have changed. In our endeavor to serve the IIF Membershave undertaken the exercise of updation of IIF Membership data which is very important for better communication and services to members.

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Theme of the Year

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The Institute of Indian Foundrymen

abad Institutional Area, New Delhi – 110062 foundry.org, Web: http://foundryinfo-india.org/

OF IIF

It has been observed that several communications, IIF Journals and other important documents meant for members are not reaching them as their updated communication address, phone numbers, mobile, email etc. are either not available or might have

the IIF Members better, we have undertaken the exercise of updation of IIF Membership data which is very important for better communication and services to members.

For the convenience of our members, we

so that members

can submit their updated data online.

Please click on the

http://foundryinfo-india.org/iif_form.aspxto access the IIF Membership Data Updation

Form, which can be filled and submitted

online. Please ignore in case you have already submitted

these details recently.

4E Scheme for Energy Efficiency in

SME Foundries -World Bank Project

A World Bank (WB)- Global Environment Facility (GEF) funded project viz.Efficiency at MSMEs” is being implemented with a view to create a demonstration effect of financing of energy efficiency measures A revolving fund has been created to provide loansfor such energy efficiency projects to MSMEs at concessional interest rates and soft terms at interest


Theme of the Year “Nurturing Manufacturing

IIF FOUNDRY BULLETIN Issue No. 178, Dt. 10


g/

Page 1

Please click on the following web-link

india.org/iif_form.aspx to access the IIF Membership Data Updation

which can be filled and submitted

Please ignore in case you have already submitted

4E Scheme for Energy Efficiency in

World Bank Project

Global Environment Facility (GEF) funded project viz. “Financing Energy

” is being implemented with a view to create a demonstration effect of financing of energy efficiency measures.

A revolving fund has been created to provide loans for such energy efficiency projects to MSMEs at concessional interest rates and soft terms at interest


Manufacturing”

Issue No. 178, Dt. 10th

May, 2016


Foundry Informatics Centre, 67 Tughlakabad Institutional Area, New Delhi – 110062 Tel: +91 11 29960601, Email: [email protected], Web: http://foundryinfo-india.org/

Page 2

rates which will be lower than normal rates by 2 to 3.85% depending upon rating of the units. Brief Details:

• Limited funds are available Term loans of upto - 90% of the project cost with minimum loan amount of INR 10 lakh and maximum loan amount not to exceed INR 150 lakh payable over 4.5 years with moratorium of 6 months.

• Financing of second hand machinery/equipment; purchase of land and construction of building (except minor civil works) shall not be taken up under the scheme.

• MSME should submit a DPR to SIDBI after getting Detailed Energy Audit (DEA) done through a technical agency / consultant having BEE certified Energy Auditor.

• The average cost of detailed energy audit may vary between Rs 1,00,000 –Rs 1,50,000/- .Out of this only Rs 30,000/- will be payable by the interested unit & balance amount will be subsidized through the funds available under the above project being operated by SIDBI

• The Borrower shall submit application to SIDBI BOs along with a copy of the DPR vetted by EEC. Eligibility of Borrower.

• Operational for at least three years and should have earned cash profit in the last two years of operation and should not be in default to any bank/FI.

• Individual, Proprietorship Concern, Partnership Firm, Limited Liability Partnership (LLP), Company, Society, Trust, Association of persons and any other legal entity as may be considered by SIDBI from time to time.

• Eligible amount of capital subsidy under CLCSS, TEQUP, etc. shall also be sanctioned along with the loan as per prevalent guidelines.

India SME Technology Services Limited (ISTSL) has been promoted by Small Industries Development Bank of India (SIDBI), Indian Bank (IB), Oriental Bank of Commerce (OBC), Indian Overseas Bank (IOB) and State Bank of India (SBI) for facilitating for detailed energy audit and DPR preparation under this scheme through empanelled consultants

Interested MSME foundry units in a cluster

can contact us by email at

[email protected] for detailed energy

audit & DPR for availing the benefit under

the scheme.

Approx Major Raw Material Prices

ITEMS

Price

30.04.2016

Rs./Kg

(Incl.

Excise)

Price

08.05.2016

Rs./Kg

(Incl.

Excise)

Pig Iron 28 28.8

Melting Steel Scrap 22.6 23.0

CRCA Scrap 25.6 25.9

Copper Ingot 369 369

Aluminum Ingot 138 140

FREE WEBINAR:

Introduction to 3D Sand Printing for Metalcasting

IIF Members are welcome to take advantage of free webinar scheduled on Wednesday, May 25 at 10

a.m. and 2 p.m. CST

This webinar will cover the basics of additive manufacturing as well as explain the technology used to create molds and cores with a 3D printer.

Led by Dave Rittmeyer and Steve Murray, both of Hoosier Pattern, the webinar will give attendees full access to two industry veterans who have worked in metalcasting for a combined 50 years. Attendees will have the opportunity to ask questions, learn from industry experts and see examples of how 3D printed sand has been used within the metalcasting industry.

The webinar will cover the basics and explore how to utilize 3D printed sand components on your next project.

For free registration, please click on the link below:

Wednesday, May 25

10 a.m. Central https://attendee.gotowebinar.com/register/4331172389137391874

2 p.m. Central https://attendee.gotowebinar.com/register/7914828229841599490


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MEIS Scheme - Revision to include

Category 'C' countries IIF has been pursuing with the Ministry of Commerce, DGFT & DIPP & through Foundry Development Council for revision of rates in the MEIS scheme for exports of Castings & also for including the Category 'C' Countries in the incentive scheme. We are pleased to inform that Category 'C' countries which were not included in the MEIS scheme for incentive, have now been included for the castings as mentioned below. This has been notified vide DGFT Public Notice No. 06/2015-2020, dt 4th May, 2016.

HSHSHSHS CodeCodeCodeCode

Earlier MEIS Earlier MEIS Earlier MEIS Earlier MEIS Reward Rate Reward Rate Reward Rate Reward Rate for Group 'C' for Group 'C' for Group 'C' for Group 'C'

CountriesCountriesCountriesCountries

Revised MEIS Revised MEIS Revised MEIS Revised MEIS Reward Rate Reward Rate Reward Rate Reward Rate for Group 'C' for Group 'C' for Group 'C' for Group 'C'

CountriesCountriesCountriesCountries

73030030 0% 2%

73071110 0% 2%

73071120 0% 2%

73071190 0% 2%

73071900 0% 2%

73239190 0% 2%

73239200 0% 2%

73251000 0% 2%

73259100 0% 2%

73259910 0% 2%

73259920 0% 2%

73259930 0% 2%

73259992 0% 2%

73259993 0% 2%

73259999 0% 2%

73269030 0% 2%

84099112 0% 3%

84099113 0% 3%

84099114 0% 3%

84099912 0% 3%

84099990 0% 3%

84811000 0% 3%

84812000 0% 3%

84813000 0% 3%

84814000 0% 3%

84818030 0% 3%

84819090 0% 3%

84833000 0% 3%

84835010 0% 3%

84835090 0% 3%

84836010 0% 3%

84836020 0% 3%

84836090 0% 3%

84839000 0% 3%

Proposals for Duty Draw Back

2016-17 Duty Drawback is export promotion scheme administered by the Department of Revenue. Under the scheme, customs & central excise duties paid on inputs & service tax paid on input services are rebated to exporters through the All Industry Rates of Duty Drawback notified by the Government. The rates are being reviewed for 2016-17. Members may please send their inputs by email

[email protected] asap but positively by 14-

5-2016 in the attached format (refer attachment) with all supporting details for taking up suitably.

• Indian magnesium ingot market witnesses thin buying activity with price softening

• India containerized Shredded Scrap import prices gain significantly

• US Shredded Scrap prices advance significantly

• US Aluminum Scrap prices remain flat

• Some Chinese antimony ingot producers lower export prices

• Chinese magnesium ingot prices decrease slightly

• Chinese bismuth ingot prices decline further

• US scrap market settles, supply cools further upside

• LME copper, aluminium lower on profit taking

• LME nickel, zinc and lead decline, tin higher

• Brazil's April pig iron exports jump 229% from a year ago

• Brazilian foundry production fell 26.5pc to 176,453t in March

Automakers start FY17 with good news;

reports strong April sales

The country's top auto makers were off to a strong start in the new financial year with Maruti Suzuki, Hyundai Motor, Mahindra & Mahindra and Renault all reporting strong April sales. Analysts tracing the industry estimate passenger vehicle volumes to have risen 11% from a year earlier to about 2,47,000 units in the past month,

News headlines…News headlines…News headlines…News headlines…

In the news…In the news…In the news…In the news…


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aided by new launches in the utility vehicle segment. At Maruti, sales grew more than 16% to 1,17,045 units in April in the domestic market, helped by demand for premium hatchback Baleno and compact sport-utility vehicle Vitara Brezza. Maruti's sales increased across segments, except for the small-car category Alto and WagonR where volumes fell nearly 10%. But in the utility vehicle segment, sales rose nearly fourfold, driven by the Vitara Brezza. "We are happy to begin this fiscal (year) on a positive note," said RS Kalsi, executive director for sales and marketing at Maruti Suzuki. He said the company, the market leader, is making efforts to improve availability of the Baleno and Brezza which run long waiting lists. Hyundai Motor India's local sales increased 9.7% to 42,351 units in the past month. Senior vice-president for sales and marketing Rakesh Srivastava cited strong demand for Creta, Elite i20 and Grand i10 models for the performance. While French car maker Renault rode on the success of small car Kwid with sales increasing more than threefold to 12,426 units in April, local auto major Mahindra & Mahindra posted 16% rise at 22,655 vehicles. At Ford, volume grew more than 32%. Pravin Shah, chief executive officer at Mahindra, said while the company expects to maintain its growth momentum, concerns remain on the ban of large diesel vehicles in the National Capital Region. "We do hope that the honorable Supreme Court... will take cognisance of all the facts, including the role that the automotive industry plays in the country's industrial growth," Shah said. Jnaneswar Sen, senior vice-president for marketing and sales at Honda Cars India (HCIL), also voiced similar concerns. "The automobile industry is facing a big challenge because of the sudden shift in consumer preferences from diesel to petrol. Moreover, the continuing ban on diesel has also impacted consumer sentiment," he said. "All these have impacted HCIL sales as there is a big mismatch in demand and availability of required variants. We are now taking corrective measures to address the situation." Honda's India sales fell 17% to 10,486 units last month. Sen, however, said: "Despite the current challenges, HCIL is confident of positive growth in this fiscal (year)."

Demand in the two-wheeler industry held good with market leader Hero MotoCorp reporting third consecutive month of double-digit growth at 15% to 6,12,739 units, rival Honda Motorcycle & Scooter posted a 27% increase to 4,31,011 units.

Auto Firms won’t invest if 30% green cess

levied

No one will invest in India and the country’s image as an investment destination will be completely thrown out of gear if an environment cess to the tune of 30% were to be imposed on diesel cars and SUVs, according to auto industry body SIAM.

The Supreme Court asked the Delhi Police last month to pay an environment compensation cess of 30% of the real value of new vehicles as a pre-condition for their registration.

Stating that most multinational companies, whether they are Japanese or American, have invested in diesel technology, Mathur said , “Everyone has got diesel portfolio and everyone is watching very closely how India decides to go ahead”.

“If you have a policy and you do not abide by it that means that we are not a destination that can be trusted. Why should anybody invest here? Most investments from companies are frozen right now,” Mathur added. “Toyota has recently come up with a Rs 1.000 crore diesel plant and it has been done as per government policy.”

Commenting on the ban on diesel cars and SUVs above 2,000 cc, Mathur said: “We are the first country in the world which banned the sales of state-of-the-art vehicle that is available while doing nothing about old vehicles.

Wabco to start assembly of AMTs in India

soon Wabco India,the Indian arm of one of the leading manufacturer of safety and transmission solutions for commercial vehicle , is all set to begin assembling of automated manual transmission (AMT) for commercial vehicle segment in India. The company has setup an assembly line for AMT at its Chennai plant in India. "We will soon start manufacturing AMT for commercial vehicles in India at our Chennai plant. The new assemble line will be put to production of AMTs soon," said Jacques Esculier, Chairman and CEO of Wabco.


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The assembly of AMT is expected to start by October this year. At the beginning, bulk of the components for AMT will be brought from outside, but as the volumes go up, more localisations will come in. Wabco has invested nearly Rs 6 crore in this AMT assembly project. "The manufacturing will be in two phases. In the first phase, it will be more of assembly and in the second phase, it will be more of Indian components," said P Kaniappan, Whole-time Director, Wabco India. One of the major challenges that India faces today in CV segment is the shortage of experienced drivers, Esculier says that using AMT can address that issue Kaniappan said that it will be little early to give the numbers of AMTs assembled as the number depends on BS-IV emission norm implementation. "The AMT is linked to electronic engine which will come as a part of BS-IV emission norms. And as we know, the nationwide implementation will come through only in 2017. It is then that we will see major conversion to electronic engine and the AMT numbers too go up," explained Kaniappan. Wabco is already importing AMTs from its China assembly plant, another low-cost location, which will continue till the assembly start here in India. Last year, Wabco sold around 1,400 units in India. Wabco largely provides these AMTs to Ashok Leyland which was employing them in the JNNURM projects. "We are in talks with other players as well and We expect that by April 2017, we will be supplying it to most of the big OEMs," Kaniappan said. The assembly of AMT in India and localisation in second phase is expected to bring down the prices. Wabco believes with the new prices, the payback period will be around one year. "The fuel saving through AMT will offset the price of the AMT. On an average, we see 3 to 5 percent jump in fuel efficiency with the use of AMT. Globally too, Wabco sees the AMT play getting bigger, especially Europe where 80 percent of the trucks have AMT. "We now finally see AMT growing fast in the US where they are now recognised as a major value driver and today one-fourth of the trucks there carry AMT and increasing fast." Esculier added, "India is starting pretty strongly and I believe AMTs will soon become a global standard in CV segment for fuel saving.

One of the major challenges that India faces today in CV segment is the shortage of experienced drivers, Esculier says that using AMT can address that issue largely in two ways. "One, you can put less experienced drivers behind the wheel which is big savings for the fleets as experienced drivers are more expensive than young drivers. Two, it is proven that fleets that have AMTs are more attractive to drivers," Esculier said. Wabco India also supplies other solutions to heavy commercial vehicle segment like anti-lock braking system, air suspension, driveline Controls, along with conventional braking solutions. IN FY 15, Wabco India's total revenue stood at Rs 1,368 crore. Wabco had earlier said that it is looking to increase content per vehicle to improve earnings in India and that in FY17, ABS alone will offer a revenue potential of Rs 400 crore. Wabco components currently contribute 1 percent of the total truck price in India, compared to 3 percent in the developed markets.

Lag in Engg. Exports a concern

The global market share of India’s engineering exports has declined steadily over the last 20 years because Indian Industry has failed to adapt to new technologies, an internal study conducted by the Ministry of Commerce & Industry said.

“The decline in the global market share is gradual, as low as 0.1 or 0.2 percent every year. However, in the last 5 or 7 years, the change in technology has been immense but the engineering industry’s ways of conducting business has not changed much since its inception”, said Ravi Capoor, Joint Secretary in the Department of Commerce. He was speaking at a technology meet organized by the EEPC India.

The National Research & Development Corporation (NRDC) has signed a memorandum of understanding (MoU) with EEPC India to bring the engineering exporters the latest manufacturing technologies available with national and international research and development laboratories.

“Revenues worth $70 billion came from engineering exports. But, if we do not embed software technology with machinery, India will be out of business by 2030,” said Capoor.

The MoU will try to bring in 15 R&D laboratories under one roof to work on a single product so as to combine machinery with software technology.


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Also Available at following offices:- Kolkata – Email: [email protected] Tel: 033-24424489

Chennai – Email: [email protected] Tel: 044- 26220196, 42187119

Mumbai – Email: [email protected] Tel: 022-26591308

Pune – Email: [email protected] Tel: 020-25437374, 25422902


Page 7

Micro Foundry – Sand 3D Printing Technology According to Caterpillar, the newly-opened 3D Printing & Innovation Accelerator will help to fuel the future, driving even greater collaboration, innovation and acceleration to develop new solutions to meet customer needs. Caterpillar invests billions annually on the production and procurement of metal castings — machine parts that are created by pouring liquid metal into a mold. Castings are used for a variety of applications and are critical to the life of our products. For some applications — such as prototypes, slow-moving parts, or other one-offs — only a few castings are needed each year. These low-volume castings are costly and time-consuming to create. The launch of the new Micro Foundry, located in the existing larger foundry in Mapleton, IL, enables rapid creation of low-volume castings using sand 3D printing technology. The work done in this new space will positively — and in some ways dramatically — impact cost, time, quality, and waste reduction, resulting in benefits for both Caterpillar and its customers.

• Design Optimization. Low-volume castings often take several months to procure, with patterns costing tens of thousands of dollars. With the Micro Foundry, Caterpillar can dramatically reduce the lead time for prototype castings, while eliminating the pattern expense. When engineers developing a new product can get a casting quickly and efficiently, they spend less time procuring the casting and have more time to focus on optimizing the design of the casting and of the larger machine. This acceleration of the casting development process results in higher quality castings that are optimized for the application and the manufacturing process.

• Process Improvement. With the Micro Foundry, Caterpillar can improve the casting process at the point of creation instead of leaving it in the hands of suppliers. Sand 3D printing technology produces the same high-quality castings that can be developed using traditional methods, and it allows for the rapid evaluation of many casting process alternatives without any tooling expense. By using the Micro Foundry technology to

optimize the casting process before production, scrap and rework waste for both castings and tooling can be reduced.

• Customer Service. Made-to-order and other low-volume castings can take months to create. Using the sand 3D printing technology at the Micro Foundry, a casting mold can often be printed within 24 hours, allowing for accelerated production of the final part, which can then be shipped to a customer in a fraction of the time normally required. This reduced time also enables a reduction in on-hand casting inventory. And because the process doesn’t require a pattern, there is no longer a need to warehouse patterns for future production of low-volume service part castings. All of these benefits positively impact inventory management costs.

Niryat Bandhu Scheme To start an international business, Directorate General of Foreign Trade (DGFT) is the first contact point in Government of India. The first process is to get IEC Code. About 60000 IECs are issued by DGFT every year. Subsequently, some of the IEC holders approach DGFT for availing benefits under Foreign Trade Policy. This has been the experience of the Directorate that new entrepreneurs generally lack many of the necessary skills to enter into arena of international business. If India’s exports have to be increased to a global commanding positioning, then these young entrepreneurs may have to be provided necessary support mechanism so that they have clarity of various schemes of the Government. Niryat Bandhu Scheme was announced by the Government on 13th Oct, 2011 for mentoring the first generation entrepreneurs. The scheme was incorporated at paragraph 2.51 of the Foreign Trade Policy 2009-14. For more details on the scheme, please click on the following link http://dgftcom.nic.in/exim/2000/nbandhu/NiryatBandhu2014.pdf

Government schemes...Government schemes...Government schemes...Government schemes...

International news..International news..International news..International news..


Page 8

Domestic

International

MINISTRY OF FINANCE, DEPT. OF REVENUE

Notification No. 64/2016 - Customs (N.T.), dated 5th

May, 2016

Rate of exchange of one unit of foreign currency

equivalent to Indian rupees, with effect from 6th

May, 2016

http://www.cbec.gov.in/resources//htdocs-

cbec/customs/cs-act/notifications/notfns-2016/cs-

nt2016/csnt64-2016.pdf

MINISTRY OF COMMERCE & INDUSTRY, DGFT

Public Notice No. 6/2015-20, dated 4th

May, 2016

Merchandise Exports from India Scheme (MEIS)-

Amendments in Table 2

http://dgft.gov.in/Exim/2000/PN/PN16/pn0617.pdf

Disclaimer: Although every care has been taken to ensure

that information provided is correct, The Institute of

Indian Foundrymen will not be responsible for any error

or omission and it does not necessarily represent official

opinion of the Institute of Indian Foundrymen.

From.: 10th to 12th August, 2016 Venue: Pragati Maidan, New Delhi URL: http://www.mmmm-expo.com/

65th IFC and IFEX 2017 From.: 3rd to 5th February, 2017 Venue: Eco Park, Kolkata URL: https://www.youtube.com/watch?v=WqQFQS4qFDc

From.: 25th

to 27

th Oct, 2016

Venue: Jakarta International Expo, Kemayoran, Indonesia URL: http://www.indometal.net/

From.: 24th to 25th Nov, 2016 Venue: MARITIM KONFERENZHOTEL DARMSTADT URL: http://www.casttec2016.com/

From.: 6th to 9th Dec, 2016 Venue: DÜSSELDORF, MESSEGELÄNDE URL: http://euromold.com/

Upcoming Events…Upcoming Events…Upcoming Events…Upcoming Events… Notifications/ circulars…Notifications/ circulars…Notifications/ circulars…Notifications/ circulars…

Documents

IIF FOUNDRY BULLETIN Issue No. 178, Dt. 10 · 2016-05-11 · Brief Details: • Limited funds are available Term loans of upto - 90% of the project cost with minimum loan amount of