Indian
recycling sector is slowly gaining momentum, as we are now looking forward to
ways to recycle and reuse the materials which we use in our daily lives. Many
such policies, which have been successful in the Developed Nations, are now
entering the Indian Market scenario, and the Indian Government too has been
drafting such policies to make efficient usage of resources.
Vehicle scrappage or recycling is one such
concept that has been the focus of the Indian Government in recent times. Many
nations have successfully adopted and executed such policies, helping them to
reduce scrap wastage and preserve their nation’s resources. But owing to the
highly unorganized nature of the Indian recycling sector, there is no policy
which has been undertaken. But considering the pace at which our nation is
growing and utilising goods, it is probably one of the best techniques to reuse
and recycle metals.
The Society of Indian Automobile
Manufacturers (SIAM) has suggested that every vehicle of over 15 years and pollution
contributing vehicles which amount in significant amount of pollution should be
scrapped off.
A voluntary participation in the
program can offer the customer attractive incentives on next vehicle purchase
and ensure there is positive participation in the program.
The
following benefits could be identified with, if the scheme is being undertaken.
Increase in Steel demand – To supply the new vehicle demand
in the market, tremendous amount of steel would be required by automobile
manufacturing companies to meet the new demand.
Environment Conservation – Vehicles are a major contributor
to air pollution and older vehicles emit harmful chemicals as well. The
pollution levels in metro cities like Delhi, Mumbai & Bangalore have
already reached an alarming level. Taking corrective measures by taking old
vehicles off the road will be a huge relief for the environment.
New Car Market – With attractive incentive schemes
for car owners, many would scrap their old vehicles and go for new ones. This
would create a demand for new vehicles and help boost the automobile industry.
Business Opportunity - Vehicle scrapping units and
facilities is a potential market for India and foreign investors. Currently it
lacks steady organisation and needs recalibration. It’s a vital & potential
field that needs to be explored and capitalised upon.
If India
undertakes a metal or vehicle recycling/ scrappage policy it will only benefit
from it in the coming decades, by taking steps to conserve the environment and
create new potential in the automobile industry.
