The Indian foundry industry is projected to invest an estimated $500 million over the next two fiscal years to increase production growth rate to 14 percent from around seven percent at present, a member of the Institute of Indian Foundrymen (IIF) said on Tuesday, November 13.
The IIF member said that in the current fiscal year the total investment by the foundry industry is estimated at $500 million and that a similar investment will be made over the next two years, so that the IIF forecasts total production of castings and forgings to increase to around 14 million mt by 2021 compared to 11 million mt per year at present.
The IIF official also said that domestic demand will be driven by sectors like railways, automobile and oil and gas industries, which are already increasing their bookings from foundries, resulting in capacity utilizations in the range of 75-90 percent.