November 05, 2006	Sunday	Shawwal 12, 1427

NEW DELHI, Nov 4: India's prime minister vowed on Saturday to make the country the automotive “workshop of the world”. All vehicle companies -- Indian and foreign -- are contributing to transforming India into an automotive and industrial powerhouse, Prime Minister Manmohan Singh said.

The government will do whatever is necessary to realise this goal of making India the workshop of the world, the PM said, the Press Trust of India reported.

Automobile companies “have the potential to generate millions of jobs, which our youth need”, Singh said, laying the foundation stone for a global automotive research centre in Oragadam, near Madras.

The prime minister's remarks come on the back of industry figures showing annual sales of India's automobile sector totalling around $34 billion.

Sales are forecast to rise to $145 billion by 2016.

India, which is already the main destination for business process outsourcing, has been emerging as the destination of choice in Asia for the design and manufacture of automobiles and automotive components.

Foreign companies from places such as South Korea, Japan, Europe and the United States have also been setting up base in the country, eager to get a slice of the booming domestic car market as well as to export models and parts.

Our vehicles and components are being accepted in European and American markets and by major firms like the BMW and Daimler Chrysler, Singh said.

—AFP