Coimbator

‘Industries need to invest in low cost automation’

Industries that are hit by labour shortage, following migrant workers returning home during the last few weeks, need to invest in low cost automation, said V. Lakshminarayanaswamy, president of the Indian Chamber of Commerce and Industry, Coimbatore.

At a Knowledge Series webinar on Friday, organised by The Hindu and the Indian Chamber of Commerce and Industry, Coimbatore, on ‘Conversation on SME Businesses in Coimbatore Post Lock Down’, Mr. Lakshminarayanaswamy said low cost automation would also help industries improve productivity.

Manufacturing industries were facing demand recession now and expected normalcy only by the last quarter of the year. Consumers were reluctant to spend and wanted to save cash. Hence, industries were unable to use the capacities to the optimum levels. The government should increase its expenditure on projects to improve cash flow, he said.

The government should also support MSMEs by extending the moratorium on repayment of loans for a longer time. While the industries here were facing challenges because of the spread of COVID-19 in Chennai, there were also opportunities. The government should help Coimbatore tap the opportunities in Foreign Direct Investments that were moving out of China and other places. It needed to promote Coimbatore as a manufacturing hub, he said.

Next Story