Unprecedented suffering in the Industries, like pandemics always makes the manufacturers come up with solutions never seen before. Assessing the ground reality indicates that new projects which have been relocated to India are getting the investment. Still, the industrial growth parameters indicates less growth than what was expected. However, Industries are all set to march into the brighter future in manufacturing, mitigating Omicron’s impact on Industries.
Forging Industries are an indispensable part of the manufacturing industry for they are providing intricate shapes to industrial components. The Forging Industry accounts for key contributions in the automobile, heavy industrial machinery, power, construction and mining equipment, railways and engineering.
Being one of the key engineering segments, Forging operations certainly, cannot go remote. They are to be executed right at the shop floors. But in such Omicron rise, there arises the need of considering the productivity challenges, travel restrictions and the health of the manpower and other operational issues, which intends to suppress the on-site forging operations.
Already hit by the first and second waves of COVID 19, Forging Industry is now foretold to face supply-chain disruptions, shifts in consumer demand and unavailability of critical resources due to Omicron, the new variant. Vikas Bajaj, President of Association of Indian Forging Industries (AIFI) tells Machine Maker about the absolute scenario in which the Industries and market are facing off amid the new Mutant Omicron continuously witnessing a surge in the vicinity, and foreseen to be at peak in February 2022.
Strengthening Foundation for Forging: the Steel Industries
Since its inception, the Forging Industry, with two key verticals as forging and casting is extensively performed through the usage of steel metal. Therefore, steel has been a pivot for Indian Forging Industries for years. Shackling the Forging Industries, the scourge of pandemics brought about a price hike of steel. As seen in the reports, the retail prices for other steel products such as wire rods and GP sheets have also been remarkably increasing by 80% and 94%, respectively, in November.
“Assessing the ground reality indicates that the Omicron, which is not region-specific has been hugely affecting all the industries. But, certainly, this is not the first day, as industries have been suffering right from the first hit of the COVID 19 on the manufacturing sector,” says Mr Bajaj about the Omicron obstructing the manufacturing. Since unreasonable price hikes in steel can make the Forging Industries less competitive, the government’s intervention becomes crucial in the rising steel prices and withdrawing of the price hike.
“However, due to sudden price hike in the steel, the parameters of the industrial growth are indicating less growth than what was expected. Still, with the strong linkages in the Forging community, we will be able to meet all challenges faced by us in the forging industry and march into a bright future,” remarks Mr Vikas overcoming the challenges during the pandemic.
Rising unpredictability
By Impacting casting and forging, which are key-link for the manufacturing of auto components, Omicron is expected to bring about disruptions in the commercial automobiles sector. The Reports showcases that industries were moving on a continuous higher demand in commercial vehicles in the pre-pandemic time. But the pandemic has put a wait and watch the situation.
Giving insights on the impact of the Omicron on the Automobiles sector Vikas Bajaj, who is also serving as Managing Director at Bajaj Motors Ltd tells Machine Maker that some automotive segments are lagging in the market while some are witnessing the sustenance, which makes the overall scenario unpredictable.
“The four vehicles have been suffering due to semiconductor issues and two-wheelers automobiles are also stagnant. On the other hand, innovative verticals such as electric automobiles have witnessed sky-rocketing growth with the seeding investment going on,” conversed Mr Vikas on the unforeseen impact of Omicron on Industries.
The way forward
With the pandemic preparedness out of the chaos in manufacturing, learnings from the previous two waves of COVID 19, have been great to cope up with the new variant most of the manpower with concerned OEMs getting double jab of the vaccine. Shedding light on the lessons that manufacturers came to learn during the pandemic, Mr Vikas says, “Management of the internal resources was the major lesson that we learnt during the first and second wave, where educating everyone about norms of distancing at both social and industrial level was quite helpful.”
“As far as the current situation is concerned, the strict protocols and night curfew are the projected as the alternative of the lockdowns. Also, embracing the digital innovations, the seminars, events and workshops are going online, giving the Industries more optimistic thrust to face the Omicron,” he further adds regarding the current Omicron Situation.
Vikas Bajaj believes that the third quarter of 2022 is forecast for a brighter growth chapter of industries, owing to the festival season and good monsoon rate. Concluding about overcoming the challenges due to Omicron in Manufacturing, Vikas Bajaj says, “The strategies to fight the Omicron are all set. With the reports saying the peak to come within a month or two, the third quarter of this year will be crucial for the Industries to come back in form again.”
