Indian Tyre Retreading Association Established
India’s retreading industry is estimated to be worth more than US$ 1 billion (INR 5,000 crore annually) with roughly 20,000 retreaders scattered in the organised and unorganised sector. Despite its sheer size in terms of value and volumes, there have historically been no serious efforts made to form a pan Indian retreading industry body that speaks on behalf of the industry in an era when it has become increasingly fashionable to show concern about the environment without making any serious efforts to improve it.
With the changing times, a small number of stakeholders took the initiative and met on 13th January 2017 at Googli Hall of Mumbai Cricket Association Recreation Centre in Mumbai to form a retreading association.
“We need an industry association to build awareness among policy makers of the vital role played by the industry in recycling as well as in facilitating and co-operating on matters affecting the industry,” said Karun Sanghi, MD, Tyresoles India Pvt Ltd. Sanghi hosted the conclave and chaired the inaugural discussion to form the representative body attended by around 35 retreaders, tread makers, equipment manufacturers and suppliers. Three names were shortlisted for the association – Indian Retreading Association, Indian Tyre Retreading Association and Tyre Retreading Association of India.
“The name ‘Indian Tyre Retreading Association’ has been finally approved by the Government of India, Ministry of Corporate Affairs. We have already started the process of the formation of the association under Section 8 of the Company’s Act,” informed Sanghi.
The association will be headed by a board consisting of a Chairman, three Vice-Chairmen (one each from retreading, machinery & allied, and the tread rubber industry) with five directors (three retreaders, one machinery & allied, and one tread rubber) of which one will be a Finance Director. Executive director will be a paid post with no voting rights. The board meetings will be held a minimum of twice in a year, but the idea is to have a minimum four meeting annually. The Board will be functional for 3 years, after which it will be dissolved and new members will be appointed / elected.
It has been mandatory for a member to pay various taxes levied by the government. The objective is to have members with credible credentials and operating as responsible organisations as per government regulations and not as fly-by-night operators. The members must be related to the tyre retreading industry and hold various and minimum INR 500,000 VAT/Service Tax paid in previous year.
Four categories of memberships are being offered - Patron Member (renewal once after every 10 years) – Fees of INR 500,000 onetime + INR 50,000 yearly. The second category is Life Member (renewal once after every 10 years) - Fees of INR.300,000 onetime + INR 25,000/- annually, while an Ordinary Member has to renew membership for INR 6,000 yearly. Affiliate overseas Member is also offered for US$ 250 annually with no voting rights.