Friday, 29 April 2016

Mahindra Intertrade signs MoU with MSTC to set up India’s first auto shredding facility

KOLKATA: Mahindra Intertrade has signed a Memorandum of Understanding (MoU) with MSTC Ltd for a joint initiative to set up India's first auto shredding facility. The proposed facility will be equipped with state-of-the-art, fully automated end-of-life vehicle recycling equipment and will be India's first such facility. This is expected to facilitate recycling of scrapped automobiles. 
Speaking on the occasion, S K Tripathi, Chairman & Managing Director, MSTC Ltd. said, "MSTC is always looking at innovative ways to recycle scrap and protect the environment and this facility will help to participate in the emission targets which India has promised to fulfill via the COP 21 Emission Treaty." 

So far, auto-shredding in India has been largely an unorganized activity with vehicles long past their usable life still in use, especially in rural and semi-urban India. 
"The concept of vehicle scrappage is still new to India as compared to the West where it is a lucrative industry. Recycling, if done correctly, is not only environment friendly but will also help keep older vehicles off the streets," said Zhooben Bhiwandiwala, Managing Partner, Mahindra Partners.  

According to Sumit Issar, Managing Director, Mahindra Intertrade Ltd., "Our study indicated that recycling not only saves energy costs but also minimizes the need for other resources as every tonne of new steel manufactured from scrap steel saves a substantial amount of iron ore, coal and limestone. Moreover, if India focuses on scrapping old automobiles, it can recover significant amounts of steel scrap, aluminium scrap, plastic and rubber. Hence, there is a pressing need for facilities such a s this one." 

The Economic Times , Kolkata, 29th April, 2016, Friday

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