However, as is evident now, we were caught unawares. Mutated strain of the virus took India in its stride as we were yet to work out a robust vaccination strategy. To curb the spread and manage the health emergency getting out of control in view of paucity of beds, oxygen and ventilators, a large number of states-imposed lockdowns and other restrictions which continue till date. 

As is normal under such circumstances, the economy bears the brunt and that is what seems to have happened. The fragile economic recovery seen in the second half of FY21 seems to have gone derailed. Consumer confidence has hit a new low as shown in a recent survey. Different rating agencies and multilateral organizations have downwardly revised the growth projections for the current fiscal year. From a bullish 11-13% growth (in view of base effect), the projections are now for growths in single digits only.

Needless to say, the pitch for economic revival is queered.  But, curiously, as Covid infections come off from the peak levels and the recovery rates go up, a new kind of confidence is building up. The infection rates are coming down with as much alacrity as they had peaked.

Certainly, there is no room for any complacency as premonitions of a third wave have already been made. However, the vaccination strategy to inoculate a large number of Indians by the end of the year holds much hope. It has been observed that those countries that have already inoculated over 50% of their population have witnessed much less morbidity and mortality rates.

What also holds out hope are a range of high frequency indicators which show the resilience of the Indian economy and the entrepreneurship that shines through whenever an opportunity is provided. The economic growth in the fourth quarter of last fiscal has been better than expected. From a contraction of 24.4% and 7.4% in the first and second quarters, the economy turned around in the third one with 0.5% growth and ended the year with 1.6% growth in Q4.

There are a range of other indicators too. Industrial performance measured by IIP grew by 22.3 percent in March. Merchandise exports grew by 197 percent in April. The output of eight core infrastructure sectors grew by robust 7% in March. Manufacturing PMI has remained at a high of over 55 in March and April. GST revenue collection set a new record of Rs. 1.4 lakh crore in April.

If the tyre  production data for FY21, as released recently, is anything to go by, Tyre Industry will continue to put the wheels of economy in motion against all odds. No doubt, Tyre Industry's overall numbers are down in FY21. However when looked closely, there is ample evidence that points to the resilience  in the sector. Truck & Bus (T&B) tyre production, the bellwether of economy has turned in better performance in FY21 over FY20. And this despite the fact that April’20 was a washout in view of nationwide lockdown. Both T&B and Passenger Car tyre production touched significantly higher figures in March this year with T&B tyre production crossing 20 lakh numbers, a historic high.

FY21 will also go down as a landmark year when Radial Truck & Bus tyre production equalled that of Bias tyre production. Tyre exports from India have charted an upward trajectory in the second half of previous fiscal as the stability was achieved in the exports markets.

Forecast of a normal monsoon (third in a row) and the upcoming festive season can provide much-needed impetus to the economy if vaccination drive accelerates and Covid appropriate measures are followed strictly.

No doubt, the situation is still in a flux, and it is too nascent to gauge the true impact of the second wave on economic growth.  But ramping up the vaccination drive and inoculating the entire adult population as early as possible will help.

And there is a major shift again in the vaccination policy. As this column gets on the editor’s desk, the federal government has decided to provide free coronavirus vaccines to states for inoculation of all above the age of 18.

FY 21 could not live up to the expectations that most Indians had. Hope the next year will. (TT)

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Comerio Ercole maintained a busy international exhibition schedule throughout June 2026, following its successful participation at INDEX Geneva in May. The company showcased its latest innovations for the plastics and rubber sectors at PLAST 2026 in Milan. The tour progressed to São Paulo, Brazil, for Expobor & Pneushow 2026, Latin America’s most significant rubber and tyre industry fair. This event served as a platform to reinforce ties with established local clients, engage with potential partners and discuss future collaborations.

The firm also attended Saudi Plastics & Petrochem 2026 in Riyadh, a critical gathering for the Middle Eastern petrochemical market. The exhibition underscored rising regional interest in sophisticated processing technologies, consolidating Comerio Ercole’s footprint in an area investing heavily in industrial expansion.

The company hosted an official delegation from Svilajnac, Serbia, at its Busto Arsizio headquarters to bolster economic and industrial exchanges between the regions. Comerio Ercole presented its expertise in rubber and plastics machinery while fostering dialogue on innovation and future partnerships. The company thanked the Municipality of Busto Arsizio and participating organisations for facilitating the exchange.

The newly launched JET – Joint Embossing Technological Center, a venture with the Italian SIMEC Group, has attracted attention within the technical materials industry. The market outlook for the first half of 2026 remains positive, with sustained investments from tyre and rubber clients complemented by growing opportunities in plastics processing. With numerous global projects underway, Comerio Ercole acknowledged the trust placed in its engineering capabilities by customers and partners, whose collaboration remains central to its growth.

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Continental has been awarded a gold medal in the 2026 EcoVadis Sustainability Rating, securing 84 points out of 100. This elevates the automotive supplier into the global top five percent of companies scrutinised by the Paris-based organisation. The evaluation marked a shift, as the company was examined for the first time under the ‘manufacture of rubber tyres and tubes’ classification, having previously been benchmarked under ‘parts and accessories’.

The highest scores came in environmental stewardship and labour practices, with 86 points earned in each. EcoVadis analysts weighed climate action plans, management frameworks and public sustainability disclosures. The firm's certification portfolio, procurement policies and execution of internal processes also contributed to the final rating.

Continental has boosted renewable and recycled input utilisation to 28 percent of tyre production materials as of 2025, with a roadmap calling for 40 percent by decade's end. Current lines incorporate reclaimed polyester from plastic bottles, repurposed steel, silica from agricultural ash and synthetic rubber from circular feedstocks. The group is intensifying supply web oversight through certified sourcing and binding sustainability clauses for primary vendors.

Absolute carbon output from tyre manufacturing has dropped by roughly 180,000 metric tonnes over four years, driven by cleaner energy carriers. In early 2026, Continental permanently ceased coal and heavy fuel oil combustion across its global footprint. Plants now generate process steam via green electricity, biomass, biogas and a mix of LPG and natural gas for grid stability. Since 2007, EcoVadis has expanded to over 150,000 rated entities, offering a digital platform for buyers and suppliers to compare supply-chain sustainability performance.

Jorge Almeida, Head of Sustainability for Continental’s Tires group sector, said, “Even in our new industry category, with its different assessment criteria, we continue to rank among the top 5 percent of companies worldwide. Our particularly strong score in the environment theme highlights the measures and management approaches we have implemented to achieve our sustainability targets – from using renewable and recycled materials to further reducing emissions at our plants.”

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The Association of Natural Rubber Producing Countries (ANRPC) is convening a major sustainability forum in Kochi, India, on 19 August 2026. The day-long event, running from 9:00 AM to 4:30 PM IST at the Crowne Plaza, represents a critical milestone for the natural rubber sector. Building upon the foundational discussions from the 2025 ANRPC meetings and the recent COP30 conference, the forum will unite member governments, industry leaders, non-governmental organisations and compliance bodies to advance a unified sustainability agenda.

The core objective of the gathering is to secure endorsement for the ANRPC’s Sustainable Natural Rubber Guidelines. A primary focus will be on deploying open-source traceability tools designed to facilitate compliance with the European Union Deforestation Regulation while ensuring that these measures do not impose additional financial burdens on smallholders and small-to-medium enterprises. The thematic discussions will be structured around environmental responsibility, including net-zero strategies, economic sustainability to protect smallholder livelihoods and fair pricing and market adaptation through sustainable finance for emerging sectors like electric vehicles and green construction.

The programme will feature five dedicated sessions covering net-zero pathways, national progress reports from India, Malaysia and Thailand and industry case studies from Indonesia, Cambodia and Vietnam. A key panel discussion will see government representatives and supply chain actors making future commitments. Attendance is targeted at ANRPC member states, supply chain stakeholders, rubber associations, environmental groups and relevant compliance organisations.

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Tolins Tyres Ltd has announced that its wholly owned subsidiary, Terra Rubber Pvt Ltd, has entered into a purchase agreement with Cochin Reclaim and Rubbers Pvt Ltd to acquire plant and machinery as part of its capacity expansion and backward integration strategy.

The agreement, executed on 1 July 2026, involves the purchase of identified plant and machinery from Cochin Reclaim, an unrelated third party. According to the company, the acquisition is intended to strengthen Terra Rubber's manufacturing capabilities through increased capacity and greater backward integration.

Under the terms of the agreement, Terra Rubber will acquire the machinery on an "as-is, where-is" basis. The subsidiary is required to remove the equipment from Cochin Reclaim's premises within 60 days at its own expense. Ownership of each item will transfer only after full payment has been made and the machinery has been physically removed.

Tolins Tyres said the transaction is a routine purchase undertaken in the ordinary course of business and will have no impact on the management or control of the listed company. It added that neither Terra Rubber nor Tolins Tyres holds any shareholding in Cochin Reclaim.

The company also confirmed that the transaction is not a related-party transaction, has been negotiated on an arm's length basis, and that Cochin Reclaim has no relationship with the company's promoter group or board of directors.

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