India is not a global manufacturing hub like China. In fact, India is neither a domestic manufacturing hub. In other words, India is not even manufacturing common household goods that are consumed by Indian consumers. Instead, India is trading these simple goods from China and consuming them domestically. Therefore, India's trade deficit with China keeps on rising year after year. As things stand today, India's trade deficit with China is approximately 60+ billion US$. Or in other words, approximately Rs 4.2 Lacs Crores on a yearly basis. That is huge. If India neutralizes its trade deficit with China and starts manufacturing common household goods in India itself, then, consumption of those goods in India alone would result in the generation of millions of manufacturing jobs. However, since Indian manufacturers are not manufacturing these simple goods in India, therefore, jobs are being generated in China. This is not sustainable. India is a low middle-income country and outsourcing manufacturing jobs to an outsider (China) is unsustainable.
Therefore, the pertinent question would be, 'Why are Indian entrepreneurs not able to manufacture simple household goods in India'? There are many reasons for it such as a lack of attention to details by manufacturing policymakers, a lack of focus on manufacturing technologies, a lack of focus in training the workforce, etc. However, all these challenges can be overcome in a matter of 2-3 years provided our policymakers get their act together and start focusing on the manufacturing sector comprehensively. This is possible by involving startup manufacturing entrepreneurs as well as industrialists in policymaking. The policymakers at this stage of India's growth trajectory are cut off from the ground realities.
What are the difficulties faced by a manufacturing entrepreneur in starting up as well as in scaling up? The current manufacturing or 'Make in India' policy has no clue about it. Unless and until the policymakers understand the challenges or obstacles faced by our manufacturing entrepreneurs, we will not be able to come up with solutions in order to make Indian manufacturing competitive. And unless and until the manufacturing sector picks up, we will not be able to provide jobs to people. And unless and until the manufacturing sector revives, we will not be able to boost our GDP growth.
It is high-time manufacturing entrepreneurs in India, SMEs, as well as job seekers, start putting pressure on our policymakers to revive the manufacturing sector. Unlike the IT sector, the manufacturing sector requires government support. Government support in training the workforce, developing the infrastructure to build manufacturing capabilities including developing the manufacturing technologies, financing, and enacting new manufacturing laws. Without government support, the manufacturing sector can not move forward. Therefore, the governments at the center as well as at the state level must form a committee of entrepreneurs to devise a manufacturing policy. Manufacturing entrepreneurs surely know the missing links and with the feedback provided by these entrepreneurs, the solutions can be found out.
India can certainly manufacture common household goods. Wages are rising in China. And with the outbreak of Coronavirus, it further presents an opportunity for Indian policymakers to get their act together and focus on developing a comprehensive Make in India policy by involving manufacturing entrepreneurs in the policymaking roles.
So, in a nutshell, if we get our policy right, then, we can surely be a global manufacturing hub. It will take time, but it is doable.
Therefore, the pertinent question would be, 'Why are Indian entrepreneurs not able to manufacture simple household goods in India'? There are many reasons for it such as a lack of attention to details by manufacturing policymakers, a lack of focus on manufacturing technologies, a lack of focus in training the workforce, etc. However, all these challenges can be overcome in a matter of 2-3 years provided our policymakers get their act together and start focusing on the manufacturing sector comprehensively. This is possible by involving startup manufacturing entrepreneurs as well as industrialists in policymaking. The policymakers at this stage of India's growth trajectory are cut off from the ground realities.
What are the difficulties faced by a manufacturing entrepreneur in starting up as well as in scaling up? The current manufacturing or 'Make in India' policy has no clue about it. Unless and until the policymakers understand the challenges or obstacles faced by our manufacturing entrepreneurs, we will not be able to come up with solutions in order to make Indian manufacturing competitive. And unless and until the manufacturing sector picks up, we will not be able to provide jobs to people. And unless and until the manufacturing sector revives, we will not be able to boost our GDP growth.
It is high-time manufacturing entrepreneurs in India, SMEs, as well as job seekers, start putting pressure on our policymakers to revive the manufacturing sector. Unlike the IT sector, the manufacturing sector requires government support. Government support in training the workforce, developing the infrastructure to build manufacturing capabilities including developing the manufacturing technologies, financing, and enacting new manufacturing laws. Without government support, the manufacturing sector can not move forward. Therefore, the governments at the center as well as at the state level must form a committee of entrepreneurs to devise a manufacturing policy. Manufacturing entrepreneurs surely know the missing links and with the feedback provided by these entrepreneurs, the solutions can be found out.
India can certainly manufacture common household goods. Wages are rising in China. And with the outbreak of Coronavirus, it further presents an opportunity for Indian policymakers to get their act together and focus on developing a comprehensive Make in India policy by involving manufacturing entrepreneurs in the policymaking roles.
So, in a nutshell, if we get our policy right, then, we can surely be a global manufacturing hub. It will take time, but it is doable.
