Why can't India be a World-Class Player in Manufacturing Industry as it is in IT & BPO Sectors?

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103 comments Page 1 of 11.

N.PAVAN KALYAN said:   4 years ago
India is a developing country and we are in the process of transformation.

To set up a manufacturing industry it takes a lot out from an individual. You need factors of production of land, labour, capital and entrepreneurship. You need raw materials near to your industry, you need a market near to you and moreover, you need government help. But whereas in it and BPO sectors the process is simple and less time taking compared to manufacturing industries.

The main thing is that we are habituated to follow some one's path rather than taking risks and starting something new. But things are changing and we are starting slowly to invest in manufacturing industries as well. We have the largest youth population in the world, with good support and guidance we can achieve everything.
(24)

Nisha said:   4 years ago
Hello friends this is Nisha,

And I think India is the developing country not developed, and our government System is not working in a good way for the manufacturing sector and our education system is also one of the most important reasons behind our manufacturing growth because we have a lot of IT and BPO sectors but all students of IT wanna work with MNC's they not want to start up their own business. We all know that we have skills and we are a hard worker but our country's condition is not suitable for start up a manufacturing business. And someone wants to start up a business he has to bring a advanced technology and a strong economic infrastructure, but in India, it is so difficult to get all things easier. But we are developing and one day we will become a world class player in the manufacturing sector.
(22)

Anomii said:   4 years ago
Manufacturing industry demands lots of risk factors, heavy capital and skilled manpower but in our country we always avoid to take risk.

Our students are made to focus on the technology that has been already developed in other countries rather than promoting research and development.

We know that we are unable to apply our theoretical knowledge in industries but still we are not providing practical knowledge.

And there is no doubt that IT sector will grow day by day because we can see that everything around us is converting inti digital.
(14)

Tarundeep Singh said:   6 years ago
There is no denying the fact that India is the hub of outsourcing companies. The tremendous growth opportunities, cheap labour and friendly Government policies have made easy for foreign companies to:

India is a developing country & the manufacturing industry has seen a similar boost in the recent years with the likes of famous industrial giants like TATA, Ambani Brothers and much more who have proved their mettle in the manufacturing industry.

Moreover, the scenario is changing nowadays. For example, Chennai is the base to around 30% of India's automobile industry and 40% of its auto components industry. A large number of automotive companies including Hyundai, Renault, Nissan Motors, Ashok Leyland, Daimler AG, Caterpillar Inc. Komatsu Limited, Ford, BMW and Mitsubishi have manufacturing plants in Chennai.
Wages and machines that are used to manufacture goods will depreciate, but human assets have their value. Thus it is the best time for India to invest in manufacturing industry due to many advantages:

* Economic conditions are improving.
* Brain drain has reduced.
* Many improvisations and innovations in technology.

Further, Most of the developed countries have derived their major share of GDP from secondary (manufacturing) & tertiary (service) sectors. Thus it becomes very vital for a country like India to give a boost to its industrial sector to recover from the sagging economic depression.
(42)

Shivam said:   6 years ago
The main hurdles which India faces to emerge as a giant in manufacturing hubs are :

1. Lack of skilled manpower in-spite of being the 2nd most populated country in the world. There is an urgent need to update the work process as well as working environment, in order to survive in this era of globalization. This does not imply to remove the existing employees, but rather it suggests to upgrade their skills by imparting them with proper training.

2. India has abundant raw materials, but it does not have the appropriate industries to process them and make them ready to use. It is because of same reason that we need to export a lot of items from China. What could be the reason behind it ? Well, its simple and evident -"lack of government initiative". If government could take an active role in this, then surely India can be a manufacturing giant. Every year, a part of budget, approx. (12-15%) is spent in manufacturing sectors but still there is no sign of any positive outcomes. This is just due to the lethargic attitude of the politicians. Unless and until, there is a check on such people, India can't emerge as the hub of manufacturing market.

3. Lack of research and development works. The youth should be enlightened of the glory that R&D can bring to India. India is a pool of talents, but due to lack of R&D, these people get lost in the herd of men.

4. The existing labor laws are somewhere creating hurdles and obstacles. It needs to be revised and upgraded.

5. Lack of advanced education system. Still lots of colleges in India don't impart good education system. Students are driven to easy and short cuts methods. Engineers are being produced every year on large scale, but still we don't hear of any good research works which our youth did in past 10-20 years. It appears that they have opted to work in IT sectors, where scope of R&D is less, or even if it is there, its just what the company would want you to do. Due to lack of interest in youth, the dream of being a manufacturing hub is still in dilemma.
(45)

Kedar k samel said:   6 years ago
Lack of localization project initiated by Indian we get wave off on import duties where less the taxes imposed in localization are huge gov. Should also give tax waiver on companies who manufacture Indian products solely and should also give subsidy on Indian product to promote it to world class level.
(7)

Abhishek said:   6 years ago
Hi, all.

The issue raised is a very important one. Let me describe the reasons in the following points.

1. The prime reason is the lack of infrastructure. INDIA still lags in basic infrastructure like robust ports; roads and rails. Further; they are poorly managed. For example, the cross-subsidization in railways has always enhanced freight costs. In all, there is infrastructure cost that a firm has to pay.

2. The second most important problem is the bureaucratic hurdle. There are too many laws governing manufacturing in India like apprentice act labour laws etc. These are time-consuming and have also become a source of corruption. All processes need to be streamlined if manufacturing is to take off.

3. Lack of properly trained and skilled employees is another issue. Most of the colleges in India are teaching outdated technologies. Out of 3000 engineering colleges, only 100 could afford to provide significant facilities.

4. Countries, where manufacturing has taken off, are the ones where govt strongly inventivizes entrepreneurship. Such a theme is lacking.
(21)

Ayub said:   6 years ago
Hello friends, I am Ayub from Bansberia.

When I have choosen the IT sector then was unaware of the fact that the top companies of the world like Microsoft, HCL, ORACLE etc are behind to the Indian IT companies like TCS, WIPRO, INFOSYS etc in India. So, I felt great about it but we all know that growth takes place slowly. Thus the amount of manufauturing that is going on right now in India will definitely gonna make India a prime player in the world of manufacturing in upcoming 4-5 years.

Thank you.
(6)

Shubham gupta said:   7 years ago
According to my view, India has the capacity and strength to become a manufacturing hub.

The things those are biggest obstacles in its way are the lack of healthy competition between manufacturers, heavy tax, corruption etc.

If I consider about private sectors if any person tries to start a company with his hard earned money then there are many people to discourage him by not passing the order, so called agents are also there they establishes a sense of discontentment in his soul and he takes its revenge by using low-quality raw material resulting in low quality of materials. This is the case of small scall industrialists. If we see in big companies scenario is almost same there. In order to save cost of manufacturing they use duplicate (not their genuine) parts and hence quality is also degraded here.

The reason for this is due to lack of transparency unlike in IT industries everything is in its order. We just can't compare the things of ITs with factories.

The Manufact. Comp. Should use more and more R&D firms.
(9)

Harika Guntupalli said:   7 years ago
If we hire disabled people who can work with their abilities then employee teams will be strong for the successful manufacturers.
(9)


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