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

Apart from Political will here few things that I want to mention.

Not even 4 % of the population is working IT and Service sector, So it is not the entire India is into IT and Service sector.

Go to rural place, people migrate to work as Day labors in Cities.

People are in fear of starting something new, or introducing new products, or designing new for upcoming working class.

People are always telling their kids (hypnosis) to study well to get good job.

So they think they were born for modern day slavery.

After school and college hardly 2 % study a book or read some important self help article. And those 2 % are those who work in IT or Service sector.

People who want to do something (such as business or inventing) are discouraged by saying you do not have money and so on.

If there is will there will be a way.

People should help other people in rural and smaller cities to start motivating entire India, we will be the youngest Nation (by population) by the year 2060, we can become a wealthier nation and overthrow US economy before 2030.

I agree with that India has surplus manpower and infrastructure, but in addition with that is we are lagging way behind in R&D than other countries. We never spend capital in R&D, rather India follows the trend of expanding fund on buying technologies and MARKETING them according to their targeted consumers. And Also we don't have any platform where our manpower and resources can perform and be efficient.

If we talk about solution, BIG GIANTS like tata, rel and Govt of India should invest more in R& D sector, then automatically manufacturing sector will get boost.

One problem that the manufacturers are presently facing in many sectors is the problem of inverted duty structure.

Under the inverted duty structure, finished goods are taxed at a lower rate than input components. Hence, the higher rate of excise duty on inputs and lower duty on finished goods leads to accumulation of Cenvat Credit which ultimately results as a cost to the manufacturers.

The imported raw material users in a range of manufacturing industry segments are in a spot due to inverted customs duty structure that makes them uncompetitive against cheaper finished product imports and discourages domestic value addition.

In my opinion, availability of basic facilities like electricity, water etc are the main problems being faced by the manufacturer. Secondly, our corrupt system also sometimes becomes a big hindrance for one to work peacefully. One cannot give 100% to his work because of harassments from various departments.

On personal front, small manufacturers always fear in adapting to the latest technologies. Also many manufacturers lack in work ethics.

India will be world class in manufacturing, when it will produce the finished products at a cost lower than the other nations. Lower cost can be achieved only when it has technology. The World Class players in manufacturing have the technology, that's why We can not compete them.

Solution for the problem is Expanding money on Research & Development.

During the last decade, youth were very much attracted towards the IT sector which was more money earning way that could be one of reason for development of IT sector in India.

Coming to manufacturing, as the government neglected the R&D because of corruption and dependence on wealthier countries for technologies was increased, and then India just becoming mere supplier of raw materials, education system in India should also change, some strict rules and goals must be followed in government owned PSU to become world class manufacturers.

India is one of the country in which people are suffering from corruption and all the political leaders are working for their own but not for the people and our country. All the corrupted money has to be taken out and should be used for development of our country and then our country becomes one of richest country in the world. But we the people are encouraging our politicians and therefore we can't change the present status of India.

In India all the resources are available to be developed. So my opinion we can make our country a best manufacturer in IT industry when all the black money is taken out and when all the resources and even people are properly utilized.

Yes it can be. When some dream come true like:

Government should invest more to buy intelligent brain for research and development.

If they are paid equivalent to private companies, the will love to join R&D.

In our country most of the student don't get quality education in rural area because most of teachers are corrupt in government school, and in private school teacher are not as much qualified to teach children. As a result student are even not able to get a job. How they think about research and development?

* I don't think poor education system can be considered for this issue.

Because if somebody can join IT, Marketing, Finance passing out from the so-called poor education system then he can also join in core industrial field.

* The metal (lurgy) we have in India is more than sufficient for a good industrial establishment, but we give emphasis on exporting/outsourcing rather than investing in our own possibilities. Thats may be due to corrupt political system or poor self-centric mindset towards profit & growth.

* According to me Govt's action plays vital role in establishing a leading industrial development. A no of investors not only forward their hand but also ensure a better social, educational and overall development locally and hence in a bigger prospect. But politics, sometimes lack of thinking of even educated people makes it a bigger fail.

* Finally I am sure we can lead in manufacturing industry if Govt encourages the investors and more importantly supports them without playing with their patience (eg. Vedanta Alumina in Odisha not started from last 7 years because of politics and only pollutics).

Lots of problem had all ready told by my friends. But the main point we missing here is that how many patent we have related to manufacturing, for getting those & apply in industry we have to paid extra money to them.

Unfortunately we think that its an fault of gov. We all equally responsible for those.