India is one of the fastest-growing economies in the world, and its manufacturing sector has played a significant role in this growth. Indian manufacturing companies have been competing on a global scale in recent years, and their success has been a result of several factors, including the country’s large population, skilled workforce, and favorable government policies. In this blog, we will explore how Indian manufacturing companies are competing on a global scale.
How Indian Manufacturing Companies Are Competing globally
India’s Population Advantage
India’s population is one of its biggest advantages in the global market. With a population of over 1.3 billion people, the country has a vast domestic market for its products. This large population also means that Indian manufacturing companies have access to a huge pool of skilled and unskilled labor. This has helped Indian companies to produce high-quality products at a lower cost compared to other countries.
Moreover, India’s demographic dividend is expected to continue for the next few decades. This means that the country will have a young and dynamic workforce that will drive its manufacturing sector. The demographic dividend will help Indian manufacturing companies to remain competitive and expand their operations in the global market.
Skilled Workforce
India has a skilled workforce, which is a crucial factor for its manufacturing companies to compete on a global scale. The country has a large pool of engineers, scientists, and technicians who are well-trained and have experience in their respective fields. This has helped Indian companies to develop and produce high-quality products that meet global standards.
The Indian government has also taken several initiatives to improve the skills of the country’s workforce. The Skill India program is one such initiative that aims to train over 400 million people in various skills by 2022. The program has been a success, and it has helped to create a skilled workforce that is competitive in the global market.
Favorable Government Policies
The Indian government has implemented several policies to promote the growth of the manufacturing sector. The Make in India initiative is one such policy that aims to encourage foreign companies to set up manufacturing units in India. The policy offers various incentives such as tax exemptions, subsidies, and a simplified regulatory framework for foreign companies.
The government has also introduced the National Manufacturing Policy, which aims to increase the share of manufacturing in India’s GDP to 25% by 2022. The policy focuses on developing infrastructure, promoting innovation, and creating a conducive environment for the growth of the manufacturing sector.
Moreover, the government has also launched various schemes to support the growth of small and medium enterprises (SMEs) in the country. These schemes provide financial assistance, training, and marketing support to SMEs, which has helped them to compete on a global scale.
Innovation and Technology
Indian manufacturing companies have been investing in innovation and technology to stay competitive in the global market. The country has a vibrant startup ecosystem that has produced several successful startups in the manufacturing sector. These startups have developed innovative products and technologies that have helped them to compete with established players in the global market.
Moreover, the government has also launched several initiatives to promote innovation in the manufacturing sector. The National Innovation Foundation (NIF) is one such initiative that aims to promote innovation among grassroots-level innovators. The NIF provides financial support, mentoring, and networking opportunities to innovators, which has helped to create a culture of innovation in the country.
Infrastructure Development
Infrastructure development is crucial for the growth of the manufacturing sector, and the Indian government has been investing heavily in this area. The government has launched several initiatives to improve infrastructure, such as the Sagarmala project, which aims to develop India’s ports and coastal areas.
The government has also launched the Bharatmala project, which aims to improve the country’s road infrastructure. These initiatives have helped to improve logistics and transportation, which has made it easier for Indian manufacturing companies to access markets both within the country
conclusion
In conclusion, Indian manufacturing companies have made significant progress in the global market, thanks to their commitment to quality, innovation, and cost-effective production methods. Their focus on sustainability and corporate social responsibility has also played a crucial role in building a positive image in the international market. While challenges such as infrastructure and policy reforms still exist, the Indian manufacturing industry is poised for further growth and expansion in the global arena. By leveraging their strengths and addressing their weaknesses, Indian companies can continue to compete and succeed on a global scale.
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