“India is the most logical candidate to replicate China’s success in becoming a manufacturing powerhouse.” Taneli Ruda Thomson Reuters
India is going through significant reform in investment, and development. India is ranked among the top three manufacturing locations by 2020. If one is thinking to re-locating or move their manufacturing operations to India, there are many good reasons to do so.
While considering India, long-term goals and the long-term potential of the Indian manufacturing industry should be the considerable factor. India possess a large engineer and factory workforce, reputable intellectual property protections, and easy access to workforce with good communication skills. The upcoming legal and tax reforms and significant manufacturing infrastructure investments also add to this list of possible reasons to manufacture in India.
Market Scenario: India has an attractive market with good potential and high feasibility to enter and contend in with in-nation manufacturing operations. It will tap into entirely new market to take advantage of.
English-speaking population: India has the second largest English-speaking population in the world, after the US.
The Indian legal system is based on British common law, which is most like the US legal system. Despite some regulatory hurdles, a similar system makes it easier to understand for people from other common law countries (like the US).
Work force for manufacturing is very cost effective in India, even when compare to China. Indian work force comprises of nearly 500 million unskilled as well as skilled workers, talent enriched market, capable of lending cost-effective research and development support to manufacturing operations. Around 12 million people enter the market each year, reported the Wall Street Journal.
High Quality Production: Manufacturing in India is primarily focused on high quality goods production because they use high quality equipment and tools. India doesn’t carry the stigma of poor quality production, unlike its counterparts.
Soft Power: Indians take pride in their work and are well-known for the care and transparency of their work and business dealings.
An initiative by the Government of India “Make in India” campaign to encourage companies to manufacture their products in India and increase their investment. The manufacturing industry, including significant investment and development, is on the high priority list of the Indian government. This will make India an even more apt choice for manufacturing.