The Growth Of Indian Manufacturers As Compared To The Other Traders

By Author: Indian Industry
Total Articles: 163
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By its four commodities apparel, chemicals, auto components and electrical and electronic products only it has taken a good shape in the market and is firm to withstand the long run. Indian suppliers are rapidly growing in comparison to other developing countries and will sure emerge in top 3 positions if the Indian government supports it.

Indian manufacturers had been screened from large scale manufacturing exports. But as per McKinsey report the forthcoming brand in the future years would be 'Made in India'. India would soon emerge in the picture as the developed nations utilizes Indian manufacturers for manufacturing and producing from cheap labor as it is a low cost country (LCC).

The report suggested that the US$40 billion as in 2002 will rise to an approximate of US$300 billion by 2015 which would interpret 3.5 per cent of Indian suppliers in the global market.

This will increase the Indian GDP by 1 percent thereby creating 25-30 million new jobs in the marketing fields. But in order to survive Indian exporters and suppliers will have to become global in ...
... their outlook, marketing skills, cost efficiency to gain maximum advantage. For further growth Indian suppliers would need to improvise taxation, infrastructure, SEZs and enhance skills.

As compared by the reports of 2002 China's manufacturing exports accounted US$ 300 billion, Taiwan's US$ 145 billion, Mexico’s US$ 140 billion, Malaysia's US$78 billion and Thailand's US$55 billion while Indian suppliers US$40 billion. But in the long run Indian manufacturers can make it to 3.5 percent of total world export and reach the top three in exports by 2015.

Indian suppliers & manufacturer have a good scope in manufacturing exports for it has skill intensive industries and evolving domestic demand. Researches demonstrate that US$70-US$90 billion can easily be made through apparel, chemicals, auto components and electrical and electronic products.

In 2002 Indian suppliers & manufacturer exported US$ 10 billion in the above items. By 2015 over US$300 billion can be gained from apparel alone. And Indian suppliers & manufacturer can become the second-largest LCC exporter with 8-10 percent of global trade. Indian manufacturers in 2003 had US$1 billion in auto-components which can plunge to US$375 billion by 2015 if it pace at 30 percent a year. Indian suppliers & manufacturers should not slag behind since Thailand and China is also trying to capture the market at their pace. In electrical and electronic products India should go as far as US$15-US$18 billion. Indian manufacturers lead in LCC exporters segments such as dyes and intermediates, Active Pharmaceutical Ingredients (APIs) and agrochemicals for crop protection. Indian exporters & manufacturer will sure outshine if the central, state governing bodies along with MNCs work together.