Industry Update

Central & state governments should work cohesively for entrepreneurs to flourish

Industries that have hitherto been in the public sector such as railways and defence have opened up to private players, both Indian and international. Traditional sectors such as power and road construction are visibly making progress also.Jehangir Ardreshir, Group CEO & Director Supervisory Board, Forbes Marshall Pvt Ltd
  The concept of manufacturing has evolved from traditional industrial manufacturing to a variety of new age sectors and technologies including electronics, plastics, purpose-built materials and hybrid engineering streams such as mechatronics and bionics. India’s broad base of talent and engineering capability coupled with the innovations and entrepreneurship of Indian business people can change the landscape of the country if it is governed well.
Increased awarenessPost ‘Make in India’ initiative, awareness that manufacturing can be a job creator has increased. Awareness that manufacturing will tend to get progressively more automated has also increased, such that the effect on job creation will be the resultant of the two opposing forces. Both are integral to the evolution of manufacturing, as automation not only serves the purposes of cost reduction and stabilisation but also significantly improves competitiveness, consistency, quality and productivity.
When infrastructure is created, entrepreneurship follows Industries that have hitherto been in the public sector such as railways and defence have opened up to private players, both Indian and international. Traditional sectors such as power and road construction are visibly making progress also. The last twenty years have clearly shown that when infrastructure gets created, entrepreneurship follows speedily.
The overzealous capacity creation of the past 5-10 years will also have taught companies, both Indian and multinational to invest more wisely in a measured manner. While this may initially seem to reflect slower growth, progress will be more sure-footed this way. Consequently manufacturers who are currently perceived as smaller players demonstrate steady growth and they will also then tend to diversify their manufacturing into newer evolving technologies. Indian manufacturers are waiting to seize the opportunity but are much wiser today than they were 10 years ago.
Opportunity & positive energy makes India most preferredIndia will continue to be the preferred destination for global investment simply because the opportunity is great, the energy is turning positive, the country is run by a government that understands the role of business and particularly of manufacturing in building the economy and no other country offers this to investors at the moment. The risk is that internecine territorial mentalities dominate the national good. For entrepreneurs and business people to flourish adequately, it is vital that the central and state governments work together cohesively. Constructive and positive signs are visible of the central government reaching out to the states, many of which have reciprocated. This bodes well for the economy and global investors are the first to recognise this when it is handled sincerely.
Hindrances & roadblocksThe major roadblocks coming in the way of ‘Make in India’ are going to be the resource constraints of the availability of land (and fair compensation for it), power supply and water supply along with road, rail and water-way connectivity which will limit the progress. Since the government is pushing the right buttons, these road blocks will hopefully be short-lived. However a critical element in this equation is and will continue to be, is the ability of government, business and society at large to build enough trust to allow for the forward flow of infrastructure creation.
All those holding office either at the centre or state governments or companies, NGOs and other stakeholders, through extensive interaction with each other, need to build a common and mutual view of what is best for the country. Therefore, the key road blocks are the divisive mentalities that currently occupy various aspects of national public discourse.
Forbes’s contribution towards ‘Make in India’Forbes Marshall has been “Making in India” since 1959. It has recently invested in a large, sophisticated manufacturing facility at Chakan near Pune and is now proudly operating three facilities in Pune and one in Hyderabad. An international market thrust is going to fuel its aspirations for growth and the challenge now is to make sure that it sweat its new capacities as much and as soon as we can. As a company, more than a fifth of its revenue already comes from international business and aims to see this proportion increases on the solid foundation of Indian manufacturing base and will make in India for India and for the world.

Click to comment

You must be logged in to post a comment Login

Leave a Reply

Most Popular

To Top