India can go local to global

If local sector gets out of the mental silo of playing safe, India can go local to global. Time has come to adopt a global mindset
 Rishabh Instrument Pvt. Ltd. has over two decade of experience in manufacturing, sourcing, and cost reduction. Its vertically integrated setup has been a logical alternative for many global companies. Priyatosh believes India has the ability to go from local to global and explains what should be done for the same.
‘Made In India’ could become a success storyThough India was not aggressive enough to seize significant manufacturing competitiveness gains till now, going forward, ‘Made in India’ could become a manufacturing exports success story. The global trend to manufacture and source products in low-cost countries is gaining prominence steadily over the past few years, specifically in the skill-intensive industries where India has a significant competitive advantage.
India needs to have a global mindset along with a careful selection of product segments or offerings and also quickly build on existing cost advantage and marketing capability. Adding to that, key reforms in taxation, infrastructure, capable labour and skill development are needed in order to achieve India’s manufacturing potential. Majority of Indian manufacturing companies are largely domestic market-focused, and pursue mostly undifferentiated business models.
If local sector gets out of the mental silo of playing safe, India can go local to global. Time has come to adopt a global mindset to build, scale and achieve cost excellence, acquiring market access rapidly, also including inorganic growth routes, strengthening design and innovation skills, and mastering the ability to manage a world-class talent pool and organisation.
Overcoming limitationsThe limitations need to overcome in today’s scenario:• Poor infrastructure and inconsistency in government policies• Increased inflation, higher interest rates and lower growth rate in recent years which take its toll in sourcing raw material• Land acquisition policy and labour laws along with inconvenient procedures for shipping manufactured goods overseas, which poses a challenge to manufacturers.
New govt and expectationsNew govt. should address the current issues to encourage the manufacturing sector. It should replace indirect taxes on goods such as excise, state and central sales tax, octroi and entry tax with a single nationwide tax. The multiplicity of taxes influences the cost advantage and also affects competitiveness.
Archaic labour laws must be reformed. Also there is need to bring some policies so as to facilitate skill development of the existing workforces.
Roadmap for RishabhOther than modernising and improving its present basket of products, Rishabh has made its mind to add one new product each year to the existing range. Hence it is mixing traditional products with modern products/technologies such as instruments to measure solar parameters or improve power quality.
After Lumel, S.A., Rishabh has bought the Sifam and Tinsley brands which have a high reputation in UK. Rishabh makes five-year rolling plans to give its growth a particular direction proposed on the basis of market requirement.

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