The "Manufacturing powerhouse " refers to the manufacturing capacity of country by which it can make and supply various industrial product output to cater to the needs of domestic and global customers.
While India has already initiated various initiatives towards becoming manufacturing power house ,it has lot to do in order to excell globally.Currently India stands at 5th position ,while China tops ,followed by The USA.
In order to realise true potential India must do following :
- Make taxation attractive
By cutting taxes rates ,it can attract global companies to invest in India . India's announcement to cut taxes from 25% to 15 % in union budget 2022-23 is good steps.
- Streamlining regulatory approval process and documentation
By integrating various regularly authority and making it single entity can be useful in reducing the overall time .
Making business ecosystem like network of suppliers ,component manufacturers ,distributors ,government agencies and customers efficient and easily accessible to each others. The example of such ecosystems are Special economic zone (SEZ) created in Gujrat ,telangana etc.
- Mandating make in India instead of Sell in India
- Various incentive schemes like PLI
Challenges:
- poor technology
- Low productivity
- Inefficient supply chain
Conclusion :
Unfortunately manufacturing industry in India has to face a lot of challenges to compete at global level. Adopting lean manufacturing concepts could help in joining the leaders in operational excellence and competing worldwide and hence becoming "Manufacturing powerhouse ".