The government is focusing on creating a favourable ecosystem to emerge as a trusted supply chain partner and evolve as a manufacturing hub.
Even though six months have passed, the year 2020 will go down in history as the period when the world stood still. The COVID-19 pandemic has unsettled economic and social stability across the globe. Stringent lockdown enforced by many countries in the wake of the pandemic has resulted in disruption of economic activity and a sharp decline in consumption. As nations have begun easing lockdown restrictions, emphasis shall now be on treading the long road to recovery.
During the last decade, China emerged as the world’s largest manufacturing hub earning the tag ‘The World’s Factory’. No other country could accomplish what China did through massive reforms spanning over quarter of a century. Nevertheless, considering the widespread disruption caused by the pandemic many multinational corporations have realised the need to expand the geographic spread of their manufacturing facilities and are exploring alternative sites.
This has turned out to be an excellent opportunity for India to induce fresh energy into the ambitious ‘Make in India’ plan. India had rolled out the ‘Make in India’ initiative back in 2014 with the primary goal of becoming a global manufacturing hub. However, the initiative met with tepid response globally. The current sentiment of diversifying manufacturing facilities could be an opportunity for India. Many multinational corporations have expressed interest in exploring India as a destination to set-up their manufacturing facilities.
Source: Financial Express
