Thursday, August 29, 2013: The new manufacturing policy of India lists various key objectives to be followed by manufacturers. The policy entails an increase of around 12 to 14 per cent growth over a period of 15 years in the manufacturing sector. Moreover, the manufacturers will be required to create 100 million jobs by the year 2025 with focus on inclusive growth that requires development of essential skill-sets among rural migrant as well as urban poor.
Apart from this, the policy envisages improvement in Indian manufacturing, improvement in India’s global competitiveness and sustainable growth without affecting the environment.
India is ranked as the 11th largest economy in the world in terms of Gross Domestic Product (GDP) and fifth largest with regard to purchasing power parity. From the period 2012 to 2017, the country’s GDP is expected to grow eight per cent.
Therefore, the Indian government is supposed to bring about improvement in the country’s infrastructure and do away with trade barriers in order to support the manufacturers attain the set goals under the new manufacturing policy. But, then the onus of expansion will fall on the shoulders of individual manufacturers.
So, it seems the NMP is set to benefit even the US industrial equipment manufacturers because in oredr to fulfill government’s growth plans, Indian manufacturing sector requires outside help. US equipment exporters can now enjoy the opportunity of increasing sales by targeting those Indian manufacturers, who want to increase capital expenditures for acquiring industrial equipment. Hence, Indian SMEs are the right place to start with.
