India emerges as second most attractive manufacturing hub globally: report - Newztezz Online


Wednesday, August 25, 2021

India emerges as second most attractive manufacturing hub globally: report

India has become the second most attractive manufacturing destination in the world, leaving America behind. 
This has been revealed in a report released by real estate consultant Cushman & Wakefield. The report said that India's attractiveness as a manufacturing hub has increased due to efficiency on the cost front. Recently, NITI Aayog CEO Amitabh Kant had said that India cannot become the new manufacturing hub of the world by copying China. If India has to move ahead in this field, then it has to focus on the new emerging areas of growth.

India left America behind

According to the list of Cushman & Wakefield, China is number 1. At the same time, India is on the second position. Last year India was at number three in this list.

  1. China
  2. India
  3. America
  4. Canada
  5. Czech Republic
  6. Indonesia
  7. Lithuania
  8. Thailand
  9. Malaysia
  10. Poland

Government's scheme is benefiting

The central government has started the PLI scheme to promote manufacturing in the country. Through this, companies are given special concessions as well as financial assistance for setting up and exporting their units in India.

In the next five years, an incentive of Rs 1.46 lakh crore will be given to the companies producing in the country. With this, India's expenditure on imports will be reduced by making the product in the country. When goods are made in the country, new employment opportunities will also be created.

Under the scheme, foreign companies will be helped to set up factories in India as well as domestic companies to set up plants. This plan is for 5 years. In this, companies get cash incentives. All emerging sectors such as automobiles, networking products, food processing, advanced chemistry, telecom, pharma, and solar PV manufacturing can take advantage of this scheme.

Know about the report

Cushman & Wakefield said in the statement that India is second only to China in the most sought-after manufacturing destination. This shows that manufacturing is showing interest in India compared to America and the Asia-Pacific region. India's attractiveness as a manufacturing destination has increased in terms of cost. Apart from this, India has successfully met the outsourcing requirements. This has improved India's ranking on an annual basis.

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