As Prime Minister Narendra Modi is sworn in for a third term, although with a dented majority, what has emerged apparent is the continuity of most existing policies. But it also means avoiding introduction of bold measures which could spark widespread political debates or create any loggerhead. Retaining Nirmala Sitharaman as finance minister, Piyush Goyal as the commerce and industry minister and S. Jaishankar as external affairs minister, among others, has underlined that its approach will persist or could be broadened. This has, no doubt, assured the business communities across sectors that they can continue to do what they have been doing, and at the same time they can anticipate the implementation of several policies in pipelines.
As India continues to leverage the China Plus strategy, the government is expected to expand its production-linked inducement scheme and increase capital infusion. It has been reported that announcement of more expansion is already underway, and soon industries could even witness the introduction of 15% concessional corporate tax. These are commendable moves in the backdrop of intense geopolitical tensions which continue to haunt the world, and, in the worst case scenario, could play out as another, but protracted cold war.
But if India is to position itself as a competitive manufacturing hub, it should also factor in some of the obvious facts when important policies are designed. The abyssal chasm we find ourselves staring at is the massive shortage, both public and private, in R&D investments, the pace at which infrastructure development hasn’t lived up to our expectations and the necessity for major improvements in the education system. An examination of the tube and pipe industry's supply chain reveals a notable technological disparity, leading to heavy reliance on imported machinery.
The goal is to improve the current ecosystem to increase efficiency, meeting most of the local demand while establishing the country as a competitive exporter of innovative products and services to various markets. Essentially, an economy based on a strong mix of self-sufficiency and high-quality exports. With its potential, India can offer a lot to the world by providing top-notch products. But it has to strive harder to unlock the optimal potential.
The upcoming second edition of Tube & Pipe Fair, 2024, to be held in Hyderabad, shares similarities with the current state of the Indian economy, which is expected to experience 6.33 percent incremental workforce expansion in H1FY25, in various aspects. The optimism of the sector is evident in the positive responses we have received, with the exhibition space already fully booked and advance visitor registrations having exceeded our initial expectations, suggesting a potentially larger turnout compared to the last edition. In addition, we anticipate witnessing the unveiling of new innovations, the exchange of great ideas, and the establishment of strong partnerships that have the potential to elevate the industry to new heights. It's my understanding that there is much to be gained, and there is enough for all. I look forward to meeting you there.
Comments
Post a Comment