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American Chamber of Commerce in India
Apex Chamber of U.S. Industry in India
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Breakfast Meeting on ‘Make in India: CEOs Speak on the Business Environment in India’ -7th July 2016
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Mr. Sivaram Yadavalli, Director – Strategy from PwC India made a presentation to members on 7th July 2016. The presentation was based on the PwC Survey Report – ‘CEO Speak on Manufacturing in India and Business Sentiment.’
The PwC presentation of the Indian manufacturing sector stated that India seems to be emerging from an almost stagnant state in the recent past and heading towards a path of growth. This is exemplified by the significant growth of the sector from April to November 2015. This turnaround has been acknowledged by various multilateral organizations, including the International Monetary Fund, which recently described the Indian economy as one of the few ‘bright spots’ in the global economy.
Recent initiatives by the Government of India, such as the Make in India campaign, has already started bearing results. While growth and investments in some of the core sectors remain a matter of concern, the economy is expected to do better in months to come. Similarly, Start-Up India will supplement the government’s efforts to encourage manufacturing in India. The programs provide global recognition to the Indian economy, facilitate investment and build best-in-class manufacturing infrastructure. It emphasizes the need for production in India, either by Indian companies or MNCs.
The study highlighted reforms related to land, labor and the goods and services tax (GST) as crucial means to attain the objectives. As per PwC’s 19th Annual Global CEO Survey, 75% of Indian CEOs believe there are more growth opportunities for their company today than three years ago. However, several barriers need to be overcome to realize sustained growth, some of which can be resolved only through government intervention. While the industry senses the right signals from the government and is optimistic about long-term prospects, its current mood can best be described as one of cautious optimism. The report summarizes the views and expectations of industry leaders and presents their recommendations for creating a vibrant manufacturing sector.
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Membership
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