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Indian Contract Manufacturing Market | Covid-19 Impact Analysis
Indian market has been booming since 2014, ever since the government announced its “Make in India” incentives for companies which were planning to make India as a base for manufacturing products. As the same government is voted to power in 2019, the chances of this campaign getting stronger, better and faster creates an opportunity for all those who are still in a dilemma to choose the new contract manufacturing market in Asia. India gives a unique platform where it is connected well by rail, road, air and water with all the major markets. Manufacturers are making products in India and supplying them all over APAC including Australia and Japan, Africa, Middle East apart from Europe and USA.
Under the Make in India initiative, the Government of India aims to increase the share of the manufacturing sector to the gross domestic product (GDP) to 25 per cent by 2022, from 16 per cent. India is on the path of becoming the hub for hi-tech manufacturing as global giants such as GE, Siemens, HTC, Toshiba, and Boeing have either set up or are in process of setting up manufacturing plants in India, attracted by India's market of more than a billion consumers and increasing purchasing power. As per the sources from Government of India, India’s manufacturing PMI stood at 52.6 in March 2019, indicating an expansion. Firms remain confident about strong underlying demand, successful advertising and the receipt of bulk orders, all of which are supporting sales growth. As of December 2018, premium smartphone maker OnePlus is anticipating that India will become its largest Research and Development (R&D) base within the next three years. As of October 2018, Filatex India, a polymer manufacturer, is planning to undertake forward integration by setting up a fabric manufacturing and processing unit. As of August 2018, IISC’s Society of Innovation and Development (SID) and WIPRO 3D are collaborating to produce India’s first industrial scale 3D printing machine. For its Commercial Vehicles, Ashok Leyland is utilising machine learning algorithms and its newly created telematics unit to improve the performance of the vehicle, driver and so on. So which are the pockets where contract manufacturing companies can benefit?
Till date Gujarat, Maharashtra, Himachal Pradesh, some parts of Andhra Pradesh and Karnataka have been known to the world, however, recently, states like Odisha and Telangana have emerged as the new hub for investments. In the 72nd Survey of Projects Investment in India conducted by Projects Today magazine, Odisha has topped in fresh projects expenditure by contributing 11.68 per cent of the total fresh projects announced in the July-September period (Q2) of the current fiscal, followed by Andhra Pradesh (10.13 per cent), Karnataka (8.02 per cent), Maharashtra (7.45 per cent) and Gujarat (5.54 per cent).
The Indian Contract Manufacturing Market report, from Stratview Research, answers the following key questions: Which are the best Indian Contract Manufacturing Units which can be considered for tie-ups or joint venture? Which banks or financial institutions can offer soft loan? Which government agencies such as BIPP or BIRAC can help SME in healthcare to setup units under Make in India project?
With the ongoing policy reforms in sectors such as single brand retail trading, civil aviation, real estate broking service, universal healthcare and simplification of legal, regulatory system and approval processes, India has moved into the top 100 countries in the World Bank's Ease of Doing Business global rankings in 2018. As per statement from officials in Government, many multi-national companies are already using their Indian outfits for design and R&D of new products and services, and with electronics manufacturing ecosystem now growing strongly, other sectors such as textile, apparels, automotive and medical devices are witnessing tremendous growth.
The Indian Contract Manufacturing Market report from Stratview Research identifies key industries which offer lucrative and long term growth in the global market and highlights key contract manufacturing units, their org structure, background, capabilities to help the new players short list their new friends in this market.
Key EMS companies such as Jabil Circuit India Pvt Ltd., Dixon Technologies (India) Pvt Ltd., SFO Technologies Pvt Ltd., Elin Electronics Ltd., Rangsons Electronics Pvt Ltd., PG Group., Kaynes Technology India Pvt Ltd., Centum Electronics Ltd. And more have been studied in detail and ranked as per their capability, perception in the market. In the automotive industry, companies such as Ayushi Engineering Company, Auto International, Arjan Industries, Best Forgings India Private Limited and more have been shortlisted. In Healthcare industry, companies such as NG Healthcare (Pharma), big names such as Piramal Pharma Solutions, Innovexia Life Sciences Pvt Ltd., Medlock Healthcare, Biophar Life sciences Pvt Ltd., Sunwin Healthcare Pvt Ltd., Arlak Biotech Pvt Ltd., Zencus Pharma are few names of the many selected for this study. In Agriculture and Food Industry, companies such as Havit Remedies, Ashok Food and Pan Products Limited, Safa Agro, Saras Products and more have been considered.
For banking and finances and funding, BIPP, BIRAC (Department of Biotechnology) have been studies in depth while in the private market, venture capitals such as Helion venture partners, Accel partners, Bloom ventures, Sequoia capital India, Nexus venture partner, Inventus Capital Partner, Nasper, Steadview Capital, Jungle Ventures, Zodius Capital and several such financial institutions have been studies and ranked in Stratview’s Perception Matrix for the ease of investors and readers.