India will benefit from the global supply shift from China following the Corona

India, like China, will become a manufacturing hub

(PTI) New Delhi, Ta. Monday, December 28, 2020

India will benefit from China's declining dominance in the global supply chain in the wake of the Koro epidemic, a survey has found. A survey conducted by FICCI Pole Advisors this month covered more than 150 Indian companies.

Elaborating on the findings of the survey, FICCI said that China's dominance in the global supply chain has shifted to other economies due to the Covid-19. About 70 per cent of the companies surveyed said the change would definitely benefit India. In the near future, manufacturing activities will increase in India as well as in China.

The survey further said that the expectation of the corona vaccine coming next year has boosted the confidence of industrialists and consumers. Seventy-four per cent of the companies surveyed believe that the vaccine will have a positive impact on their business as soon as it becomes available.

However, according to FICCI President Uday Shankar, India needs to improve its manufacturing ecosystem. It may be mentioned that the government has taken several steps to increase manufacturing activities under the Self-Reliant India Package. A number of steps have also been taken to increase the competitiveness of manufacturing in India.

Uday Shankar further said that the findings of the survey are encouraging and now all eyes are on the next budget. Following Corona, this time the budget will be different from the general budget.

The companies participating in the survey have appreciated the decisions taken under Self-Reliance-3. The survey, conducted in December, 2020, found that the performance of companies in December, 2020 is better than in August, 2020. The order book of 50 per cent companies has improved while the exports of 40 per cent companies have seen an increase.