Global supply chain being reconfigured : India must smartly restructure its economy

The two are linked and is likely to become more so. Plainly, it makes sense for India’s domestic market of 1.32 billion consumers to be viewed as an opportunity.

Equally, this is a market that global manufacturers need to target for their long-term viability in a riskier world. That is the real measure of the moment and the government is right to pursue a restructuring of India anchored by the following strategic objectives:

Unifying India with economic development that is plural and rural.

*Balancing the approach to regional development.

*Strengthening and leveraging India’s domestic market to attract FDI.

*Modernising agriculture, to create value-addition and advance rural aspirations.

The outcome is long-term employment and opportunities that will, in turn, strengthen the economy qualitatively and commercially. The clear differentiator for India, as it was for China two decades ago, is its large domestic market. It is a pathway to local scale, climbing the competitive value chain, as well as building an export base. This is the India that is on global companies’ radar as they consider de-risking their manufacturing in an evolving new world order.