India failed to create positive impression among businesses moving away from China, says House panel report

[beijingwalker]

India failed to create positive impression among businesses moving away from China, says House panel report​

The report stated that India has not been able to take advantage of the “China Plus One Strategy,” through which multinationals shifted manufacturing and production away from China​

March 24, 2023 11:03 pm | Updated 11:03 pm IST - New Delhi
VIJAITA SINGH

Despite resources, India has not been able to create a positive impression among businesses moving away from China, a parliamentary panel on commerce has said in its report tabled in the Rajya Sabha on Friday.

The report stated that India has not been able to take advantage of the “China Plus One Strategy,” through which multinationals shifted manufacturing and production away from China.

It said that the other southeast Asian countries such as Vietnam, Thailand, Cambodia, and Malaysia have become bigger beneficiaries of the strategy.

The report said that India’s competitive position in the pharmaceutical sector is undermined by its high import dependence for bulk drugs or Active Pharmaceutical Ingredients (APIs), especially from China.

The Ministry informed the committee that in fiscal 2022-23, till November 30, the value of total import of APIs stood at ₹27, 209 crore, out of which imports from China stood at ₹18,973 crore, nearly 70% of the total share. The import increased despite the border row with China since mid-2020 when 20 Indian soldiers were killed in violent clashes with the Chinese soldiers in Ladakh’s Galwan Valley.

The committee headed by Congress leader Abhishek Manu Singhvi tabled the report on Friday.

PLI schemes​

The government submitted that certain steps such as Production Linked Incentives (PLI) Schemes have the capability to make India a more attractive location for companies looking to diversify their supply chains away from China, adding that it is striving to simplify the compliances on businesses and to improve overall business environment in the country. It added that more than 3,500 provisions have been decriminalised by Ministries and States and the Jan Vishwas Bill to amend 42 Central Acts has been introduced to enhance trust-based governance.

The committee is of the view that the ‘China Plus One Strategy’ presents a rare opportunity to boost industrialisation and the country to emerge as a part of Global Value Chains (GVCs) replacing China in various strategic industrial sectors. “The southeast Asian nations such as Vietnam, Thailand, Taiwan and Malaysia have emerged as viable alternatives to machinery, automobiles, transport and electrical equipment industries shifting their manufacturing bases away from China. Factors such as cheap labour, lower corporate Income Tax, proactiveness in signing Free Trade Agreements (FTAs), conducive business environment, etc, are providing additional advantage to these countries along with their geographical positioning advantage,” the report said.

The committee recommended rationalisation of direct taxes and indirect taxes must be done in sync with the international norms and laws to increase the competitiveness of domestic industries in the global markets. It also asked the government to pursue Free or Preferential Trade Agreements with countries that seek to invest in India under the ‘China Plus One Strategy’.

The government informed that India has signed 13 Free Trade Agreements (FTAs) and six Preferential Trade Agreements (PTAs) so far, adding that FTA negotiatons with the U.K, Canada and the European Union will be concluded in the “upcoming year.”

https://www.thehindu.com/news/national/india-failed-to-create-positive-impression-among-businesses-moving-away-from-china-says-house-panel-report/article66658178.ece

 

[beijingwalker]

I said it from day one, the next manufacturing powerhouses are Vietnam, Thailand... but never India, India just doesn't have that hardworking, discipline and coordination ability in its society. Everyone goes for their own interest, never ready to sacrifice even the slightest for the common good and collective wellbeing, this sets India very apart from east Asian cultures.

 

[iamnobody]

I said it from day one, the next manufacturing powerhouses are Vietnam, Thailand... but never India, India just doesn't have that hardworking, discipline and coordination ability in its society. Everyone goes for their own interest, never ready to sacrifice even the slightest for the common good and collective wellbeing, this sets India very apart from east Asian cultures.

What you said is true about North India & Gujarat only.

 

[FuturePAF]

I said it from day one, the next manufacturing powerhouses are Vietnam, Thailand... but never India, India just doesn't have that hardworking, discipline and coordination ability in its society. Everyone goes for their own interest, never ready to sacrifice even the slightest for the common good and collective wellbeing, this sets India very apart from east Asian cultures.

What do you think about Indonesia? Large population and resource rich.

Would you say labor costs are the deciding factor amongst the ASEAN countries?

 

[beijingwalker]

What do you think about Indonesia? Large population and resource rich.

Would you say labor costs are the deciding factor amongst the ASEAN countries?

Don't know much about Indonesia, but I notice one thing which is very clear, if a nation is being ruled by foreign powers for too long, it would lose the ability to rule and manage themselves well, maybe it's because their traditional social management bloodline had been cut off for too long and the rich good nutriments from its own culture and history can no longer pass through to the present to help them develop.

 

[etylo]

Only Chinese fools want to invest in India. China should not invest in India esp in infras, energy power and high tech industry.

 

[Al_Muhannad]

Don't know much about Indonesia, but I notice one thing which is very clear, if a nation is being ruled by foreign powers for too long, it would lose the ability to rule and manage themselves well, maybe it's because their traditional social management bloodline had been cut off for too long and the rich good nutriments from its own culture and history can no longer pass through to the present to help them develop.

Excellent point.

Indians have been living on american hand-outs since 90s and yet have miserably failed to raise a competent industrial base. The american tech MNCs that exist in india is primarily due to lobbying, not due to talent.

 

[Skull and Bones]

Indian infrastructure and archaic labor laws are the only major hindrance to repel off any major manufacturing investments.

 

[RealDeal]

Only Chinese fools want to invest in India. China should not invest in India esp in infras, energy power and high tech industry.

We are banning Chinese companies from these sectors and throwing them out of here and you are ranting they should not invest . Keep your chump change and use it to buy viagra to cure your falling birth rates

India Rejects China Car Firm Great Wall's Bid to Buy GM Plant

India has rejected a bid by Chinese carmaker Great Wall Motor to purchase a manufacturing plant from General Motors (GM).

www.asiafinancial.com

Not a single Indian infra, energy or power project has gone to a Chinese company.

I said it from day one, the next manufacturing powerhouses are Vietnam, Thailand... but never India, India just doesn't have that hardworking, discipline and coordination ability in its society. Everyone goes for their own interest, never ready to sacrifice even the slightest for the common good and collective wellbeing, this sets India very apart from east Asian cultures.

By "hardworking, discipline and coordination ability" you mean ability to work like a slave or zombie for 15 hours without rights, doing repetitive brainless manual work like stitching underwear and joinin plastic parts yea we don't have such abiliities, keep them lmao.
But in any case,Thailand, Vietnam etc are brather countries and as long as its moving out of China, we are happy, cope

 

[nahtanbob]

Don't know much about Indonesia, but I notice one thing which is very clear, if a nation is being ruled by foreign powers for too long, it would lose the ability to rule and manage themselves well, maybe it's because their traditional social management bloodline had been cut off for too long and the rich good nutriments from its own culture and history can no longer pass through to the present to help them develop.

where does it leave Afghanistan ?

 

[beijingwalker]

By "hardworking, discipline and coordination ability" you mean ability to work like a slave or zombie for 15 hours without rights, doing repetitive brainless manual work like stitching underwear and joinin plastic parts yea we don't have such abiliities, keep them lmao.

Is that what you were told in India? lol, working conditions in China is only what you can dream of in India, Indian and western media sometimes say Chinese work like slaves, some times say Chinese now are "lying flat" refuse to work, only fools will believe those pathetic, forever self contradictory propaganda. and you must think working conditions for Indian worker are so good, don't you?

where does it leave Afghanistan ?

A country that never stops fighting, China was also one of the poorest countries during the warlords period early last century.

 

[etylo]

We are banning Chinese companies from these sectors and throwing them out of here and you are ranting they should not invest . Keep your chump change and use it to buy viagra to cure your falling birth rates

India Rejects China Car Firm Great Wall's Bid to Buy GM Plant

India has rejected a bid by Chinese carmaker Great Wall Motor to purchase a manufacturing plant from General Motors (GM).

www.asiafinancial.com

Not a single Indian infra, energy or power project has gone to a Chinese company.

By "hardworking, discipline and coordination ability" you mean ability to work like a slave or zombie for 15 hours without rights, doing repetitive brainless manual work like stitching underwear and joinin plastic parts yea we don't have such abiliities, keep them lmao.
But in any case,Thailand, Vietnam etc are brather countries and as long as its moving out of China, we are happy, cope

No sane people want to invest in a hostile shithole.

Indians can have the work of collecting cow dungs becos you cant afford to work in factories and companies..