| | June, 20228INDUSTRY INSIGHTSI ndia has all the resources to be a leading power in manufacturing globally, yet it isn't even in the top five in world. India's economic standing is at a GDP of $2.3 trillion; the ninth largest in the world and yet manufactur-ing accounts only two percent of the Indian economy.The manufacturing market was and is dominated large-ly by China owing to having created and sustained its own manufacturing companies. This made China into a power that is required globally. Be it through their abundance of demographic resource, or their cheap labor - the country proved itself to be a leade rin manufacturing. Many coun-tries have aspirations of acquiring this segment of the busi-ness, but very few have the capability that India does. A country brimming with an abundance of skilled engineers, an eager workforce, and wages that can compare to the cheapest around the world, it is time that we tap into this untapped potential. The government of India has finally taken steps to encourage and promote manufacturing and make in India initiatives.The Ministry of Commerce and Industry, in its discus-sion paper on the growth strategy for manufacturing, has set a target to increase the sector's contribution to the GDP to 25 percent, from the current level of about 16 percent. While this growth is necessary, the country's environmen-tal concerns need to be mitigated. Current manufacturing practices are not friend of our planet and increasing these will further worsen the impact on mother earth.It is essential that the manufacturing sector must use energy and resources efficiently, and minimize the gener-ation of waste. It is estimated that even if every factory, power plant, car, and airplane is shut down, the average global temperature would still increase by 0.6°C in this century. India has to be a leader not in manufacturing but `Green Manufacturing'. Green manufacturing involves the trans-formation of industrial operations in three ways: (1) using Green energy, (2) developing and selling Green products, and (3) employing Green processes in business operations. A recent global survey by BCG reveals that as many as 92 percent of the companies surveyed are engaged in Green initiatives. Manufacturing companies that adopt Green practices benefit through long term cost savings. With younger generations caring more about the environment, it has necessitated companies to adapt and change the way they look at businesses. This takes into account CSR (Cor-porate Social Responsibility) which has become a leading driver for change in business. Owing to the easy access to internet, it is easy for busi-nesses to be scrutinized for practices that harm the envi-ronment. A lot of companies had to rethink their practices and change their approach. India can now set an example and take the driver's seat when it comes to mass produc-tion green initiatives. However, these benefits require a long term commit-ment and making trade-offs against short term objectives, as the economics of Green manufacturing is still evolving and not well understood as yet. The Indian youth is not only informed and aware but understand how essential it is to adapt sustainable practices. Innovators in the field have already begun taking their actions and a lot of brands have come up which help an individual to switch to an eco-friendly lifestyle. Consumers are even willing to pay premium prices when they know it is for the betterment of their health and our planet.Companies in almost all segments have taken the initia-tive to incorporate practices to reduce waste generation, adapt zero waste processes for end to end green manufac-turing. Right from sourcing completely organic and chem-ical-free raw materials, using zero plastic and toxins in products to making even the packaging sustainable, they FUTURE LOOKS BRIGHT FOR MANUFACTURING IN INDIA By Deepanjali Kanoria Founder, Heyday
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