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Your next manufacturing destination
Think global, act local, serve ‘glocal’. Pivoting around this concept, India has a distinct advantage with its large internal market, strategic location for exports, and a thriving private sector. This serves India both internally and for the world.
In the new normal, firms are looking to diversify their production bases, and the markets they serve. The objective is to bring in resilience in supply chains. Several global corporations in the automotive, electronics, engineering, food processing, chemicals and healthcare sectors have set up large manufacturing operations in India. The country is emerging as a suitable destination with its:
High quality infrastructure
Robust trade and investment policy
Strong regulatory framework
Quality labour at competitive rates
Largest democracy with 910 mn strong electorate
Home to the world’s largest working age population, estimated to cross 1 bn by 2030
In FY19, India’s total merchandise exports hit a new high of over USD 330 bn, having registered a 9 per cent growth
Between FY20 and FY25, commitment of USD 1.5 tn by Government of India as part of National Infrastructure Pipeline (NIP), and improvement in energy, transport & logistics, industrial, social and urban infrastructure proposed
Digital content users expected to grow to 800 mn by 2025
25 cities in India are among the world’s top 100 fastest growing cities
India is almost halfway towards meeting its target of 175 GW of renewable energy by 2022. World’s first country to track performance of each state and union territory on a key performance indicator-driven matrix for their contribution to Sustainable Development Goals
Effective tax rates in India including surcharge and cess is 17.16% for new manufacturing companies and 25.17% for existing companies not claiming prescribed deductions/exemptions.
Single form for company formation
Fast track approval for construction permits
‘Indian Customs Single Window Project’ implemented
Commercial Courts and Appellate Division of High Courts established
Insolvency and Bankruptcy Code 2016 for resolving insolvency
India evidently is fit for future and makes a compelling case for a local, regional and/or global manufacturing base. If you are weighing the option of investing in India and would like to plan out a roadmap, PwC India, with its rich and diverse experience, will be happy to partner with you through the entire journey from decision-making to planning and execution.