IT Voice News: As China is no more showing positive growth in the competition race, India is expected to become the next big thing in the manufacturing sector, relying on its availability of huge talent and also need for job creation. This view has been shared by Samsung’s president and CEO for South West Asia, BD Park.
South Korean multi-national company, Samsung, sees India as the next global factory hub, as China is losing in the race. Samsung is one of the major MNCs which function in India. India is banking on its available talent and also employment opportunities.
Samsung’s president and CEO for South West Asia, BD Park, said, “China is losing the competitiveness very rapidly today.” He added, “Labour costs are rising and as they become richer, their currency will gain versus the US dollar, which means that they will lose the competitiveness for export.” India, being a software superpower, “it should now appear as a global factory, for which communications should be created with the help of public and private sector.” Recently, on 15 August, Prime Minister Narendra Modi in his Independence Day speech encouraged global companies to manufacture their products in India, which will be available for exports also, besides the local market. Park’s comments have come in a follow-up of the same.
On Independence Day, Modi said, “From the ramparts of the Red Fort, I would like to call people of the world to ‘come, make in India’. Come here and manufacture in India. Sell the products anywhere in the world but manufacture here…we have the power, come I am inviting you.” Modi showed strong belief in the country’s young generation which possesses the required skills and talent to make India an export hub for the world. He also emphasised that the main focus is on the manufacturing sector as it will help in job creation, apart from maintaining a balance between exports and imports.
Samsung’s Park said, “More than 75 per cent Indians are below 25 years of age who must be given the right jobs.” The country gains huge confidence from such comments from such an electronics major, which is highly operational in manufacturing most of its products in India, including smartphones, refrigerators, ACs, TVs and washing machines. The markets for all these products include both the local and the global ones. The country is facing lots of challenges these days including account deficit, lack of exports, inflation and also lack of growth. Samsung, which is the fourth largest MNC in India right now as per revenues, is expected to become the leader by next financial year.
