Industry leaders assembled for CII event stress on tech adoption, MSME empowerment
Vadodara, June 26
Industry leaders have stressed the need for technology adoption and said it brings efficiency to operations, boosts productivity and helps in expansion and growth.
Milan Nag, Deputy Chairman of CII Western Region, noted that industries must pivot towards technological adoption.
He was speaking on the sidelines of a media roundtable organised by the Confederation of Indian Industry here.
"What is in our hands is to improve our productivity, improve our productivity through many different methods. Chinese productivity is several times higher than ours, as is of many countries in the world. Our productivity is very low," Nag told ANI.
"So we should look at methods including automation, robotics, Industry 4.0, AI, and harness every possible method to improve the output per person," he added.
The panel members discussed digital adoption and investment growth, focusing heavily on modernizing business operations and tackling structural labour issues.
Nag said there was mention of a shortage of labour as some migrant labourers had returned to their native states.
"This is being faced in all the industrial states where there is more migrant labour. There were elections in Assam, in Bengal, and there were elections in Bihar as well (earlier)," he said.
Nag explained that labourers left for state elections and delayed their return to spend time with families. The situation continued due to supply concerns triggered by West Asia crisis, he added.
Gaurang Joshipura, Chairman of CII Central Gujarat Zone, said there was thrust on "skill to scale" to assist Micro, Small, and Medium Enterprises (MSMEs).
"We are focused on broad-based MSMEs because MSMEs are our large-scale members. What we have seen is that MSMEs have many problems, but two of the major problems are the skilled manpower, especially the blue-collar and finances," Joshipura said.
He said various companies and institutes have skill development centres and they are coordinating with them.
"We are bringing various financial institutes as well as on the risk management insurance, these experts and conducting programmes which will help MSMEs to either safeguard themselves or get the finances," Joshipura added.
Joshipura noted that the chamber organized competitive frameworks and specialized programmes covering manufacturing excellence, ESG compliance, AI, and Power BI to elevate operational standards. Regarding broader macroeconomic targets, he maintained that local consumption indicators suggest long-term resilience despite external disruptions.
— ANI
Reader Comments
As a small business owner in Gujarat, I agree with the skill gap problem. We have the latest machines but nobody to operate them properly. The vocational training institutes produce graduates who can't even read a basic technical drawing. "Skill to scale" is a good slogan but we need to fix our education system first. Also, the labour shortage mentioned is real - after elections, many workers never came back.
I work in an IT firm that does digital consulting for manufacturing companies. The problem is not just technology but mindset. Many traditional business owners in Gujarat are reluctant to change. They think if it ain't broke, don't fix it. But they don't realize that their competitors in China are producing ten times more with same number of workers. We need to create success stories of MSMEs that adopted tech and grew. That will encourage others.
Interesting to see a similar conversation happening in India. In the US, we are seeing the same push for Industry 4.0 and AI in manufacturing. The difference is our infrastructure and skill base are more mature. India has a massive advantage in terms of young workforce but the training gap is huge. The mention of labour shortage due to elections is uniquely Indian though - never heard that in America! 😄
Good points from CII but I wish they discussed the real elephant in the room - power costs and unreliable electricity. How can MSMEs adopt AI and robotics when they can't even get 3-phase power consistently? Automation requires stable electricity. Also, the green compliance costs they mentioned (ESG) are huge burdens for small businesses. Let's first fix the basics before talking about fourth industrial revolution. Pragmatism is needed.
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