India's MSMEs to focus on manufacturing, local supply chains for faster growth: Industry leaders
New Delhi, Nov 22
India’s MSMEs must shift their focus toward manufacturing and strengthening local supply chains to drive the country’s next phase of economic growth, industry leaders said on Saturday.
Speaking at an event organised by the PHD Chamber of Commerce and Industry (PHDCCI), the message was highlighted by Nivruti Rai, Managing Director & CEO of Invest India, who shared a forward-looking plan to boost investment, technology collaboration and the scale of small and medium enterprises.
Rai said India has long benefited from its strong services sector and domestic consumption. However, she stressed that doubling the country’s GDP will require MSMEs to invest more in technology-led manufacturing and reduce dependence on a few global suppliers.
"This is especially important in critical sectors such as semiconductors, logistics and advanced manufacturing," she noted.
To support this shift, Rai introduced Invest India’s new platform -- KYO & KYI (Know Your Opportunity and Know Your Investors) -- designed to connect Indian companies with global investors, technology partners and new market opportunities.
The platform aims to help businesses access capital, licences and global value chains more efficiently.
Rai also identified seven sectors where India is well-positioned to scale quickly: automotive, electric vehicles, electronics, pharmaceuticals, genetics, biology and clean energy.
She said India now offers one of the most attractive environments for global investors, backed by stable policies, strong returns and a focus on innovation.
Welcoming her remarks, PHDCCI President Rajeev Juneja said aligning government investment priorities with industry readiness is crucial.
He added that PHDCCI is committed to strengthening the MSME ecosystem and agreed that local manufacturing, supported by technology and strategic investment, will be central to India’s long-term competitiveness.
The engagement between Invest India and PHDCCI signals a deeper push to build a unified ecosystem for businesses of all sizes. Both organisations emphasised that stronger industrial capabilities, global partnerships and a focus on innovation will be key to positioning India as a leading global manufacturing hub.
— IANS
Reader Comments
As someone running a small manufacturing unit in Pune, I can confirm that local supply chains need massive improvement. We spend 30% more on logistics than our Chinese counterparts. Hope this initiative addresses ground realities.
Great vision but implementation is key. We've heard similar promises before. MSMEs need easier access to credit, simpler compliance procedures, and reliable power supply. Without these basics, all plans remain on paper.
The focus on semiconductors and clean energy is spot on! These are future growth sectors where India can truly compete globally. The timing is perfect given global supply chain shifts away from China.
Atmanirbhar Bharat in action! This is exactly what we need - manufacturing focus with global partnerships. The seven identified sectors have huge potential for job creation and export growth. Jai Hind! 🚀
While the vision is commendable, I hope they don't ignore the environmental impact. Manufacturing growth must be sustainable. Clean energy focus is good, but we need stricter environmental regulations too.
Technology collaboration is crucial! Many small manufacturers in tier-2 cities still use outdated machinery. They need support to upgrade and compete internationally. Hope the platform delivers practical solutions.