Pune: India is losing out on many opportunities in the manufacturing space as a large part of new supply chains, which formed when manufacturing moved out of China, are going to Vietnam, Indonesia and Malaysia, Bharat Forge MD Baba Kalyani said on Saturday reported TNN.

“A lot of work needs to be done to change policies at the state government level, although some opportunities are coming to India,” Kalyani said, while speaking at the Forgetech conference in the city.

“Bringing reforms in India requires making changes to the laws and regulations. We are not just a federally governed country. We have dual governance, we have federal governance, and we have state governance. We still have problems with what the state needs to do in terms of economy," he said.

Kalyani also said there are three major shifts in the world — energy transition from fossil to renewable fuel, artificial intelligence and redefining the supply chains.

“Elon Musk, for the past week, has been talking to every political leader in the world and telling them that in a few years, factories will not need workers as AI will take care of it. It is frightening, but this is the implication of AI. One needs to be a part of this technology,” Kalyani said.

“These transitions will be completed in the next five to seven years, which will propel countries like India to the top of the economic ladder,” he said.

Kalyani said, “Manufacturing revenue to the gross domestic product is 16%, which the government is trying to grow to 25%. Indian economy will be unable to grow fully without the manufacturing sector.”

“Make in India was followed by reforms in every sector. The biggest reform happened in the defence sector, where private companies got a level playing field with the public sector,” he added.

Industry Should Focus On Talent Creation

“The manufacturing sector needs to focus on talent creation rather than hiring from within the industry as it leads to an increase in costs for the companies themselves,” Amit Kalyani, the executive director of Bharat Forge, said.