Latest news with #ElevatingIndia
Time of India
a day ago
- Business
- Time of India
Policy miss: 71% of small manufacturers say government skill schemes haven't helped
This is an AI-generated image, used for representational purposes only. A majority of small manufacturing enterprises in India say government-run skill-training initiatives are failing to reach them effectively, with 71 per cent reporting no benefits from such programmes, according to a report by Cushman & Wakefield. The survey, part of the firm's report 'Elevating India's Manufacturing Resilience: Charting the Path to Self-Reliance', highlights major gaps in talent support to Micro, Small and Medium Enterprises (MSMEs). According to news agency ANI, around 61 per cent of MSMEs overall said they had not received any support from government skill and talent programmes, while just 39 per cent confirmed any benefit. The disconnect is sharpest among smaller firms, those employing fewer than 500 people. The report notes that MSMEs employ four out of every five workers in the manufacturing sector and contribute to 40 per cent of the output. Yet, productivity remains low. A worker in an MSME generates only 14 per cent of the output compared to one in a large enterprise. Comparable firms in other emerging economies are already nearing 30 per cent output per worker, while the gap is even narrower in developed nations. Cushman & Wakefield's executive managing director Gautam Saraf said bridging capacity and cost gaps in areas like logistics, integrated facilities, and MSME productivity is vital. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 5 Books Warren Buffett Wants You to Read In 2025 Blinkist: Warren Buffett's Reading List Undo 'Plug-and-play industrial parks, multimodal logistics networks, and improved land aggregation frameworks are not just enablers—they are essential levers for converting policy momentum into production-ready outcomes,' he said, as quoted by ANI. Interestingly, while skill initiatives lag, infrastructure spending is having a strong impact. About 88 per cent of respondents said projects like Bharatmala, Sagarmala, Dedicated Freight Corridors, and the National Industrial Corridor Development had influenced their capital expenditure plans. In fact, 93 per cent reported better operating efficiency and profitability where modern industrial parks and corridors are present, and 94 per cent of large enterprises credited infrastructure upgrades as key to their growth. However, long-term competitiveness is still threatened by high logistics costs, limited warehousing (0.2 sq. ft. per urban resident in India compared to 47.3 sq. ft. in the US), low domestic value addition (17 per cent vs China's 25 per cent), and skill shortages, especially in MSMEs. These challenges compound existing regulatory burdens. In a separate study by TeamLease RegTech, a typical manufacturing MSME deals with over 1,450 compliance obligations annually, costing Rs 13–17 lakh per year. These span seven legal categories and involve 486 imprisonment clauses, many for procedural lapses. Rishi Agrawal, CEO of TeamLease RegTech, stressed that India must urgently reduce its 'deeply entrenched hostility and inspector raj' to unshackle MSME growth. 'We need to add compliance to India's DPI (Digital Public Infrastructure) stack,' he added, as cited by ANI. The latest findings reinforce calls for a more holistic and MSME-centric policy approach—one that combines skill development with regulatory relief and infrastructure support to truly empower India's 6.45 crore MSMEs. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
2 days ago
- Business
- Time of India
Infra push for MSMEs: Plug-and-play industrial parks key to boosting manufacturing, says Cushman & Wakefield report
Accelerating the rollout of plug-and-play industrial parks, improving logistics infrastructure, and targeted skilling are essential for boosting India's manufacturing output and self-reliance, according to real estate consultancy Cushman & Wakefield. In its latest report, Elevating India's Manufacturing Resilience: Charting the Path to Self-Reliance, based on responses from 94 senior decision-makers across India's manufacturing and logistics sectors, the consultancy outlines how industry and policy alignment is unlocking capacity, especially for MSMEs. 'India's manufacturing sector is undergoing a structural shift. Our findings indicate a strong alignment between infrastructure investment, policy clarity, and industry intent,' said Gautam Saraf, Executive Managing Director, Mumbai & New Business at Cushman & Wakefield, PTI quoted. Saraf said 88% of manufacturers surveyed are scaling up due to improved infrastructure, and 95% cite better logistics access thanks to government-backed initiatives. However, sustaining this momentum will require 'addressing deep-rooted cost and capacity gaps, especially in logistics, integrated facilities, and MSME productivity.' The report flags four core challenges: high logistics cost, warehousing capacity shortfall, low value addition, and skill gaps. It recommends a five-pronged strategy—accelerating plug-and-play industrial parks, redefining MSME thresholds to foster scale, fast-tracking multimodal logistics parks, boosting skill development, and digitising MSME export support. 'Plug-and-play industrial parks, multimodal logistics networks, and improved land aggregation frameworks are not just enablers, they are essential levers for converting policy momentum into production-ready outcomes,' Saraf said. Abhishek Bhutani, Managing Director, Logistics & Industrial Services India and Head – Gujarat, Cushman & Wakefield said, 'Pre-approved, infrastructure-ready zones are helping reduce time-to-market, lower upfront capex, and mitigate operational risks—especially for MSMEs looking to scale.' He added that success for companies expanding into new regions will depend on access to integrated ecosystems combining logistics, skilled labour, and multimodal connectivity, PTI reported. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
India Gazette
3 days ago
- Business
- India Gazette
India's manufacturing sector poised for leap with infrastructure and policy push: Report
New Delhi [India], June 27 (ANI): India's manufacturing landscape is undergoing a significant transformation, fueled by robust infrastructure development and supportive government policies, as revealed in a recent report by Cushman & Wakefield named Elevating India's Manufacturing Resilience: Charting the Path to on a survey of 94 senior leaders conducted by Cushman & Wakefield across the manufacturing and logistics sectors, including CEOs, plant heads, and supply chain managers, the report highlights strong industry optimism. Notably, 88 per cent of respondents plan to expand operations, driven by infrastructure projects like Bharatmala, Sagarmala, Dedicated Freight Corridors, and the National Industrial Corridor Development. Additionally, 95 per cent reported improved access to logistics, while 94 per cent of large enterprises credited infrastructure upgrades as central to their growth strategies.'India's manufacturing sector is undergoing a structural shift. Our findings indicate a strong alignment between infrastructure investment, policy clarity, and industry intent. According to our survey, 88 per cent of manufacturers are scaling up due to infrastructure-led confidence, and over 95 per cent report improved logistics access through government-backed programs,' said Gautam Saraf, Executive Managing Director, Mumbai & New Business, Cushman & initiatives like the Production Linked Incentive (PLI) scheme and the National Logistics Policy (NLP) are also shaping business decisions. Over 40 per cent cited these policies as having a significant impact, with MSMEs particularly benefiting from improved connectivity and ease of doing business, acknowledged by 77 per cent of all these advancements, critical challenges persist. High logistics costs, low warehousing capacity (0.2 sq. ft. per urban resident vs. 47.3 in the U.S.), minimal domestic value addition (17 per cent vs. China's 25 per cent), and skill gaps, especially in MSMEs, threaten long-term address these, the report outlines a five-pronged strategy: plug-and-play industrial parks, multimodal logistics networks, skill development programs, MSME reform, and digital platforms for export facilitation. Plug-and-play parks--pre-approved and infrastructure-ready--are highlighted as transformative, with the Union Budget 2025-26 allocating 2,500 crore for 12 such 81 per cent of companies planning to expand in the next two to three years and 70 per cent ready to move into Tier II and III cities, the report underscores the urgency of continued infrastructure investment. 'India's manufacturing is at an inflection point,' said Gautam Saraf, Executive Managing Director, Cushman & Wakefield. 'The alignment of policy, infrastructure, and private sector intent offers a clear pathway to global competitiveness.' (ANI)
