Recently, the World Bank released its ‘Doing Business Report’ for 2019. According to the findings, India had escalated 23 positions against its rank of 100 in 2017 to be placed now at 77th among the 190 countries shortlisted by the World Bank. This giant leap in the ‘Ease of Doing Business’ ranking is significant considering that last year itself India had improved its rank by 30 places, a rare feat for any country of the size of India. As a result of persistent efforts by the Government, India has improved its rank by 53 positions in the last two years and 65 positions in the last four years. India is already a huge market, and now with the betterment of ranking, setting up business here has become much easier than before. Here’s a list of compelling reasons why it’s a great time to make in India than ever before.
The Goods and Service Tax reform, which took over 17 years in the making, replaced multiple state and federal levies such as such as VAT, CST, Service tax, CAD, SAD, and Excise. Businesses now have to file returns once a month as compared to three returns every month, bringing down the total number of returns to be filed from 36 to 12 per year. GST brought about a reduction in manufacturing costs by lowering the burden of taxes on the manufacturing sector. Introduction of GST also makes Indian products competitive in the domestic and international markets.
HUGE DOMESTIC MARKET
With a population of 1.3 billion, India is the world’s second most populous country. At an estimated growth rate of 7.6% for fiscal 2017, India is foreseen to be the fastest growing economy in the world. In contrast, markets in West Asia are facing an acute squeeze due to a dip in commodity prices. As the growth and global commodity winds bring soothing breeze to India, core sector firms are increasing their focus on the domestic markets which promise stronger growth and higher margins. “India is the only big geography which is seeing demand growth,” says Goutam Chakraborty, an analyst at Emkay Global Financial Services. Needless to say, the Indian market represents an enormous business potential. The BOP segment which constitutes around 70% of the total population, has an enormous purchasing power, waiting to be served by foreign firms.
ACTIVE WORKFORCE AVAILABILITY
India has a large English speaking population that constitutes a major workforce for the world. The state of Maharashtra has emerged as the leading state for contributing towards skill development in the country. According to the data issued by the National Skill Development Corporation (NSDC), Maharashtra has trained over 10 lakh people across 40 sectors since 2011. Pune being the cultural and educational capital of Maharashtra makes it easy to find skilled labor for companies based in Khed City and the nearby industrial land in pune. There are also vaious institutes providing skill development courses for the uneducated workforce enabling them to become work ready. A large number of youth and working population also makes India a highly affordable workforce hub for the world.
GLOBAL POPULARITY OF INDIAN LEADERS
The current Prime Minister of India, Mr. Narendra Modi, ranks 3rd amongst the top 10 world leaders according to a collaborative survey by Gallup International Association (GIA) and CVoter International. Another global study named ‘World Leaders on Facebook’ has said that Narendra Modi is the most ‘liked’ world leader on Facebook, beating the US President Donald Trump. Statewide, The Chief Minister of Maharashtra, Mr. Devendra Fadnavis also tops the popularity chart for being a very socially active and verbal CM of Maharashtra. The congruence created due to the central and state government belonging to the same ruling party has ensured stability and parallel growth. This camaraderie of the PM and the CM has attracted many businesses to India and Maharashtra in specific.
A BRIGHT FUTURE AWAITS
With time, more such business-friendly laws are expected to make the incorporation of businesses easy in India. All these initiatives by the government are in an effort to facilitate manufacturers to ‘make in India’ successful. Khed City – Pune, an upcoming industrial zone in Maharashtra, fully supports this initiative. With state-of-the-art infrastructure and ready to use spaces, Khed city helps in saving time and energy of running a business. Making in Khed city then is to open a door to countless opportunities.