Can India be a "Dual Source" option as manufacturing hub

This is my first blog and I thank my professor Dr. Hemamala K for motivating us and providing us this opportunity. In the following lines I will introduce the concept of "Dual sourcing". Later I will put my view how can India be a option for dual sourcing for the world as a manufacturer.  

 In supply chain management, we see dual source as a practice of using two different suppliers for  our needed raw material, components, parts products or services. This can be beneficial to reduce  risk in material acquisition. There can be natural disasters, any other problems which may restrict your single supplier to deliver your requirements. There are many limitations also for dual sourcing but we can see towards what are the benefits of this option. It encourages Innovation, it gives us the opportunity to get more material when we require it and many more .  

 

 In the last three decades China has become the world's factory, they started it from low end products like and then reached to the level of the largest manufacturer in the world. they make almost everything under the sun. But now when  COVID -19 came and before while The US and China  went into a trade war, US started to look for other options. As now Japan has directed for shifting it's industries and has offered incentives also.

 

India can play a major role in supply chain as it is good market as well as has capacity to produce. We have seen that India became the 4th largest manufacturer of automobiles as we produced 4.06 million cars in 2018-19 and we have done a better job in exporting IT of more than 130 billion USD. After COVID arrived we have seen a significant increment in manufacturing ventilators as more than 60,000 ventilators were produced in three months. Now we have to ramp up to export them. Before COVID we had no factories which produced PPE kits but by May 18 India was producing 4.5 lakh PPEs per day and became the second larget producer after  China. Recently we have seen companies like Apple, Google and face book are investing in India. This shows we can become self reliant as well as exporter also.

 

To become a option for major stake holder in the supply chain there is a long way to go. We have to change our trade policies, build infrastructure and provide a ecosystem, train the work force for getting  foreign investment as well as to grow local business.

 

Thank you for reading my point of view. Looking forward for your suggestion to make myself better.