{"id":245867,"date":"2023-06-01T20:29:40","date_gmt":"2023-06-01T14:59:40","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=245867"},"modified":"2023-06-01T20:29:40","modified_gmt":"2023-06-01T14:59:40","slug":"india-sourcing-from-hurdle-to-ambition","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/india-sourcing-from-hurdle-to-ambition\/","title":{"rendered":"India sourcing: From hurdle to ambition"},"content":{"rendered":"\n<p><strong>Source: <\/strong>This post is created based on the article \u201c<strong>India sourcing: From hurdle to ambition<\/strong>\u201d, Business Standard on 1<sup>st<\/sup> June 2023.<\/p>\n<p><strong>Syllabus Topic:<\/strong> GS Paper 3 \u2013 Changes to industrial policies<\/p>\n<p><strong>Context: <\/strong>global brands are now finding it lucrative to produce in India. The article focusses on the factors that are contributing to this success.<\/p>\n<p>Over the last decade, brands like Walmart, Amazon, Apple, and Ikea have increased sourcing of goods from India and have even set ambitious export targets.<\/p>\n<h2><strong>What are the contributing factors? <\/strong><\/h2>\n<p>In the past, industries were finding it challenging to comply with strict sourcing rules that mandated 30% sourcing of Indian products for any company with more than 51% FDI, from 1<sup>st<\/sup> day. The rules have been updated, now companies need to comply with this norm within five years of setting up a single-brand retail business, instead of from day one of the earlier rules.<\/p>\n<p>The &#8216;Make in India&#8217; campaign, along with the production-linked incentive scheme, has strengthened the sourcing movement.<\/p>\n<p>The conditions for FDI in single-brand retail were changed to include manufacturing as part of the 30 per cent mandatory sourcing.<\/p>\n<h2><strong>What are the examples of success of government effort?<\/strong><\/h2>\n<p>Walmart CEO Doug McMillon expressed the company&#8217;s goal to meet $10 billion worth of exports annually from India by 2027, up from about $3 billion currently.<\/p>\n<p>Amazon is also increasing its sourcing from India through a scheme called Amazon Global Selling in India.<\/p>\n<h2><strong>What are the remaining challenges in attracting companies to India?<\/strong><\/h2>\n<p>India must address the challenges associated with supply chain logistics and wide infrastructure gaps.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Source: This post is created based on the article \u201cIndia sourcing: From hurdle to ambition\u201d, Business Standard on 1st June 2023. Syllabus Topic: GS Paper 3 \u2013 Changes to industrial policies Context: global brands are now finding it lucrative to produce in India. The article focusses on the factors that are contributing to this success.&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/india-sourcing-from-hurdle-to-ambition\/\">Continue reading <span class=\"screen-reader-text\">India sourcing: From hurdle to ambition<\/span><\/a><\/p>\n","protected":false},"author":10320,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[10503,216],"class_list":["post-245867","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-business-standard","tag-gs-paper-3","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1701860549},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/245867","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10320"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=245867"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/245867\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=245867"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=245867"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=245867"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}