At the recent News18 Rising Bharat Summit, industry leaders discussed how India is changing its manufacturing landscape. The focus is shifting toward domestic production, digital brands, and growth in tier-2 and tier-3 cities.
A New Era in Manufacturing
Abhishek Chakraborty, CEO of DTDC Express, noted that recent global trade issues have pushed Indian companies to concentrate on local manufacturing. “The past few years brought a lot of uncertainty,” he said. However, many Indian brands are now seeing this as an opportunity to enhance domestic production.
Chakraborty pointed out that this trend is not just for big brands or multinational corporations anymore. Homegrown digital-first brands are emerging, utilizing innovative logistics to reach consumers effectively. Quick commerce has also changed consumer expectations, with many now wanting faster delivery.
The Rise of E-Commerce and Entrepreneurship
Gautam Kapoor, co-founder of PEP Brands, highlighted that e-commerce has made it easier for entrepreneurs to start their brands. “India is turning into a nation of entrepreneurs,” he said. E-commerce reduces the initial investment needed for smaller brands, allowing for flexibility in manufacturing.
Kapoor explained that today’s manufacturing ecosystem lets businesses start small. They can develop ideas and launch brands without heavy financial burdens, fueling a wave of new products in the market.
Tapping into Smaller Cities
Angad Kikla, CEO of Citymall, emphasized the potential in tier-2 and tier-3 cities. He stated that while urban markets often grab attention, there’s a vast opportunity among lower-middle-income households in smaller towns. As grocery spending makes up about 40% of household expenses, this market remains largely underserved.
Kikla also noted that changing consumption patterns related to digital content are influencing what consumers want. For instance, products like Korean noodles are gaining popularity in these smaller markets, showcasing evolving tastes and aspirations.
Looking Ahead
Experts agree that embracing domestic manufacturing and e-commerce is reshaping India’s economy. As new brands emerge and consumers become increasingly diverse, the landscape of trade and distribution is adapting rapidly.
To learn more about the impacts of these trends, explore additional insights from trusted sources like World Economic Forum or McKinsey & Company.
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India manufacturing ecosystem, domestic production, digital-first brands, new-age logistics, e-commerce in India, D2C brands India, tier-2 and tier-3 markets, quick commerce India
