People Abandon Chinese Products
Post URI terror attack Indians have become more patriotic than ever. China the mostly friendly country to our enemy is in the receiving end after they ended up supporting Pakistan terror mastermind Massod Azhar . People started venting anger on China for supporting Pakistan’s heinous crimes. Many of the stories to ban Chinese products in India went viral on web.
Many of my friends wanted to avoid buying Chinese products and I can see that larger population is in the same mood. China tops the Indian import list accounting to more than 10.7% of total imports, Majority of them are electronics. China has become manufacturing hub for the world and also a reason behind the economic dominance in the last decade.
Worlds largest Electronic manufacturing companies depend on china for either Manufacturing or assembling their components. In fact Apple’s iphone is also manufactured in china and shipped globally. The main reason being the lower cost of manufacturing and cheap labor considering world most populated country.
In fact I personally used to import various component from china to create products. One thing I can guarantee that no one can manufacture the products at the cost of Chinese . It gives me the advantage of launching products in India at a lower cost considering the price sensitive purchase behavior. Another major reason for Chinese import is India’s weakness in hardware and electronic component manufacturing. The same product when imported from US or Europe costs me more than 10 times and economically it is not viable.
Currently there is some definite impact on Chinese goods purchase but I think this will fade away after sometime once the wound starts healing. If we are envisioning a country where there is zero import from china then we have to build our manufacturing capabilities.
Impact of Made In India
Prime Minister Modi’s ambitions mission to beat china with “Make in India” is shaping well, but we are decades away from beating china. Look at the scenario of mobile phone market, all the Indian brands like Micromax, Lava,Cellkon, Iball, Intex etc import the components from china and just assemble there here before selling. Except minor design components everything else is Chinese.
Now do you call these companies Indian? Will you stop buying from them?
Despite the fact that we want to avoid Chinese goods, Indirectly we are supporting them. Made in India mission will only be successful if we are able to build R&D capabilities and accelerate innovations. In this current scenario I consider India as a good trading country but not a manufacturing country. In this last decade can we identify one innovation which is from India and selling around the globe?
We are good at exporting software, Agriculture goods, Milk products etc but not innovations. The mission made in India will be possible only when governments supports entrepreneurship big time. Just a notion called “Startup India – Startup India” will not change much unless there is a real action around it. Read Startup India qualifies only one startup.
Investors should have higher risk appetite and invest in hardware startups and not just eCommerce, Entrepreneurs instead just building a replica business models and launching a website or app should focus on solving real world problems and build innovations that can be used at a global scale. This is when the game starts changing and we will not be very far from becoming a big global economy. Till then enjoy the mission “Ban Made In China”
Read Startup News.
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Jigs
October 14, 2016 at 8:24 pm
I concur to all the points in this article. However, can we change it? Absolutely yes! To do that we just have to start somewhere. What Micromax and other Indian firms have done is initiated with the change. They started with assembling the product. Shouldn’t that be supported? While we support that, the good chunk of the profit remains in India, instead of going outside to China. It is a first step and a major one. As the appetite grows, more and more companies will look for spending on R&D and designing and building components in India. I believe China never became the biggest manufacturer overnight. It took them years and years of effort to reach the current level. Hence I suggest Mr. Jaydeep Reddy to write encouraging articles and not criticise what is in the right direction.
Jai Hind!
Anonymous
October 15, 2016 at 12:04 pm
Jigs is right. We have to start from somewhere and this is the start. How will we able to beat china if we don’t start from some small step.
Nirav Pandya
October 15, 2016 at 10:08 pm
No one is asking Indians to take bullets like Indian army or to become martyr like Shahid Bhagatsingh, Rajguru & Sukhdev, we are not that fortunate. But we all INDIANS in the sake of common interest of the country can comprehensively ban Chinese goods. Yes I 100% conquer the point that we have to build R&D facilities in India & we can do it. If Apple can choose china for manufacturing phone as e.g why not INDIA; because every state have their own drama or their people? If we want to take these kind of challenges from the world; the FUNDAMENTAL POINT is we have to be united at the base level & in tune with INDIA’S interest. For now we please continue ban chinese goods & I 100% assure you we will do far far better but most important in 2019 please vote BJP that they have absolute majority & then all development plans can be executed, implemented & completed at fast track levels. Jai Hind!
Raaghav G R
October 19, 2016 at 1:34 pm
Vote for BJP, development, peace, progress and above all TRUE INDIPENDANCE. Jai hind.
krishna
July 7, 2017 at 3:17 pm
Now its time to think a while before purchasing china products.
Saddam ansari
July 15, 2017 at 10:34 pm
Plz stop full stop Chinese product in india sir