In this era of cut-throat competition, every business is proactively looking for ways to enhance performance and expand its reach to new markets. Sourcing from other countries opens a plethora of opportunities in terms of gaining a competitive advantage, curtailing costs involved in the production, enhancing product quality, and broadening the scope of the business. On the other hand, the intricacies of sourcing are increasing at a high pace, and procurers have realized the potential of Indian suppliers and government support in combating those complexities. Moreover, the competence of Indian manufacturers to match the industry-specific demands is proving to be a catalyst for the growing popularity of Indian sourcing and procurement in the global marketplace.
Overview: Sourcing Engineering Goods in India
At present, India is in the limelight as one of the most competent global sourcing destinations in the world with the widest range of options. Among all industrial sectors, the engineering division is one of the biggest sectors in India. It accounts for 27% of the total factories in the industrial sector and represents 63% of the overall foreign collaborations. The manufacturing abilities, growth of the infrastructure sector, localization, mobility, and digitalization have proved to be drivers of growth. The Indian government is proactively pushing the development of the infrastructure sector, increasing budget allocations, and intensifying efforts to foster India’s engineering sector. In addition, the US remained the top importer of India's engineering goods with total exports growing 27.23% in July 2021 to US$ 1,272 million as compared to July 2020.
How sourcing from India can help your business?
Below we have gathered some of the top reasons, to help businesses make an informed decision for sourcing from India
- Skilled manpower: India has the highest number of engineers. India produces one million engineering graduates in a year as of 2021!
- Ease of communication: With 125 million people speaking English, India is the world’s second-largest English-speaking country in the world.
- Flourishing export industry: The liberalization of various Indian trade laws and FDI rules have led to a conducive environment for escalating exports.
- Technologically adept: Indian industries heavily invest in deploying advanced technology, and training of manpower for remaining competent and relevant to new trends.
- Government support: With the government’s Make in India initiative and decision to liberalize foreign direct investments rules for some sectors, U.S. businesses have a plethora of opportunities to upscale in India and import goods.
- The flexibility of costs: Cost-effectiveness in terms of labor costs, raw materials, transportation, etc. makes India an ideal destination for sourcing engineering goods.
Still wondering about the probable advantages of Indian procurement. Head on to our detailed blog post to gather insights about- Which Country is the Best Option for Sourcing Engineering Goods?
Availability of Engineering Goods in Various Industrial Sectors:
India has approximately, 63 million MSMEs operating, according to the MSME Ministry data. These staggering numbers indicate the potentiality of India’s engineering manufacturers and the wide array of variety. Automotive is one of the leading manufacturing sectors in India. In cumulative terms, the automobile sector grew more than 140 percent to $3,110.3 million in 2021. Indian engineering manufacturers hold efficiencies in the production of parts and equipment in varied sectors like- Iron and Steel, railway equipment, defense parts manufacturing, aerospace manufacturing, shipbuilding, power generation equipment, industrial machinery, aircraft parts, transport equipment, etc. Below are some of the industry verticals catered by Indian engineering sourcing and supply markets:
The Challenges faced by U.S. Businesses
Undoubtedly, there are various challenges involved while sourcing from another country. From logistics management, to finding a reliable vendor, tracking the supply process, quality assurance issues, knowledge about import-export paperwork, tracking down sourcing strategy, etc. a set of broad problems are involved in acquiring desired products and managing the supply chain efficiently. However, with help of an experienced and well-informed supplier, these challenges can be vanquished.
With over a decade’s experience in sourcing engineering goods,
✔️ ESSNPS has gained enormous domain knowledge
✔️ Brought together a group of reliable and quality vendor base
✔️ Formed a group of intelligent engineers who are capable to supervise fabrication processes and keep a check on quality standards,
✔️ An expert team proficient at handling import-export paperwork
✔️ In-built software for providing updates about Quality and Inspection reports.
✔️ Strategizing sourcing procedure aligned with buyer’s organizational goals
…and effectively managing the overall process.
Looking for an adept and trustworthy Indian supplier? Shoot us your requirement at: firstname.lastname@example.org.