Changing dynamics for india..manufacturing

Prime minister Mr Modi has been pushing for a new focus " Make in India", a more manufacturing focus than the present existing focus on services ...

What does he see that we are unable to see...?

Here are a few thoughts as to why I think that the focus on manufacturing makes more sense than pushing for more services business like IT.

A lot of the work that we do in India in the IT sector and the BPO sector is undergoing a major disruptive wave.  This new Technology or Robotic wave will significantly reduce the number of people in this sector. There will be at least like a 30-40% reduction of workforce in this sector over the next few years.

A lot of the lower end work like software testing,  or data entry will completely go away.. leaving behind only specific more subjective activities.

This will mean that these companies will re invent themselves to focus more on the higher end,  value additive kind of activities. 

However I do feel that these re invention will only ensure that we stay at the same.level.of people and further fte growth will be challenging.

However with manufacturing ... that opens up a completely new focus areas and as we manufacture more we will.have additional jobs being created.

Manufacturing is the way to go.. and that come in from fdi or from entrepreneurs .. both of which he is inviting.

So.. from an equity market perspective.. we should be focusing our efforts on these and subsidiary areas..like banking

Its  simplefinancialsense.