The Honorable Prime Minister, in his recent national address said that Covid-19 crisis has taught India the importance of local manufacturing and supply chains and that it is time to be vocal about local. He said the definition of self-reliance had undergone a change in the globalized world and stressed that it’s not the same as being self-centered. “India’s culture considers the world as one family, and progress in India is part of, and also contributes to, progress in the whole world,” he said. “The world trusts that India has a lot to contribute towards the development of entire humanity.”
We at MediaNews4u have spoken to people from various sectors, start-ups, and brand consultants to understand as to what how they have interpreted the term ‘Be Vocal for Local’.
Today we speak to, Vinod Kumar Gupta, Managing Director, Dollar Industries Limited, Aalok Shah – Wild Soul India & Malay Dikshit, Founder of Piscium Health Sciences.
How do you interpret the term ‘be vocal for local’?’
VK– Local products are lifeline for people in India. Be it cost wise or availability wise. Moreover, local manufacturing pushes growth in jobs and also encourages business houses like ours. Volume is indeed in rural but revenue comes from urban.
AS– Make yourself loudly known to the customers that the product they are buying is Made in India. While proclaiming this, you have to exhibit a feeling of pride.
MD– Be vocal for local resonates with a sense of pride not only for products made in India, but for the entrepreneurs and established business who conceptualise, create and commercialise products on Indian soil.
The difference between Local & Swadeshi?
VK– It is the same. Manufacturing a foreign brand in India ensures royalty to the mother company. On the other hand, local or swadeshi products are complete, end to end revenue-generating investment.
AS– Local indicates manufactured in India. Manufacturing includes assembling SKD (Semi Knocked Down) goods also. So in local manufacturing, imported components might be consumed. Even technology for manufacturing may be imported from other countries whereas in Swadeshi, technology, material, equipment and labour, everything is used from within the country. None of the components of the product are imported from other countries.
MD – Though literally they might mean the same, Swadeshi is a much more powerful word. Swadeshi captures an emotion and a sense of pride of belonging to India
How will companies which may be global but have been in India, produce here and employ locals will consumers now stop buying these products?
VK– A section of consumers will continue to buy the products, as such brands have set up robust supply chains in India. But if there is a collective decision to buy Swadeshi and local brands, there will be a time when local brands might have larger share in market.
AS– Not necessarily. Ideally, such global players should manufacture their products in India out of indigenous materials and components only. It is acceptable if the knowhow is foreign. It should be appreciated that we may not have knowhow of each and every item.
MD– Well established multinationals with set ups in India have a long history of delivering great products and in the process have gained the consumers trust. It is difficult to believe that our people will stop buying these products. However, one can expect the consumer to try more of India born brands and gradually make a switch if they are happy with the product quality
Are you seeing a spurt in buying of ‘Swadeshi’ brands?
VK– We have already seen that with brands like Patanjali and similar other brands doing exponentially well in Indian markets. The promotion of “Be vocal for local” will boost the pace of Indian brands.
AS– No. We do not have a tendency of manufacturing quality products. Further, the tax structure, labour laws, multiple regulations and taxes and duties on the products substantially increase the cost of the product compared to rivals of other countries. Unless we reach their level of quality and price, consumers cannot be compelled to buy costly and inefficient products.
MD – We will have to evaluate that post the lockdown opening.