UK warned of stiff competition from India

Indian companies are aiming towards high-value manufacturing and should not be underestimated, according to research centre

A leading engineering research centre has warned that Indian companies are aiming towards high-value manufacturing and that UK-based companies should not underestimate their capabilities.

Ben Kitcher, from the University of Sheffield’s Advanced Manufacturing Research Centre, said that despite India’s reputation for old technology and cheap, unskilled labour, Indian industry has a “clear strategic decision to direct their development resources towards high-value manufacturing challenges”. 

He said: “We need to adjust our perception of our place in the world and how that relates to others. It’s fantastic that India should develop high-value manufacturing capabilities. But we must realise that competition in ‘our’ industries has just become fiercer, and that if we don’t redouble our efforts to innovate and refine our own products and processes we will become obsolete.”

Kitcher was speaking after visiting India as a member of a UK Trade and Investment delegation. The visit covered Pune – one of the largest automotive manufacturing bases in the country – and Bangalore – an emerging hub for aerospace manufacturing.  

Kitcher said that India looks set to replicate the successes it has seen with its automotive manufacturing industry. “Indian companies are developing enabling manufacturing technologies such as vision systems, cryogenic machining processes and composite component manufacture.”

He said the “real threat” would be underestimating the level of talent within the country’s engineers. “There are many highly motivated, educated and talented young engineers rising to the top in Indian companies who are delivering work at a world-class level,” said Kitcher. “The new generation of engineers will be a fantastic asset for decades.” 

Kitcher said that UK companies should consider forging partnerships with Indian ones, but “with a good deal of caution”, particularly around intellectual property protection. He added that there should be less risk interacting with Indian companies in high-value manufacturing because the companies will be built on “strong ethical reputations” and be aiming towards international growth.