The global sourcing landscape is in constant flux, and MACPI, under the leadership of BK Mohanti, Director and Country Head for India, is strategically positioned to leverage India's growing prominence in the apparel and textile sector. Recent geopolitical shifts and challenges faced by established players are creating significant opportunities for India, and MACPI is poised to capitalize on these evolving dynamics.
India: A beneficiary of shifting global trade dynamics
The apparel industry is witnessing a notable shift away from traditional manufacturing hubs. Mohanti observes that while Bangladesh has long been a dominant force, recent difficulties have prompted international buyers to seek alternative sourcing destinations. India has emerged as a compelling option, though Mohanti cautions that its production capacity is still under development and may not yet be sufficient to fully absorb the influx of new business.
Despite this limitation, India's strength lies in the quality of its output. Mohanti characterizes the Indian apparel sector as producing medium-to-high-quality goods, a key factor in attracting international buyers. To solidify this advantage, India must focus on streamlining delivery times and expanding its production capacity.
Navigating opportunities and overcoming obstacles
Geopolitical tensions, particularly the trade relationship between China and the United States, present a unique window of opportunity for India. Mohanti believes India can strategically leverage the "China plus one" strategy, a diversification approach adopted by companies seeking to reduce their reliance on China. However, he also acknowledges India's dependence on Chinese raw materials in certain sectors, highlighting the complex interplay of opportunities and challenges.
India's Dual Advantage: Robust domestic market and developing infrastructure
India possesses a significant advantage in its large and dynamic domestic market, coupled with a steadily improving infrastructure. Mohanti emphasizes that India's manufacturing sector is bolstered by substantial internal demand, which complements its engagement in the global market. This dual focus provides a strong foundation for India's ambitions to expand its global sourcing footprint.
