The story goes that when Jamsetji Tata proposed making steel for British-run Indian railways in 1907, a colonial administrator scoffed: “Do you mean to say that the Tatas propose to make steel rails to our specifications? I undertake to eat every pound of steel rail that Mr Tata succeeds in making”.

India may have missed the Industrial Revolution, but domestic entrepreneurs since Jamsetji Tata have achieved notable manufacturing successes. The Tata Group today exports automotive chassis and owns the renowned Jaguar Land Rover. Companies like Hero MotoCorp and TVS export motorcycles, while India-owned Royal Enfield remains a best-selling brand in the UK.

In services, firms like Tata Consultancy Services, Infosys and Wipro enjoy global reputations for reliability. Manufacturing, however, lags. It contributes only about 16-17% to India’s GDP, far below countries such as China (25%), Vietnam (24%) and Bangladesh (22%).

Capacity or scale gap is stark in core sectors. India’s steel capacity is about 200 million tonnes annually, compared to China’s 1.1 billion tonnes. In cement, India produces roughly 400 million tonnes, while China’s capacity exceeds 2.1 billion tonnes. Either China sells below cost to undercut Indian competitors or makes commodities like rare earths dearer so that products dependent on them cost more for importers.

Equally concerning is the absence of strong Indian brands in consumer markets. In smartphones, Chinese market leaders such as Vivo and Xiaomi dominate. The same pattern is visible among televisions, refrigerators and air conditioners where brands of China, Japan and South Korea lead.

Even everyday items reveal this dependence. A Gillette shaving cartridge bought in Thiruvananthapuram is made in Vietnam or Germany. Toothpaste like Colgate and Pepsodent are owned by the US and the UK. Even nail cutters and scissors carry either Korean or foreign brand names. Indian brands have yet to mount an effective challenge in these areas where no special skill or technical ability is required.

Quality, indeed, is central. In high-technology sectors like passenger aircraft, India is absent. Manufacturing capability for passenger planes is in the United States (Boeing), Europe (Airbus), China and Brazil. Unsurprisingly, recent large aircraft orders by Air India and IndiGo went to Boeing and Airbus.

Admittedly, policy efforts are on to overcome these problems. The Union government’s Make in India initiative and the Production Linked Incentive (PLI) scheme—covering about 13–14 sectors with an outlay of ₹1.97 lakh crore—are showing results. Apple iPhone exports touched about ₹2 lakh crore in 2024–25, forming a major share of India’s ₹2.5 lakh crore smartphone exports. Around 40 domestic firms now participate in Apple’s supply chain.

Yet, as the Swadeshi Jagran Manch argues, India must move from “Made in India” (could be just assembly) to “Made by India.” A recent paper by NITI Aayog, Reimagining Manufacturing: India’s Roadmap to Global Leadership (October 2025), identifies 13 priority sectors—including electronics, pharmaceuticals, automobiles and food processing—to raise manufacturing’s share to 25% of GDP by 2035. This is a target which needs to be pursued. 

Even now, there are a few States which offer encouraging examples for focus on manufacturing. Tamil Nadu has made manufacturing central to its growth strategy, with the sector contributing about 33% to its state domestic product. Consistent policy, administrative support and industry engagement have driven this progress. VinFast, a Vietnamese electric car maker, has a manufacturing facility in Thoothukudy now. 

There are at least three steps which the Union Government can initiate. Engage with the top 10 manufacturing companies in India and request them to take up mentorship of one industrial cluster each. Not through any financial support or outlay. Let each of these companies select 50 units from these clusters for mentorship in “excellence in quality” and “global reach”. Reward and recognise the successful mentor companies during the Republic Day or some annual events. This will be a great push for quality manufacturing.

Similarly, ask the IITs and IIMs to identify and own up, say 10 small/medium manufacturers in their States and support them in formulating a “strategy for excellence”. Evaluate results annually and recognise contributions at the national level. Third, all-India Science & Technology institutions should be tasked with supporting at least 10 small and medium enterprises leading to productivity gains and improvement in “quality”. The outcome should be monitored by and recognised. 

Undoubtedly, India’s manufacturing ambitions hinge on quality and excellence. Achievements in space and technology like landing an orbiter on the moon inspire pride, but they will ring hollow for millions of ordinary Indians if the most basic products—like a matchstick—fail to perform reliably at first use. And unless we are top notch in quality, the international market will scarcely recognise us.