A trend towards multipolar production is emerging, with countries and companies seeking more resilient and diversified supply chains, Anand Mahindra noted.
01 Jul 2024 | 3418 Views | By Shahkar Abidi
India is finding itself in a favourable position, with the interplay of geopolitics and economic linkages in the post-COVID era, according to Anand Mahindra.
A trend towards multipolar production is emerging, with countries and companies seeking more resilient and diversified supply chains. This shift presents India with significant opportunities, the ...
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India is finding itself in a favourable position, with the interplay of geopolitics and economic linkages in the post-COVID era, according to Anand Mahindra.
A trend towards multipolar production is emerging, with countries and companies seeking more resilient and diversified supply chains. This shift presents India with significant opportunities, the Chairman of Mahindra & Mahindra noted.
"India has emerged as a key beneficiary. India's emerging role as one of the vital nodes in future-proofed supply chains across industries opens the door for growth within India and expansion beyond," Mahindra remarked in his company's latest annual report.
According to him, this confluence of factors presents an excellent opportunity for the development of private industry, particularly manufacturing.
Additionally, to add to its strength, India has been witnessing heavy investment in infrastructure and logistics . Also, India is the cheapest manufacturing destination in the world and there is is a good supply of labour. "The need for jobs for young people, our demographic dividend, is high," he continued before adding that externally too, the conditions are working in our favour. "It's time to seize the day," Mahindra further added.
He added that Mahindra & Mahindra has already announced an investment of Rs 37,000 crore across its auto, farm and services businesses (excluding Tech Mahindra) in F25, F26 and F27. "These investments will, to a large extent, go towards building capacity, with a pipeline of 26 new models/facelifts in the next 5 years," he continued.
Furthermore, Mahindra Finance's loan book crossed the Rs 1 lakh crore threshold, increasing by 24% over the previous year. The valuation of our 'growth gems' increased over 4x in the last 4 years. The contribution of its services businesses (Mahindra Finance, Tech Mahindra and growth gems) to M&M's net cash generation was almost seven thousand crores over the FY22–24 period.