Member Article

NW manufacturers urged to partner with Indian counterparts

Manufacturers in North West England have been advised to partner with their Indian equivalents as a way into the Asian market.

Clearwater Corporate Finance found that, while on a visit to India, joint ventures with businesses in the country could promote technology sharing and specialist knowledge between manufacturing companies.

India has the ninth largest manufacturing economy in the world, and its wider economy is expected to grow by 5% this year.

Clearwater Corporate Finance, which has offices in Manchester, Nottingham, Birmingham and London, went to the country in conjunction with Indian corporate advisor o3 Capital.

The firm suggested that North West manufacturers could benefit from an increasingly popular trend of “far shoring” in emerging economies like China and India, as opposed to “near shoring”, or use of nearby supply chains.

Far shoring allows businesses in less developed manufacturing nations to use technology from more advanced engineering bases in distant countries.

Constantine Biller, industrial partner at Clearwater Corporate Finance, said: “India offers staggering opportunities to UK firms looking to grow.

“It is a country hungry to improve its manufacturing base and it knows the UK, with its world-class engineering assets, can help it do that.

“The benefit for companies here is access to one of the world’s largest and fastest-growing economies.

“For those looking to enter the Indian market, a joint venture offers huge potential. It can provide a ready-made manufacturing site and invaluable knowledge of the local market, which is a massive benefit.

“The quid pro quo, though, is that Indian businesses will expect some technology transfer and the end game may in fact be an acquisition.

“During our visit we met a number of Indian businesses keen on a UK joint venture. It is clearly an idea with potential that could step-change the growth of UK manufacturers.”

This was posted in Bdaily's Members' News section by Miranda Dobson .