India and Southeast Asia Rising as Top Manufacturing Hubs: JLL

India and Southeast Asia are rising as top manufacturing hubs outside of China due to supply chain diversification, as per JLL analysis. The report emphasizes that a variety of strategic policies and economic variables are making these places more appealing to global manufacturers.

It further went on to say that the government's efforts such as the Production Linked Incentive (PLI) plan and the National Logistics Policy are major contributors to India's expanding popularity. The government's programs aim to stimulate industry investments while also improving the country's overall logistical infrastructure. As a result, India has seen a large increase in foreign direct investment (FDI).

According to the report, due to efforts such as Make in India, FDI in the manufacturing sector increased by 55% to USD 148.9 billion between 2014 and 2023, up from USD 96 billion between 2005 and 2014.

"The Make in India initiative, Industrial Corridor Development Program, Production Linked Incentives (PLI), India Semiconductor Mission & National Logistics Policy are a few policies and initiatives that had helped propel the India story globally today," said Chandranath Dey, Head. Logistics & Industrial, India, JLL.

He further added, "Manufacturing companies are exploring innovative transaction structures to complement their timeline targets and funding strategies in India".