Manufacturers told to focus on value addition, design-led innovation, tech ownership

Speakers argued that India must move beyond manufacturing scale. The next phase should create more value inside the country through technology ownership, domestic value addition and design-led innovation. This matters because production volume alone does not guarantee strong product capabilities, competitive exports or resilient supply chains.

They pointed to several connected opportunities. These include advanced manufacturing, renewable energy storage, electric mobility and data centres. AI, industrial IoT, digital twins and robotics could improve factory productivity, quality and operational efficiency. Domestic solar manufacturing and energy-storage capabilities were also highlighted.

The conference presented this shift as an urgent opportunity rather than a distant goal. Rahul Garg stressed export competitiveness, while B.V.R. Mohan Reddy called for design-led innovation. Anand Ramamurthy added that infrastructure, predictable policies and specialised talent are needed to scale advanced manufacturing. Sustainability should also guide this expansion.

Domestic value addition is the share of a manufactured product’s value created within the country. It can come from local raw materials, components, engineering, software, design, production, testing and after-sales services. The idea matters because manufacturing can look large while India captures only a limited part of the final product’s economic value.

For example, a solar panel assembled in India may still rely heavily on imported cells, wafers, machinery or intellectual property. Greater domestic value addition would mean developing more of those capabilities locally. In the article, Navin Mittal specifically called for stronger manufacturing across the solar value chain and greater energy-storage capabilities.

Higher domestic value addition can build local skills, suppliers and technology ownership. It can also make manufacturing ecosystems more resilient and potentially improve export competitiveness. The conference speakers therefore linked domestic value addition with India’s broader move toward advanced, design-led manufacturing rather than assembly or scale alone.

Design-led innovation begins with solving a need, improving performance or creating a distinctive product. It combines research, engineering, user understanding and technology choices before production expands. Producing large quantities of an existing product focuses mainly on efficiency, cost and volume. It may succeed commercially, but it does not necessarily create new intellectual property or product leadership.

For instance, a company could assemble a standard electronic device at high volume. A design-led company might instead develop the device’s architecture, software, materials or energy system, then manufacture it competitively. The value comes from owning the design and the technology, not only from operating the production line.

B.V.R. Mohan Reddy said India’s next manufacturing phase must focus on technology ownership and design-led innovation rather than production scale alone. That shift could help Indian firms create differentiated products, improve competitiveness and retain more value within domestic manufacturing ecosystems.

The conference article does not quantify manufacturing’s contribution to India’s economy, employment or exports. It focuses instead on the need to move from scale toward domestic value addition, technology ownership and stronger ecosystems. Therefore, no single economy-wide figure can be taken from the supplied source.

As broader context, recent national and international datasets commonly place manufacturing’s share near the mid-teens of India’s GDP. Labour estimates are usually lower, around one-tenth to one-eighth of total employment, depending on whether informal and related work are counted. Manufactured and processed goods also make up most merchandise exports, although the exact share changes with classification.

These measures should not be treated as interchangeable. GDP share measures value created, employment measures jobs, and export share measures traded goods. The conference’s argument is that India should increase the quality and domestic value of all three, especially through advanced manufacturing, design and technology ownership.

Technology ownership means Indian companies control important designs, processes, software or intellectual property instead of depending mainly on foreign suppliers. Domestic value addition means more of a product’s engineering, components and production happen in India. Together, they could strengthen productivity, exports and supply-chain resilience.

The mechanism is practical. Local firms that own technology can improve products and processes faster, retain more revenue and compete through quality rather than low-cost assembly alone. A stronger domestic supplier base could also reduce exposure to imported inputs. The article gives solar manufacturing and energy storage as areas where India should build capabilities across the value chain.

These outcomes are not automatic. Anand Ramamurthy stressed the need for infrastructure, predictable policy and specialised talent. The conference framed technology ownership and value addition as priorities for India’s next manufacturing phase. If supported, they could help create globally competitive ecosystems and reduce dependence on foreign suppliers over time.

These technologies connect factory equipment, production data and automated decision-making. AI can identify patterns in machine or quality data. Industrial IoT sensors can collect information continuously. Digital twins can create virtual models of equipment or production lines. Robots can perform repetitive, precise or physically demanding tasks.

The key mechanism is a faster feedback loop. Sensors report what is happening, software analyses the information, and operators or machines respond. A digital twin can help test a process virtually before changing the real line. AI can flag likely equipment failures or quality problems. Robotics can repeat tasks consistently, reducing variation and wasted time.

The conference speakers linked these tools to productivity, product quality and export competitiveness. Navin Mittal also emphasized operational efficiency, while Rahul Garg highlighted AI, robotics, Industrial IoT and digital twins. Their value will depend on suitable infrastructure, skilled workers and effective implementation across factories.

Advanced manufacturing, renewable energy, storage, electric mobility and data centres share demanding needs for power, equipment, software and reliable infrastructure. Their connection matters because growth in one area can create markets and capabilities for the others. The conference described this intersection as a major source of opportunity for India.

Renewable energy can supply cleaner power to factories and data centres. Energy storage can help manage changing renewable generation and support electric mobility. Electric vehicles require advanced manufacturing, electronics and storage technologies. Data centres need large, reliable energy supplies and can also increase demand for digital systems used in modern factories.

Navin Mittal said India was at the threshold of major revolutions in the energy sector. He called for stronger solar manufacturing, energy-storage capabilities and wider use of AI, IoT, digital twins and robotics. The broader implication is a connected ecosystem where energy, mobility, computing and production develop together.