Increasing Consumer Demand and Challenges in the Manufacturing Sector

India is making slow but steady progress towards Industry 4.0, thanks to government initiatives like the National Manufacturing Policy, which aims to raise manufacturing’s GDP share to 25% by 2025, and the PLI scheme for Manufacturing, which was introduced in 2022 and aimed to bring India’s core manufacturing sector up to par with international manufacturing standards.

In India, one of the industries is seeing rapid expansion in manufacturing. Indian Prime Minister Narendra Modi introduced the “Make in India” initiative to promote India’s manufacturing industry and boost the country’s economy internationally. By 2022, the government wants to add 100 million new employees to the industry.

The Indian manufacturing sector is steadily moving towards more automated and process-driven manufacturing, which is projected to improve efficiency and enhance productivity.

Manufacturing has long been the foundation of economies all around the world, creating goods and services that satisfy consumer demand. The manufacturing industry is nonetheless confronted with a number of difficulties that it must resolve in order to be competitive and sustainable as consumer demand rises.

Following are some of the main issues the manufacturing industry is now facing:

Meeting Customer Expectations

In terms of product quality, customisation, and turnaround time, consumers have more expectations than ever before. Manufacturers need to figure out how to satisfy these needs while continuing to be profitable and effective.

Market research: It is important because producers need to know what their consumers want in order to satisfy their expectations. Finding out what consumers value most and what they anticipate from the things they buy may be done through market research.

Invest in product development: It’s important to create items of the highest calibre that satisfy client demands. Manufacturers should spend money on R&D to produce goods that are unique, long-lasting, and economical.

Customization: Is becoming more and more essential to customers, therefore manufacturers must provide a range of solutions to fulfil their demands. Several product variants, custom packaging, and specialised delivery choices are all examples of customization.

Disruptions to the supply chain

The COVID-19 pandemic has brought attention to the value of a resilient supply chain. Today’s issue for manufacturers is to make sure that their supply networks are safe and flexible enough to respond to unforeseen disturbances. Manufacturers might think about the following tactics to guarantee that supply networks are secure and adaptable enough to handle these disturbances:

Diversify your suppliers: Depending on one supplier puts you at risk since any disruptions to their business might affect the whole supply chain for the manufacturer. In order to spread the risk and improve their capacity to react to interruptions, manufacturers should think about diversifying their supply base.

Increased supply chain transparency: This can assist manufacturers in overseeing possible hazards and taking preventative action to resolve them. This may require maintaining constant contact with suppliers, keeping an eye on important KPIs, and gaining insight into how suppliers are operating.

Ever-changing Technology

To keep ahead of the competition, firms must constantly adapt to the quick speed of technological development. This can involve making investments in cutting-edge technology, training personnel, and changing company practices.

Adopt digital transformation: Manufacturers may enhance the effectiveness and robustness of their supply chains by utilising digital technologies like automation, analytics, and artificial intelligence. Real-time monitoring, predictive analytics, and automatic reactions to interruptions can all be made possible by these technologies.

Trained employees: Businesses must make sure that their staff members has the appropriate knowledge and abilities in order to fully benefit from new technology. This may entail offering training and development plans and recruiting fresh personnel with the necessary technical abilities.

Labour Shortages

The COVID-19 pandemic has exacerbated labour shortages in many industries, as a result of a range of factors such as illness, quarantine, social distancing measures, and changing consumer demand. A lack of competent personnel is restricting the growth and capabilities of many firms to satisfy rising demand. Here are a few ways to solve the prevailing problem.

Upskilling: Investing in programmes to improve the skills of current workers or new recruits is one way to address the lack of qualified individuals. This may demand working together with academic institutions, providing internal training programmes, or funding apprenticeships.

Meraqui has stepped in to help such people and companies. We specialize at capturing young people from rural regions and hashtag#upskilling them while they work for you through Apprenticeship programs like hashtag#NAPS & hashtag#NATS.

Meraqui has effectively put 8k+ properly trained diligent workers in many clients, according to statistics from 2018 to the present. Meraqui has around 150 clients distributed throughout 25 states and more than 100 locations.

Improve working condition: Companies may attract and keep employees by providing a pleasant workplace and comfortable working conditions. Offering flexible work schedules, supplying possibilities for professional growth, and making investments in workplace amenities and perks like healthcare, daycare, or fitness programmes are a few ways to do this.

Leveraging latest technology: Businesses can boost productivity by automating repetitive operations, requiring less manual labour, and reducing costs. This can enable workers to concentrate on more difficult jobs and enable businesses to get more done with a fewer crew.


As consumers demand more environmentally friendly products and business practises, sustainability has grown in importance for companies. Companies can take the following actions to integrate sustainable practises throughout their supply chains in order to meet this demand:

Adopt a sustainability policy: Businesses can get started by committing to lessening their environmental impact by adopting a formal sustainability policy. The policy should be communicated to employees, suppliers, and customers and should include specific goals and targets.

Conduct a sustainability audit: Businesses can carry out a sustainability audit to evaluate the impact they have on the environment and pinpoint areas where they can make improvements. The entire supply chain, including raw materials, manufacturing procedures, and transportation, should be examined during the audit.

Connect with customers: Customers can be informed about a company’s sustainability initiatives through marketing and educational campaigns. This may promote brand loyalty and persuade customers to buy eco-friendly products.

Final Thoughts

In conclusion, it is becoming more difficult for the manufacturing sector to satisfy consumer demands in the current market. Consumer expectations for product quality, customization, and turnaround time are higher than ever. The COVID-19 pandemic’s effects on the supply chain have also brought attention to the importance of resilience and flexibility in supply networks. Companies must adapt to stay ahead of the competition as technological advancements proceed quickly.

In general, a strategic approach that prioritises innovation, resilience, sustainability, and workforce development is necessary to meet consumer demands and address the issues facing the manufacturing sector. Companies can maintain their competitiveness, fulfil customer expectations, and succeed over the long term by taking these actions.

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