Sector:
Engineering
Service:
FDI Location Analysis
Target Market:
India
Client Location:
Finland
Year of Project:
2023
2023
Background
The client has a well-established presence in the Indian pre-cast industry. They have an existing manufacturing unit in Northern India , which serves both the domestic and international markets. Due to the rising logistics and lease costs of the manufacturing plant, the client wanted to consider options elsewhere in India.
Objective
To conduct a location analysis involving all the aspects of setting up a new manufacturing facility in India, based on the usual parameters of access to target markets (domestic and international), costs for operations (electricity, water, labour), logistics and the lease of the facility.
Solution
The client was provided with a detailed report covering 1) Logistics costs to 28 domestic geographies (from 9 identified industrial areas) and 5 international geographies from 2 Indian ports, 2) Lease costs for 5 shortlisted industrial properties, 3) Market intelligence (overall opportunity analysis, key stakeholders and a go to market strategy) and 4) labour costs, and subsidies provided in the respective industrial areas by the government, and details industrial laws and regulations.
Client Outcome
The client has acknowledged they now have sufficient information to consider their next step and when a decision has been made they may further engage T&A at the implementation stage