Digitalisation and AI: What’s the future of India’s manufacturing sector?

While India is known for its manufacturing heft, the sector is less known for its ability to digitise. As the sector grows, digitisation is keeping pace with the sector's evolution in the country, slowly but surely.

On the second day of YourStory's flagship event TechSparks 2023, Aritra Ghosh, the Vice President Manufacturing Engineering · Mercedes-Benz, spoke about digitalisation and how fresh tech like AI is being used in manufacturing.

“India has a lot of potential in manufacturing, and it's interesting to see how we're growing,” Ghosh says, adding that India is adept at trying out new technologies and being fast, efficient, and flexible.

Citing an example, he continues, “Mercedes-Benz, made a special factory in Berlin. This factory doesn't use paper, and it's connected to the industrial 5G internet network. The cars or products made here go through the tech process which includes no human intervention. Mercedes-Benz is even making new electric motors for sports cars using this technology and selling them all around the world.”

As per Ghosh, several companies are making their way to India to make products, including Mercedez Benz, which has plans to scale up in the country.

Is digitalisation feasible for manufacturing?

While digitalisation and AI in manufacturing can seem like great ideas it may not be a simple path executing these in reality. To Ghosh, the use of these technologies is an exciting and scary proposition.

Nonetheless, there are some interesting use-cases. For instance, tech can help prevent stoppage of machines, which would otherwise cost companies dearly.

For digitalisation to flourish, small businesses will need to get in on the action, highlights Ghosh but the ground reality is that many business owners in India still distrust technology. “Also, we need better infrastructure to use this technology properly," he says.