The country's offshoring in auto components is set to cross $2 billion, said a paper, presented at the Wharton Alumni Forum being hosted in Mumbai.
The speakers at the forum felt India needs to demonstrate its offshoring capabilities in manufacturing and other industries, in addition to the IT and IT-enabled services sector where the country has proven strength.
"This is because the country needs (to create) jobs for the girls and the boys who are passing out of schools and colleges, along with millions of graduates and engineers coming out of their campuses, every year. Also, the world requires manufactured goods from India and other Asian countries," Arun Nanda, executive director, Mahindra & Mahindra, said.
The reason why India has to gear up all the more is that even in the business process outsourcing space India's voice-based capability and language advantage are not so much of a winning proposition.
"Also, our cost advantage will not last long. Therefore, it is time we moved up the value chain," said Ashok Goel, vice-chairman and managing director, Essel Propack.
For the domestic companies to be successful in the offshoring arena, globally, it is also important to know what the western world looks up to India for.
"This would mean delivering tailor-made business models, clarity of business objectives and continuous innovation," he added.
Companies will also have to start training programmes to train the pool of raw talents available in the country.
Manufacturing offshoring can happen only if the sector is able to enhance its productivity.
ABB India's Fab-city is an example where there has been a "creation of logistics and infrastructure for all companies to manufacture semi-conductor chips, and it is not just restricted to our business", according to Ravi Uppal, vice-chairman and managing director, ABB India.
Thrust on better education and greater focus on moving up the value chain are the key to India's success in offshoring: this is what summed up the views shared at the forum.
More from rediff