Why Chinese products are cheaper than Indian products
how are Chinese products affecting Indian market: India has been a key trade partner for China as most of the goods in the Indian market are made in China. Yearly 70.8 billion US dollar trade is done from China. This isn’t surprising because Chinese products are cheaper than Indian products. Chinese products are found in every nook and corner of India and are bought by Indians excessively. But why Chinese products are cheaper than Indian products is a thoughtful question. Godofsmallthing has dug in and tried to find out as to why Chinese products are cheaper than Indian products.
Let’s Compare Make in India vs. Make in China
The main reason for it is that China has an increased productivity rate compared to India.
This automatically increases the price of a product. The net cost production in China is low which reduces the selling price of a product. Labors in China are hired on the basis of their net production, not on the monthly salary wages. The work done by the labors decides their earnings.
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china vs India manufacturing
labors are kept at factory sites so as to reduce their travel time and increase the working hours. The labors in China are much more active compared to Indian labors and can work for 16 to 18 hours. This increases the manufacturing of goods in China. Transportation in China is cheap and reliable which helps to reduce the cost of the products.
The private transport in India is costlier due to which the Indian manufacturers collect transportation charges from consumers only. This straight away increases the cost of the Indian product. The entrepreneur mentality of Chinese people
why are Chinese products preferred over Indian products?
The entrepreneur mentality of Chinese people helps the business thrive easily in China. In India, businessmen have to go through numerous norms, legal process, and documentation for every small thing which costs a lot. Due to this people here don’t work on low-cost products but Chinese love going for low-cost production. Chinese businessmen stress more on cost-saving than durability. Indian products are manufactured with durability and long life which increases its cost. All in all cheap labor, Government lenient policies, cheap transportation, and less durable products make Chinese products cheaper.
Whereas Indian products are costlier due to high labor, durability, long life and good quality of raw material. Chinese are clever enough as they create cheaper products for developing countries which are sold like hot cakes.
But costly and good quality products are also made in China for developed countries. Many Swadeshi brands are emerging in the country and Indians must consider them to promote the country and increase the income for the country which can be used for the further better purpose of the country. With this, you must have understood why Chinese products are cheaper than Indian products. Every Indian must boycott Chinese products and promote Indian products to increase the productivity and economy of our country.