THIRUVANANTHAPURAM: Even though automation does not pose a threat to employment in India's manufacturing industry as of now, fast developments in the area demand a policy formulation.
A recent study by the Centre for Development Studies (CDS) director Sunil Mani pointed out that the number of industrial robots in India has increased from just 70 in 2000 to 16,026 in 2016.
The manufacturing sector accounts for the lion’s share of delivered robots, especially in automotive, electrical and electronics, metal, chemical, rubber and plastic industries. Within the automotive industry, the use of industrial robots is in tasks, which are, historically speaking, less labour intensive.
"For the present, automation does not pose a threat to manufacturing employment. However, with the fast developments in technology, the situation can change. So there has to be a policy on automation for an abundant labour economy such as that of India’s,” the study says.
Mr Mani told DC that a policy on what should be the optimal levels of automation in various sectors could alleviate any fears of job losses due to automation.
According to the study, one of the most labour intensive industries in India is the cotton textile, especially the making of readymade garments.
Automate entire clothes-making process is very expensive. Its diffusion in the textile industry will take years to fructify, said the study.
Mr Mani also pointed out that China was giving more focus on artificial intelligence (AI) and robotics and it could lead to the availability of robots at more affordable rates.
"Chinese investors are now investing heavily in AI-focused startups. Entry of China can make robots much cheaper and increase the probability of it being affordable to even to newer industries as against traditional adopters of robotic technology such as the automotive industry. Faster adoption of these new automation technologies can have a deleterious effect on employment intensities in Indian manufacturing - for instance in labour-intensive industries such as textiles and clothing,” said the study.
