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India's participation in global value chains and some implications for economic and social upgrading: A case study of the automobile sector

Author

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  • Jha, Praveen K.
  • Kumar, Dinesh

Abstract

This paper maps the integration of India's automobile sector in the context of the structural transformation of contemporary capitalism, in particular with reference to what is variously described as Global Commodity Chains, Global Value Chains, Global Supply Chains etc. It explores the multiple dimensions of economic and social upgrading within the Indian auto sector as a consequence of its deepening participation in these 'chains'. The paper is divided into six sections. Section 1 provides a brief introduction; Section 2 gives a brief profile of the Indian automobile sector and also discusses briefly its major constituents, namely, original equipment manufacturers (henceforth OEM) and auto component segment, and their geographical distributions; Section 3 provides an overview of the data and methodology; Section 4 analyses India's GVCs participation, using a couple of indicators, and examines some aspects of economic and social upgrading in both the organised and unorganised sectors; Section 5 flags a few recent policies and plans adopted by India's central government in this industry; Section 6 concludes the chapter with a recap of major findings.

Suggested Citation

  • Jha, Praveen K. & Kumar, Dinesh, 2021. "India's participation in global value chains and some implications for economic and social upgrading: A case study of the automobile sector," IPE Working Papers 156/2021, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    • Handle: RePEc:zbw:ipewps:1562021
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    References listed on IDEAS

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    1. Badri Narayanan G. & Pankaj Vashisht, 2008. "Determinants of Competitiveness of the Indian Auto Industry," Microeconomics Working Papers 22234, East Asian Bureau of Economic Research.
    2. Aiginger, Karl, 1997. "The Use of Unit Values to Discriminate between Price and Quality Competition," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 21(5), pages 571-592, September.
    3. Badri Narayanan G & Pankaj Vashisht, 2008. "Determinants of Competitiveness of the Indian Auto Industry," Indian Council for Research on International Economic Relations, New Delhi Working Papers 201, Indian Council for Research on International Economic Relations, New Delhi, India.
    4. Salido Marcos, Joaquín & Bellhouse, Tom, 2016. "Economic and Social Upgrading: Definitions, connections and exploring means of measurement," Sede Subregional de la CEPAL en México (Estudios e Investigaciones) 40096, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    5. Praveen Jha, 2019. "Prospects for Labour and Contemporary Capitalism: An Assessment With Reference to India," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 62(3), pages 319-340, September.
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    Cited by:

    1. Jha, Praveen K. & Mishra, Preksha & Singh, Kamya, 2023. "Automobile sector in India at the current juncture: Crisis and prospects," IPE Working Papers 216/2023, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    2. Karishma Banga, 2022. "Impact of global value chains on total factor productivity: The case of Indian manufacturing," Review of Development Economics, Wiley Blackwell, vol. 26(2), pages 704-735, May.

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    More about this item

    Keywords

    Global Value Chains; Automobile Sector; Employment; Wages; Neoliberal Policy;
    All these keywords.

    JEL classification:

    • F66 - International Economics - - Economic Impacts of Globalization - - - Labor
    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment

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