India to continue as top retail sourcing hub: PwC

China and India are expected to continue as the top sourcing hubs in
retail and consumer sector globally in the coming years, even as
concerns over rising cost, quality and environmental issues may impact
their advantage, a latest PwC report says.

According to report 'Global Sourcing: Shifting Strategies' released by
PricewaterhouseCoopers (PwC), cost, quality and the environment would
play an increasingly important role as Companies seek to achieve new
heights of performance and competitive advantage from the global
sourcing programmes.

"Our feeling is that China will continue to be the leader in terms of
sourcing activities for many years to come, however, concern over
rising costs, carbon footprint and other issues may cause Companies to
step up purchases in other countries over time," the PwC report
stated.

China is the number one destination for global sourcing activities
with 83 per cent of Companies interviewed for the survey naming it as
the top sourcing nation, while India follows at the second place with
58 per cent.

"Global sourcing is experiencing robust growth with increased
globalisation. While cost is still the key driver of global sourcing
activities, mature Companies are shifting focus to gain greater
efficiency in competitive market, with focus on better quality
products and collaborative supplier relationships," PwC India retail
and consumer leader N V Sivakumar said.

For success, Companies need to adapt their organisation structure and
processes to manage the supply chain risks, minimise impact on
environment, as well as measure and maximise cost savings, Sivakumar
added.