Lack of initiative & investment in the manufacturing sector is one of the reasons. I think every one today is interested in doing a desk-job that is more luxurious rather than doing hard work in manufacturing industry.
what i feel is that there are lot of hurdles for starting any manufacturing plant which discourages people to move in this sector and also the salaries offered in this sector is not as lucrative as in the IT sector...
If you want to start an IT/BPO company it hardly requires a small room, 8-10 computers & 10-15 employees who can work for long at a decent salary. Employees qualifications doesn't matter much as they can be trained in a quick time.
But to start a manufacturing company it requires a very large area, expensive machines & well trained manpower. All this requires huge investments.
most of the parents want their kids to join IT, comp sc, electronics branches of engineering etc, mechanical and civil comes last in their list....this is one of reasons that we dont have best brains in mfg sector