>INDIA'S ECONOMY: Doing business in Dharavi

We visited Mumbai’s Dharavi Slum on Boxing Day, gaining a peek into this city within a city. We were moved by the scenes of daily life that we encountered but were most surprised by the sophistication of Dharavi’s economy. As a single data point in India’s informal economy, the recycling, textiles and leather businesses that we saw were vibrant enterprises and had developed sophisticated links with the wider economy.


One of Mumbai’s largest slums
■ Dharavi encompasses a 1.7km2 area and is home to an estimated one million residents
■ Its residents face a daily challenge from their impoverished conditions


Sophisticated businesses
■ Dharavi supports a strong economy, producing ~US$600 million of goods each year
■ We visited local recycling, textiles and leather businesses and were surprised by their sophistication


Sophisticated consumers
■ Even in the midst of poverty, we still saw evidence of growing consumerism
■ We were struck by the number of smartphones in use, satellite TV dishes on the rooftops and motorcycles on the streets


Seeing is believing
■ We recognise that Dharavi is just one slum of many and may not be representative
■ Still, Dharavi provides a fascinating insight into India’s informal economy and refutes the idea that the informal economy must be stagnant and backward
■ We recommend investors contact Reality Tours & Travel to see Dharavi with their own eyes (contact details provided inside)


To read the full report: India's Economy