Make in India is a Government of India initiative to turn India into a manufacturing hub and give the Indian economy a global recognition. It was launched by Primer Minister Narendra Modi on September 25, 2014. The initiative promises the investors – both domestic and overseas – a good environment to promote manufacturing industries and also to create job opportunities.
Govt of India has identified 25 key potential sectors for Make in India campaign: Automobiles, Aviation, Chemicals, Information Technology and Business process management (IT & BPM), Defense manufacturing, Pharmaceuticals, Construction, Electrical machinery, Leather, Media and entertainment, Wellness, Mining, Tourism and hospitality, Railways, Automobile components, Renewable energy, Mining, Food processing, Textiles and garments, Ports, Bio-technology, Space, Thermal power, roads and highways and Electronics systems.
Why Make in India?
More than 50% of Indian population depends on agriculture and allied activities. Still, the share of agriculture in GDP is less than 15%. On the other hand, share of service sector is nearly 60%. And manufacturing sector contributes about 15% of India’s GDP. What does it tells us? India is predominantly a service economy and the performance of it’s manufacturing sector is poor. The Make in India Initiative is a big step towards promoting the manufacturing sector by making India an investment hub. It aims to increase GDP growth and tax revenue by attracting capital and technological investment in India. It also aims manufacturing at high quality standards with minimum impact on the environment.
Key targets of Make in India:
- Increase growth of manufacturing sector to 12-14% per annum.
- Increase share of manufacturing in GDP to 25% by 2022.
- Create 100 million additional jobs by 2022.
- Create skills among rural migrants and the urban poor.
- Increase domestic value addition and technological depth in manufacturing.
- Enhancing the global competitiveness of the Indian manufacturing sector.
- Ensuring sustainability of growth with regard to environment.
Favourable conditions for make in India:
- India is one of the fastest growing economies of the world.
- By 2020, India will be amongst world’s top 3 growth economies and top 3 manufacturing destinations.
- Favourable demographic dividends in India for the next 2-3 decades.
- Labour is relatively cheap in India.
- India has strong technical and engineering capabilities.
- Indian financial markets are open for the foreign investors.
- Increasing consumerism in the Indian market.
More information: http://www.makeinindia.com