Why in the News?
It has been 10 years since the announcement of “Make in India” Programme on September 25 in the year 2014.
About the Make in India Programme:
| Details | |
| Led by | Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce & Industry |
| Objective | To transform India into a global manufacturing and investment hub |
| Key Focus Areas | Attract foreign investment, promote industrialization, export-led growth |
| Make in India 2.0 Sectors | Covers 27 sectors, including strategic manufacturing and services |
| GDP Target (Manufacturing) | Increase manufacturing share in GDP from 16% to 25% by 2022 |
| Job Creation Target | 10 crore additional jobs by 2022 |
| Manufacturing Growth Target | 12-14% annual growth in the manufacturing sector |
| Four Pillars |
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Success of the Project
- India is now the second-largest mobile phone producer globally.
- The PLI Schemes have attracted ₹1.97 lakh crore in investment across 14 key sectors, generating 8 lakh jobs.
- The PM GatiShakti initiative has improved logistics and transport connectivity, while India received $667.41 billion in FDI from 2014-2024.
- Indigenous projects like INS Vikrant and Vande Bharat Trains have showcased India’s growth in manufacturing.
- India improved its Ease of Doing Business ranking, moving from 142nd to 63rd.
- Limitations:
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- The share of manufacturing in GDP has remained flat at 17.3% in 2023-24, the same level as in 2013-14, despite rising briefly to 18.5% in 2021-22.
- Employment has declined, with manufacturing’s share in total employment falling from 11.6% in 2013-14 to 10.6% in 2022-23.
- India’s share in global exports grew from 1% in 2005-06 to 1.6% by 2015-16, but only increased marginally to 1.8% by 2022-23.
- Additionally, imports as a share of GDP have risen back to 25% in 2023-24, similar to 27% in 2013-14, after a dip to 21.2% in 2020-21 during the pandemic.
PYQ:[2017] “Industrial growth rate has lagged behind in the overall growth of Gross-Domestic-Product (GDP) in the post-reform period.” Give reasons. How far are the recent changes in Industrial-Policy capable of increasing the industrial growth rate? |
