Profile
Settings
Refer your friends
Sign out
India’s fifteenth and current prime minister Narendra Modi, had announced as well as promoted the “MAKE IN INDIA “ project in 2014 in New Delhi. Through this project, the Government of India not only welcomed foreign companies and manufacturers to invest and start their product manufacturing in India but also asked domestic business organisations to invest resources in their own country. The original goal of this drive was to expand the contribution of the manufacturing segment to the nation’s GDP from sixteen per cent to twenty-five per cent in the next five years.
Through this scheme, the Indian government cut off several unnecessary and hindering laws. However, this program requires some skill development projects, especially for the people belonging to rural background or the urban poor. So, the Government of India has distinguished twenty-five priority sectors which need to be promoted. These priority sectors have higher chances of foreign direct investment, or FDIs. Due to a lot of promotion and support, India is now receiving tremendous response from several firms, though challenges still remain. One can also increase the ability to “attract and retain” talented professionals by fostering innovation.
Make in India: An opportunity to enhance skill development, foster innovation
Make in India fosters innovation, meaning it is open to new ideas, opportunities, technology, and unexpected markets. The growth and development of the manufacturing sector will give new wings to India’s economic and financial growth, while providing employment to the considerable youth population of the nation. Fostering innovation is one of the aims of the Make in India project. The project is designed to facilitate investment, enhance skill development, and foster innovation. It is also designed to protect “intellectual property” and build best-in-class manufacturing infrastructure in the country.
The economic impact of this project is not just limited to some kind of direct business but also leads to the creation of several new occupations in administrative, logistics, transportation departments, etc. Moreover, if the product is being manufactured in the country itself, it necessitates the use of a good amount of crude material, thereby encouraging strong and effective transportation facilities, both inland and airways, which will consequently lead to the development of India’s enormous infrastructure.
Studies and experts estimate that this project alone can create a hundred million jobs in the country. Numerous foreign companies have communicated their interest in starting their manufacturing plants in India. Among these, the notable ones are home appliance manufacturer Bosch and Siemens who declared the setting up of their first manufacturing centre in India, Sony Corporation, etc.
Challenges for Make in India
In addition to the opportunities, India has several challenges which need to be addressed. Currently, India has inadequate funding facilities, and complex rules and laws which may discourage firms from setting up their manufacturing centres in India. India has been very strict about procedures and regulations in terms of business . This can be overcome if only the Indian government comes up with some easier procedures for the approval of projects and maintains a hassle-free, business-friendly environment.
India has a lot of manpower. However, she is still not able to supply efficient human resources due to the lack of skills and training. The Indian government might need to consider some tax concessions for new units in the nation. China also announced a similar project, “Made In China”, on the same day as India. Thus, India needs to come up with proper strategies to compete with China’s supremacy in the manufacturing sectors. For this, India needs to have high-tech imports, focus on research and development. The legislature should ensure the provision of a platform for innovation, research and development.
Demerits of Make in India
In addition to the several advantages of the Make in India project, there are several demerits of the same, such as:
Ignorance towards agriculture and farmers: India has a large portion of cultivable land. With the introduction of the marvellous industrial sectors, the agriculture sector and the people associated with this sector are being neglected.
Depletion of natural resources: Every industry, be it large or small, will always require natural resources. If not anything else, then water and land, for sure. This might cause major long-term problems for India. Depletion of non-renewable natural resources will make it difficult to sustain such a large population.
Disadvantage for small entrepreneurs: The big companies might end up dominating the market and using up all the human resources, leading to misfortune for small entrepreneurs.
Apart from these issues, the Make in India project might lead to the disruption of land, a fabrication-based economy, growing interest in international brands, causing a pushback of domestic brands. Above all, the project is sure to generate an enormous amount of pollution.
Conclusion
The Make in India project has enabled the Government of India to not only welcome foreign companies and manufacturers to invest and start their product manufacturing in India but also provided a boost to domestic business organisations to invest resources in their own country. The goal of this drive is to expand the contribution of the manufacturing segment to the nation’s GDP from sixteen per cent to twenty-five per cent. Through this scheme, the Indian government has also cut off several unnecessary and hindering laws. However, this program requires some skill development projects, especially for the rural people and the urban poor. To this end, the Government of India has distinguished twenty-five priority sectors which need to be promoted.
The Make in India project also has its challenges that need to be addressed. Poor funding facility, and complex rules and laws act as hindrances for firms keen to set up their manufacturing centres in India. Moreover, the project has highlighted the neglect towards the agriculture sector, while also abating the creation of a fabrication-based economy and a growing interest in international brands, resulting in a pushback of domestic brands. Lastly, and most importantly, the project has been a leading cause of increased amounts of pollution in the country.
The core aim of this project is to turn India into the world’s manufacturing hub, creating employment for Indian youth and to become an independent nation in terms of goods and services as well as defence weapons. The mission of this project is to manufacture in India, using India’s huge manpower and selling the products to the world.
