Make in India



Make in India 

Objective

1.    To facilitate Job Creation and Skill enhancement in 25 sectors of Indian economy.

2.    To manufacture high quality products in India with minimising the impact on the environment.

3.    To attract capital and technological investment in India.

4.    To bring down the imports of India, especially the military imports.


Launch & Initiatives taken

         1.   Launched by Prime Minister Narendra Modi on 25 September 2014 to encourage                   multi-national, as well as national companies to manufacture their products in India.

2.    Under the initiative, brochures on the 25 sectors and a web portal were released.

3.    Before the initiative was launched, foreign equity caps in various sectors had been relaxed.

4.    The application for licenses was made available online and the validity of licences was increased to three years. Various other norms and procedures were also relaxed.

5.    As per the new Govt. Policy, 100% FDI is permitted in all the below mentioned 25 sectors, except for space (74%), defence (49%) and news media (26%).

1.   Automobiles
2.   Automobile Components
3.   Aviation
4.   Biotechnology
5.   Chemicals
6.   Construction
7.   Defence manufacturing
8.   Electrical Machinery
9.   Electronic systems
10. Food Processing
11. Information Technology and Business Process Management
12. Leather
13. Media and Entertainment
14. Mining
15. Oil and Gas
16. Pharmaceuticals
17. Ports and Shipping
18. Railways
19. Renewable Energy
20. Roads and Highways
21. Space and astronomy
22. Textiles and Garments
23. Thermal Power
24. Tourism and Hospitality
25. Wellness

Ease of doing business
1.    India ranks 130th out of 189 countries in the World Bank's 2016 ease of doing business index, covering the period from June 2014 and June 2015. India was ranked 134th in the 2015 index.

2.    A survey of 17 Indian cities in the World Bank's Doing Business in India 2009 report ranked LudhianaHyderabadBhubaneshwarGurgaon, and Ahmedabad as the top five easiest cities to do business in India.

Progress Made
1.     In January 2015, the Spice Group said it would start a mobile phone manufacturing unit in Uttar Pradesh with an investment of ₹5 billion (US$74 million). A memorandum of understanding was signed between the Spice Group and the Government of Uttar Pradesh.

2.     In January 2015, Hyun Chil Hong, the President & CEO of Samsung South Asia, met with Kalraj Mishra, Union Minister for Micro, Small and Medium Enterprises(MSME), to discuss a joint initiative under which 10 "MSME-Samsung Technical Schools" will be established in India. In February, Samsung said that will manufacture the Samsung Z1 in its plant in Noida, Uttar Pradesh.

3.      In February 2015, Hitachi said it was committed to the initiative. It said that it would increase its employees in India from 10,000 to 13,000 and it would try to increase its revenues from India from ¥100 billion in 2013 to ¥210 billion. It said that an auto-component plant will be set up in Chennai in 2016.

4.     In February 2015, Huawei opened a new R&D campus in Bengaluru. It had invested US$170 million to establish the research and development centre. It is also in the process of setting up a Telecom hardware manufacturing plant in Chennai, the approvals of which have been granted by the central government.

5.     In February 2015, Marine Products Export Development Authority said that it was interested in supplying shrimp eggs to shrimp farmers in India under the initiative.

6.     In February 2015, Xiaomi began initial talks with the Andhra Pradesh government to begin manufacturing smartphones at a Foxconn-run facility in Sri City. On 11 August 2015, the company announced that the first manufacturing unit was operational and introduced the Xiaomi Redmi 2 Prime, a smartphone that was assembled at the facility. Xiaomi India chief executive stated that they announced their Make in India plans in the beginning of this year 2015. They thought it would take us two years to set up this manufacturing plant. But surprisingly they were able to set up everything and their production started within seven months.

7.     In June 2015, France-based LH Aviation signed an MoU with OIS Advanced Technologies to set up a manufacturing plant in India to manufacture drones.

8.     In  August 2015, Foxconn announced that it would invest US$5 billion over five years to set up a research and development and hi-tech semiconductor manufacturing facility in Maharashtra. Less than a week earlier, General Motors had announced that it would invest US$1 billion to begin manufacturing automobiles in the state.

9. In August 2015, Lenovo announced that it had begun manufacturing Motorola smartphones at a plant in Sriperumbudur near Chennai, run by Singapore-based contract manufacturer Flextronics International Ltd. The plant has separate manufacturing lines for Lenovo and Motorola, as well as quality assurance, and product testing. The first smartphone manufactured at the facility was the 4G variant of the Motorola Moto E (2nd generation).

10.   In October 2015, Boeing chairman James McNerney said that the company could assemble fighter planes and either the Apache or Chinook defence helicopter in India. The company is also willing to manufacture the F/A-18 Super Hornet in India if the Indian Air Force (IAF) were to purchase it.

11.   In November 2015, Taiwan's Wistron Corp, which makes devices for companies such as Blackberry, HTC and Motorola, announced that it would begin manufacturing the devices at a new factory in Noida, Uttar Pradesh. A company spokesperson stated that the government's 'Make in India' campaign, coupled with the country's growing consumption, makes an excellent case for the Indian manufacturing sector to emerge as a global manufacturing hub across sectors.

12.   In November 2015, the Ministry of Railways signed formal agreements with Alstom and GE Transport worth ₹400 billion (US$5.9 billion) to set-up locomotive manufacturing factories in Madhepura and Marhaura in Bihar.

13.   In December 2015, Qualcomm announced that it was starting a "Design in India" programme to help mentor up to ten Indian hardware companies with the potential to come up with innovative solutions and help them reach scale. Qualcomm chairman had promised Prime Minister Modi that they would do so during the latter's visit to Silicon Valley in September 2015. As part of the programme, the company will set up an Innovation Lab in Bengaluru to provide technical and engineering support to the selected companies.

14.   In the same month, Micromax announced that it would three new manufacturing units in Rajasthan, Telangana and Andhra Pradesh at a cost of ₹3 billion (US$45 million). The plants will begin functioning in 2016, and will each employ 3,000-3,500 people.

15.   Following Japanese Prime Minister Shinzo Abe's visit to India in December 2015, it was announced that Japan would set up a US$12 billion fund for Make in India related projects called the "Japan-India Make-in-India Special Finance Facility". In late December, phone manufacturer Vivo Mobile India began manufacturing smartphones at a plant in Greater Noida, Uttar Pradesh. The plant employs 2,200 people.

16.   A defence deal was signed during Prime Minister Narendra Modi's visit to Russia in December 2015 which will see the Kamov Ka-226 multi-role helicopter being built in India. This is widely seen as the first defence deal to be actually signed under the Make in India campaign.

17.   In August 2015, Hindustan Aeronautics Limited (HAL) began talks with Russia's Irkut Corp to transfer technology of 332 components of the Sukhoi Su-30MKI fighter aircraft under the Make in India program. These components, also called line replacement units (LRUs), refer to both critical and non-critical components and fall into four major heads such as Radio and Radar; Electrical & Electronics System; Mechanical System and Instrument System.

18.   The Ministry of Defence is auctioning a ₹600 billion (US$8.9 billion) contract to design and build a Fighting Infantry Combat Vehicle (FICV) in India. The contract will be awarded in 2016.

19.   In February 2016, Lockheed Martin stated that it was "ready to manufacture F-16 in India and support the Make in India initiative", although it did not announce any time frame.

20.   Between September 2014 and November 2015, the government received ₹1.20 lakh crore (US$18 billion) worth of proposals from companies interested in manufacturing electronics in India.

21.   About 25% of smart phones shipped in the country in the April–June quarter of 2015 were made in India, up from about 20% the previous quarter. 

22.   In 2015, India received US$63 billion in FDI.

Promotion Campaign  

1.    "Zero Defect Zero Effect" is a slogan coined by Prime Minister of IndiaNarendra Modi which signifies production mechanisms wherein products have no defects and the process through which product is made has zero adverse environmental and ecological effects. The slogan also aims to prevent products developed from India from being rejected by the global market.

2.   A "Make in India Week" event was held at the MMRDA Grounds in Mumbai in February 2016.

3.    The week long multi-sectoral industrial event was attended by 2500 international and 8000 domestic, foreign government delegations from 68 countries and business teams from 72 countries. 17 Indian states, mostly BJP-ruled, also held expos.

4.    At the close of the event, DIPP Secretary, Govt of India stated that it had received over ₹15.2 lakh crore(US$230 billion) worth of investment commitments and investment inquiries worth ₹1.5 lakh crore (US$22 billion). Maharashtra led all other states receiving ₹8 lakh crore (US$120 billion) of investments.

5. Aarisa Pitha of Jharkhand, Gumla, Gushtaba of KashmirChicken Curry of PunjabKhakhra and Khandvi of Gujarat, Bamboo Steam Fish, Vada and Medhu Vada of KarnatakaKhaja and Inarsa of Bihar and Kebab of Uttar Pradesh and Puran poli of Maharashtra have been selected as traditional regional food to be promoted in the campaign.


6.    The 35th edition of the India International Trade Fair (IITF) held at Pragati Maidan in November 2015, had Make in India as its theme. 

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