Lok Sabha Question No. 578 (UNSTARRED), answered on 2021-12-01
Subject: Make in India
Ministry: COMMERCE AND INDUSTRY
Asked by: V. Kalanidhi

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

## UNSTARRED QUESTION NO. 578.

TO BE ANSWERED ON WEDNESDAY, THE 1 ST  DECEMBER, 2021.

## MAKE IN INDIA

## 578.   DR. KALANIDHI VEERASWAMY:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

वाणिज्य  एवं उद्योग मंत्री

- (a) the features of Make in India Programme;
- (b) whether  the  Government  is  aware  about  the  targets  identified  under  this programme (i) to increase the manufacturing sector's growth rate to 12-14% per annum in order to increase the sector's share in the economy; (ii) to create 100 million additional manufacturing jobs in the economy by 2022; and (iii) to ensure that the manufacturing sector's contribution to GDP is increased to 25% by 2022 (revised to 2025) from the current 16%;
- (c) whether the Government is also aware that on all three counts, this programme has allegedly failed within the country;
- (d) the reasons therefor; and
- (e) the steps taken/being taken by the Government in this regard?

## ANSWER

## वाणिज्य  एवं उद्योग मंत्रालय में राज्य मंत्री (श्री सोम प्रकाश) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI SOM PARKASH)

- (a) to (d): 'Make in India' is an initiative which was launched on 25th September, 2014  to  facilitate  investment,  foster  innovation,  build  best  in  class infrastructure,  and  make  India  a  hub  for  manufacturing,  design,  and innovation. Development of a robust manufacturing sector continues to be a key priority of the Indian Government. It was one of the unique 'Vocal for Local' initiatives that promoted India's manufacturing domain to the world. Make in India initiative has made significant achievements and  presently  focuses  on  27  sectors  under  Make  in  India  2.0. Department for Promotion of Industry and Internal Trade is coordinating action  plans  for  15  manufacturing  sectors,  while  Department  of Commerce is coordinating 12 service sector plans.

The Government of India is making continuous efforts under Investment Facilitation, including financial assistance to Invest India, for implementation  of  Make  in  India  action  plans  to  identify  potential investors. Support is being provided to Indian Missions abroad and State Governments  for  organizing  events,  summits,  road-shows  and  other promotional activities to attract investment in the country under the Make in India banner. Investment Outreach activities are being carried out for enhancing  International  co-operation  for  promoting  FDI  and  improve Ease of Doing Business in the country. DPIIT, in consultation with the State Governments, started a comprehensive reform exercise in States and  UTs  in December  2014.  Under  Business  Reforms  Action  Plan (BRAP), all States/UTs in the country are ranked on the basis of reforms implemented  by  them  on  designated  parameters.  This  exercise  has helped in improving business environment across States. Steps taken to improve Ease of Doing Business include simplification and rationalization of existing processes. As a result of the measures taken to improve the country's investment climate, India jumped to 63rd place in World Bank's Ease of Doing Business ranking as per World Bank's Doing Business Report (DBR) 2020 from a rank of 142 in 2014. DPIIT has also undertaken ranking of States/UTs under the BRAP since last 4 years.

It has been the continuous endeavor of the Government of India to put in  place  an  enabling  and  investor  friendly  FDI  Policy.  The  intent  has been  to  make  the  FDI  policy  more  investor  friendly,  in  keeping  with national interest and national security and remove the policy bottlenecks that have been hindering the investment inflows into the country. FDI policy  provisions  have  been  progressively  liberalized  and  simplified across various sectors  in the  recent  past  to  make  India  an  attractive investment  destination.  Some  of  the  sectors  include  Pension,  Other Financial  Services,  Asset  reconstruction  Companies,  Broadcasting, Pharmaceuticals, Single Brand Retail Trading, Construction & Development, Power Exchanges, e-commerce activities, Coal Mining, Contract Manufacturing, Digital Media, Civil Aviation, Insurance, Telecom etc.

Measures taken by the Government on FDI Policy reforms have resulted in increased FDI inflows in the country year after year. India registered its highest ever annual FDI inflow of US$ 81.97 billion (provisional figures)  in  the  financial  year  2020-21  despite  the  COVID  related disruptions. These  trends  in  India's  FDI  are  an  endorsement  of  its status as a preferred investment destination amongst global investors. In the last seven financial years (2014-21), India has received FDI inflow worth US$ 440.27 billion which is nearly 58 percent of the FDI reported in the last 21 years (US$ 763.83 billion).

- (e): Government has taken various steps in addition to ongoing schemes to boost  domestic  and  foreign investments  in India.  These  include improving  the  Ease  of  Doing  Business,  Reduction  in  Compliance Burden,  the  National  Infrastructure  Pipeline,  Reduction  in  Corporate

Tax, easing liquidity problems of NBFCs and Banks, policy measures to boost  domestic  manufacturing  through  Public  Procurement  Orders, Phased  Manufacturing  Programme  (PMP),  Schemes  for  Production Linked  Incentives  of  various  Ministries,  India  Industrial  Land  Bank, Industrial Park Rating System etc.

Further, with a view to support, facilitate and provide investor friendly ecosystem to investors investing in  India, the  Union  Cabinet  on  03rd June,  2020  has  approved  constitution  of  an  Empowered  Group  of Secretaries (EGoS), and also Project Development Cells (PDCs) in all concerned Ministries/ Departments to fast-track investments in coordination between the Central Government and State Governments, and thereby grow the pipeline of investible projects in India to increase domestic investments and FDI inflow. Also a National Single Window System (NSWS) has been soft launched on 22nd September,2021 as one-stop  for  taking  all  the  regulatory  approvals  and  services  in  the country.

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