Lok Sabha Question No. 1 (STARRED), answered on 2022-02-02
Subject: 'Make in India' Programme
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

STARRED QUESTION NO. 01.

TO BE ANSWERED ON WEDNESDAY, THE 2 ND  FEBRUARY, 2022.

## 'MAKE IN INDIA' PROGRAMME

## *1. DR. KALANIDHI VEERASWAMY:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) the salient features of 'Make in India' programme;
- (b) whether the Government is aware about the achievements under this initiative which is supposed to turn India into a global manufacturing powerhouse by cutting red tape and drawing investment for export hubs;
- (c) whether  the  Government  is  aware  that  the  goals  fixed  for  manufacturing accounted for 25 percent of GDP but in reality seven years on, its share is stagnant at 15 percent and manufacturing jobs went down by half during the last five years, according to the Centre for Economic Data and Analysis;
- (d) whether the Government is also aware that exports have been stuck at around $ 300bn for nearly a decade and India has steadily lost market share to smaller rivals such as Bangladesh; and
- (e) if so, the reasons therefor?

## ANSWER वाणिज्य  एवं उद्योग मंत्री (श्री पीयूष गोयल) THE MINISTER OF COMMERCE & INDUSTRY (SHRI PIYUSH GOYAL)

- (a) to (e): A Statement is laid on the Table of the House.

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## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF LOK SABHA STARRED QUESTION NO. 01 FOR ANSWER ON 02 nd  FEBRUARY, 2022.

- (a) & (b): '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.  It  is  one  of  the  unique  'Vocal  for  Local'  initiatives  that promoted India's manufacturing domain to the world.

'Make  in  India'  initiative  has  significant  achievements  and  presently focuses  on  27  sectors  under  Make  in  India  2.0.  Department  for Promotion  of  Industry  and  Internal  Trade  (DPIIT)  coordinates  action plans  for  15  manufacturing  sectors,  while  Department  of  Commerce coordinates 12 service sector plans. Investment outreach activities are done through Ministries, State Governments and Indian Missions abroad for enhancing International co-operation and promoting both domestic and foreign investment in the country.

In addition to ongoing schemes of various Departments and Ministries, Government  has  taken  various  steps  to  boost  domestic  and  foreign investments  in  India.  These  include  the  introduction  of  Goods  and Services  Tax,  reduction  in  Corporate  taxes,  financial  market  reforms, consolidation of public sector banks, enactment of four labour codes, improving  ease  of  doing  business,  FDI  policy  reforms,  other  sectoral reforms,  reduction  in  compliance  burden,  policy  measures  to  boost domestic  manufacturing  through  public  procurement  orders,  Phased Manufacturing Programme (PMP), to name a few.

- (c): The  series  of  measures  taken  by  the  Government  to  improve  the economic situation and convert the disruption caused by COVID 19 into an opportunity for growth includes Atmanirbhar packages, introduction of  Production  Linked  Incentive  (PLI)  Scheme  in  various  Ministries, National  Infrastructure  Pipeline  (NIP),  National  Monetisation  Pipeline (NMP),  Public  Sector  Enterprise  Policy,  India  Industrial  Land  Bank (IILB), Industrial Park Rating System (IPRS), soft launch of the National Single Window System (NSWS), etc.

Keeping in view India's vision of becoming 'Atmanirbhar' and to enhance India's  Manufacturing  capabilities  and  Exports,  an  outlay  of  INR  1.97 lakh crore (over US$ 26 billion) has been announced in Union Budget 2021-22 for PLI schemes for 14 key sectors of manufacturing, starting from fiscal year (FY) 2021-22. With the announcement of PLI Schemes, significant  creation  of  production,  employment,  economic  growth  and exports is expected over the next five years and more.

The reforms taken by Government have resulted in increased Foreign Direct Investment (FDI) inflows in 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. FDI

|            | inflows in India stood at US $ 45.15 billion in 2014-2015 and have continuously increased since then. India registered its highest ever annual FDI inflow of US$ 81.97 billion (provisional figures) in the financial year 2020-21. 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). As per Economic Survey 2021-22, inspite of Covid related disruptions there is trend of positive overall growth of Gross Value Addition (GVA) in manufacturing sector. The total employment in this sector has increased from 57 million in the year 2017-18 to 62.4 million in the year 2019-20.   |
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| (d) & (e): | India's highest ever record of annual merchandise export was USD 330 billion in 2018-19. The performance of the current year has so far been encouraging. The cumulative value of merchandise exports for April- December 2021 was USD 301.38 Billion exhibiting a positive growth of 49.66 percent over exports worth USD 201.38 Billion in April-December 2020.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |

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