Lok Sabha Question No. 2442 (UNSTARRED), answered on 2024-12-10
Subject: Impact of Economic Recession
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Devesh Chandra Thakur

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

## LOK SABHA

UNSTARRED QUESTION NO. 2442.

TO BE ANSWERED ON TUESDAY, THE 10 TH  DECEMBER, 2024.

## IMPACT OF ECONOMIC RECESSION

## 2442.  SHRI DEVESH CHANDRA THAKUR:

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

- (a) whether the Government has assessed the impact of the present economic recession on commerce and industries;
- (b) if  so,  the  details  thereof  and  the  number  of  industrial  units  closed  and  the number of employment opportunities lost due to recession;
- (c) the steps taken by the Government to address the said issues;
- (d) whether  sectors  like  infrastructure  are  still  in  recession  and  are  yet  to  be recovered;
- (e) if so, the details thereof, sector-wise; and
- (f) the corrective action taken/being taken by the Government in this regard?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a) to (f): According  to  the  National  Statistics  Office, Ministry of Statistics  and Programme Implementation, the Gross Domestic Product (GDP) at 2011-12 prices grew by 6.0 per cent in the first half of 2024-25, indicating that there is no recession in the economy despite global headwinds. The secondary sector, comprising manufacturing, electricity, gas, water supply & other utility services and construction grew by 6.1 per cent at 2011-12 prices in the first half of 2024-25. The gross fixed capital formation in the economy, which, inter alia, includes capital formation in infrastructure sectors, grew by 6.4 per

cent at 2011-12 prices in the first half of 2024-25.

The emphasis of the Government on infrastructure build-up, coupled with gradual fiscal consolidation, gives a thrust to economic growth and macroeconomic stability. The stress being laid on manufacturing, employment, skill development, innovation, resilience in agriculture, inclusive human resource development, appropriate energy transition pathways, and support for micro, small, and medium enterprises is a catalyst for sustainable growth. Industry is  primarily  the  subject  in  domain  of  State  Governments.  The  Union Government, however, provides support for promotion of industrial activities across the country. Government of India, through Department for Promotion of Industry and  Internal Trade  (DPIIT)  and  other  Central  Ministries/ Departments,  provides  an  enabling  eco-system  for  the  overall  industrial development  of  the  country  through  appropriate  policy  interventions.  The Government has taken various steps for promotion and facilitation of setting up of industries across State/UTs such as Make in India, Startup India, PM Gati Shakti, National Infrastructure Pipeline (NIP), National Industrial Corridor Programme, Production Linked Incentive (PLI) Scheme, promoting Ease of Doing Business (EoDB) and reducing compliance burden, National Single  Window  System  (NSWS),  India  Industrial  Land  Bank,  Project Monitoring Group (PMG), liberalization of FDI policy, Indian Footwear and Leather  Development  Programme  (IFLDP)  Scheme  etc.  An  institutional mechanism to fast-track investments has been put in place, in the form of Project Development Cells (PDCs) in all concerned Ministries/ Departments of Government of India.

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