Make In India
What it is
- Increase manufacturing
- Manufacturing hub by 2022
Problems faced by manufacturing sector
- Entry and exit problems
- Red tapism
- Corrupt bureaucracy
Way ahead
- Quality education
- Employability
- GST
- Land acquisition and labour laws
- Intellectual property law
THE ESSAY BEGINS…
Launched in 2015, this program aims at increasing manufacturing in India, by encouraging domestic production and international investment, so as to make India a manufacturing hub by 2022. Designed to cure the ills Indian manufacturing sector had been suffering, with a stagnant share of 15% of GDP, it lays emphasis on 25 sectors.
Entry and exit problems, with red tapism and corrupt bureaucracy were often cited as the major obstacles standing in the way of investment, and a one-stop solution was found for these in the form of digitalization, thus ensuring the ease-of-doing business standards.
The removal of caps in FDI in all major sectors has opened Indian economy to a new era which has been responded to by international investors. A robust intellectual property law is also the need of the hour to protect the interests of the innovators, which will lead to more start-up firms, thus increasing employment.
For the scheme to work, quality education should be ensured to Indian youth, thus ensuring their employability, which needs more than the present education expenditure of 2.1 % of the GDP. The long-awaited GST should also be passed in order to simplify the tax system, along with the simplification of land acquisition and labor laws.
Being an export-led growth strategy, we shouldn't let this weaken the domestic market and quality and competition should be maintained.
India becoming a global manufacturing hub is a matter of pride, but true development can happen only when the benefits of this reaches the impoverished Indians.