14 August 2023, Mumbai
FDI in manufacturing sector surges by 57% between 2014 and 2022
India's ambitious "Make in India" initiative has achieved a remarkable feat, with Foreign Direct Investment (FDI) in the manufacturing sector experiencing an impressive surge of 57% between 2014 and 2022.
This is a significant achievement for India, as it demonstrates the global confidence placed in the country's economic prowess. The "Make in India" initiative has also led to increased investment in innovation and global collaborations, which will help India to become a global manufacturing powerhouse in the years to come.
This substantial increase not only underscores India's industrial capabilities but also signifies the global confidence placed in the nation's economic prowess. This revelation was brought to light by MoS Commerce and Industry, Som Parkash, who shared this data as a response in the Lok Sabha.
India is attracting global attention as a manufacturing powerhouse
US chip giant AMD commits $400 million investment
Amazon dedicates $1 billion to empower MSMEs.
On the international stage, India's allure as a manufacturing powerhouse has garnered the attention of global corporations.
Evidently, industry leaders are setting up production bases or expressing keen interest.
Supportive
Notable among these is the US chip giant, Advanced Micro Devices (AMD), which has committed a substantial investment of $400 million over the span of five years, thus driving India's ambitions in the technology sector.
Equally noteworthy is Amazon, the mammoth e-commerce platform, which has dedicated an astounding $1 billion to empower Indian Micro, Small, and Medium Enterprises (MSMEs) and traders through digital means.
The expansive Amazon India marketplace boasts a staggering 550,000 vendors, alongside 60,000 "Make in India" proponents who are actively exporting to global customers.
The "Make in India" initiative is transforming India's manufacturing sector
"Make in India 2.0" spans 27 sectors
Pro-business measures, reductions in corporate tax, and improvements in operational ease are boosting manufacturing dynamism.
"Production-Linked Incentive" (PLI) schemes in 14 key sectors are expected to propel India's manufacturing capabilities and exports
"One District One Product" (ODOP)
This initiative is catalyzing socio-economic growth across regions
Project Development Cells (PDCs) are expediting investments and bolstering India's investment landscape.
The holistic socioeconomic growth across regions is the essence of the "One District One Product" (ODOP) initiative.
This visionary effort spotlights a unique product from each district, spanning textiles, agriculture, food processing, handicrafts, and beyond. With over 1000 products identified across all 761 districts, this directive from the Ministry is set to catalyze prosperity and economic vibrancy.
Transformative journey
The "Make in India" initiative, since its inception in 2014, has triggered a revolutionary transformation in domestic production.
This evolution has propelled India's ascent as a global manufacturing hub, with the "Make in India 2.0" initiative spanning across 27 sectors.
This comprehensive endeavor integrates the efforts of central and state governments, as well as various ministries, to bolster this transformative journey.
Ease of doing
The ongoing reforms, such as pro-business measures, reductions in corporate tax, improvements in operational ease, alterations in FDI policies, and efforts to mitigate compliance burdens, collectively amplify India's manufacturing dynamism.
Catalytic actions
The trajectory of growth is further fueled by catalytic schemes and initiatives, particularly the "Production-Linked Incentive" (PLI) schemes in 14 key sectors.
With a substantial investment outlay of Rs. 1.97 lakh crore, these schemes are expected to propel India's manufacturing capabilities and exports.
The ripple effects are anticipated to manifest as increased production, enhanced skills, heightened employment opportunities, economic growth, and an augmented export sector over the next five years, all stemming from the impetus provided by the PLI programs.
Further propelling India's growth journey is the institutional mechanism of Project Development Cells (PDCs), strategically established in various ministries and departments. This mechanism expedites investments and bolsters India's investment landscape, contributing to the nation's accelerated growth trajectory.
In essence
India's "Make in India" initiative has ignited an industrial revolution
In a true sense, India's "Make in India" initiative has ignited an industrial revolution, driving not only FDI but also innovation and global collaborations.
This paradigm shift solidifies India's stature as a global manufacturing powerhouse, poised to shape the future of production and economic development.
