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Make in india
1. Make inIndiaisan initiative programlaunchedbythe byPrime Minister,NarendraModi on25 September2014 in
a function at the Vigyan Bhawan in New Delhi. This program has been launched to encourage Multinational
CompaniesandDomesticcompaniestomanufacture theirproductsinIndiaandmake Indiaa manufacturinghub.
INDIA RANKED THE NO.1 INVESTMENT DESTINATION IN THE WORLD AS PER THE 2O15 BASELINE PROFITABILITY
INDEX (BPI)
To prevent rejection of the products developed from India by the global market, the Prime Minister of India,
NarendraModi has coineda slogan -" ZeroDefectZero Effect". The sloganisalso aimedtopromote the products
havingno defectsandthe processthrough whichproductis made has zero adverse environmental andecological
effects. The initiative hopes to increase GDP growth and tax revenue. The initiative also aims at high quality
standardsand minimizingthe impactonthe environment.The initiative hopestoattract capital and technological
investment in India.
SECTORS COVERED
The major objective behind the initiative is to focus on 25 sectors of the economy for job creation and skill
enhancement. The sectors which are covered under this program are:
Automobiles
Automobile Components
Aviation
Biotechnology
Chemicals
Construction
Defence Manufacturing
Electrical Machinery
Electronic Systems
Food Processing
IT and BPM
Leather
Media and Entertainment
Mining
Oil and Gas
Pharmaceuticals
Ports and shipping
Railways
Renewal Energy
Roads and Highways
Space
Textiles and Garments
Thermal Power
Tourism and Hospitality
Wellness
Aarisa Pitha of Odisha, Gushtaba of Kashmir, Chicken Curry of Punjab, Khakhra and Khandvi of Gujarat, Bamboo
SteamFish,VadaandMedhuVada of SouthIndia,KhajaandInarsaof Biharand Kebabof Uttar PradeshandPuran
Poli of Maharashtra have been selected as traditional regional food to be promoted in the campaign.
2. WHY MAKE IN INDIA INITIATIVES?
India is a big hub of various raw materials, which are used to manufacture various products. At present raw
materialsare beingexportedtoforeigncountriesthentheseraw materialsare convertedthere intofinishedgood
and then finished goods are imported by India. It is like someone taking our product and selling to us on higher
rate.While inMII,the foreigncountriesare beinginvitedtoestablishtheirownmanufactureunitinIndia,take raw
materialsfromhere andsell finishedgoodsfromIndia.The ideabehindit,toreduce finishedgoodsprice,increase
employment and move India towards development.
Target isto growthe manufacturingsector’scontributionfrom17percentof India’sgrossdomesticproduct(GDP)
in 2013 to 25 percent within the next decade. A rapidly growing manufacturing sector is the only way India can
create highlyproductive jobsforthe 10 million-plusyoungsterswhojointhe country’slabourforce eachyearand
the much largernumberof farmerswhoneedto move fromworkingthe soil to the working on the factory floor.
FDI SECTORS WITH CAPS
Petroleum Refining by PSU (49%).
Teleports(settingupof up-linkingHUBs/Teleports),DirecttoHome (DTH),Cable Networks(Multi-system
operators (MSOs) operating at national, state or district level and undertaking upgradation of networks
towardsdigitalizationandaddressability),Mobile TV and Headend-in-the-SkyBroadcastingService (HITS)
– (74%).
Cable Networks (49%).
Broadcastingcontentservices- FMRadio(26%),uplinkingof news and current affairs TV channels (26%).
Print Media dealing with news and current affairs (26%).
Air transport services- scheduled air transport (49%), non-scheduled air transport (74%).
Ground handling services – Civil Aviation (74%).
Satellites- establishment and operation (74%).
Private security agencies (49%).
Private Sector Banking- Except branches or wholly owned subsidiaries (74%).
Public Sector Banking (20%).
Commodity exchanges (49%).
Credit information companies (74%).
Infrastructure companies in securities market (49%).
Insurance and sub-activities (49%).
Power exchanges (49%).
Defence (49% above 49% to CCS).
RECENT POLICY MEASURES IN FDI
100% FDI allowed in medical devices
FDI cap increased in insurance & sub-activities from 26% to 49%
100% FDI allowed in the telecom sector.
100% FDI in single-brand retail.
FDI in commodity exchanges, stock exchanges & depositories, power exchanges, petroleum refining by
PSUs, courier services under the government route has now been brought under the automatic route.
Removal of restriction in tea plantation sector.
FDI limit raised to 74% in credit information & 100% in asset reconstruction companies.
FDI limit of 26% in defence sector raised to 49% under Government approval route. Foreign Portfolio
Investmentupto24% permittedunderautomaticroute.FDIbeyond49% isalsoallowedona case to case
basis with the approval of Cabinet Committee on Security.
3. Construction,operationandmaintenance of specifiedactivitiesof Railwaysectoropenedto100% foreign
direct investment under automatic route.
The Make in Indiaprogramincludesmajornew initiativesdesignedtofacilitate investment,fosterinnovation,
protect intellectual property, and build best-in-class manufacturing infrastructure.
Governmenthasalso announcedmanytax incentivestotransformIndiainto a global manufacturinghuband
attract large scale investment.
Amendmentsare alsodone inmanycorporate/commerciallawsinordertoease the businessenvironmentin
India and make anyone from anywhere in the world to start business in India with minimum statutory
requirements.Approval are made onlineandasingle portal named “ebiz”hasbeenlaunchedtoprovidesingle
window clearance.
RESPONSES TO “MAKE IN INDIA”
The Spice Groupsaid itwouldstartamobile phonemanufacturingunitinUttarPradeshwithaninvestment
of 500 crore.A memorandumof understandingwassignedbetweenthe Spice Groupandthe Government
of Uttar Pradesh.
HyunChil Hong,the President&CEO of SamsungSouth WestAsia,metwithKalraj Mishra, UnionMinister
for Micro, Small and Medium Enterprises (MSME), to discuss a joint initiative under which 10 “MSME-
Samsung Technical Schools” will be established in India. In February, Samsung said that will manufacture
the Samsung Z1 in its plant in Noida.
Hitachi said it was committed to the initiative. It said that it would increase its employees in India from
10,000 to 13,000 and it would try to increase its revenues from India from ¥100 billion in 2013 to ¥ 210
billion. It said that an auto-component plant will be set up in Chennai in 2016.
Huawei opened a new research and development (R&D) campus in Bengaluru. It had investedUS$170
million to establish the research and development center.
France-basedLH Aviationsigned aMoU withOIS AdvancedTechnologiestosetup a manufacturingplant
in India to manufacture drones.
German engineeringconglomerate Siemenswill investone billioneuro(overRs.7,400 crore) in Indiaand
add 4,000 jobs under 'Make in India' initiative.
For details regarding polices and initiatives takenby the Government under this program click on the link “Make
In India”
Note:If you are interestedininvestinginIndia, thenplease do call us and we will assist you inestablishingyour
business in India.
Thanks and regards,
Prince Kumar
Associate
Proglobal Corp
Address: 46A, 1st
Floor, Amar Plaza, IP Extension, Delhi- 110092
Website: www.proglobalcorp.com | email: proglobalcorp@gmail.com |
Contact: 011- 43558440