Launched by the Government of India in September 2014, the MakeInIndia initiative was designed to transform India into a global manufacturing hub. This campaign focuses on encouraging both multinational and domestic companies to manufacture their products within India. It targets sectors such as automobiles, aviation, chemicals, IT, pharmaceuticals, construction, defense manufacturing, electrical machinery, food processing, textiles, and garments, among others. By doing so, the initiative aims to increase the manufacturing sector's growth rate to 12-14% per annum, enhance the sector’s contribution to the GDP, and create millions of jobs.
The campaign is not just about boosting manufacturing but also aims to attract capital and technological investment in India. This is facilitated by policy-driven initiatives, which streamline processes, reduce unnecessary regulations, and make it easier to do business. For example, the government has dramatically simplified the industrial licensing process and allowed for greater foreign direct investment (FDI) across various sectors. As a result, India jumped 79 positions from 142 in 2014 to 63 in 2019 in the World Bank's Ease of Doing Business Index, signifying major policy shifts and improvements in the business environment.
MakeInIndia also emphasizes innovation through its focus on building state-of-the-art manufacturing facilities. The initiative supports small and medium enterprises (SMEs) by providing better infrastructure, appropriate skill training, and a supportive regulatory framework. The establishment of SmartCities and industrial corridors, such as the Delhi-Mumbai Industrial Corridor, are pivotal components of this initiative. These developments are expected to further enhance the manufacturing landscape by integrating digital technologies, fostering innovation hubs, and creating sustainable urban ecosystems.
Moreover, MakeInIndia has a broader vision that aligns with sustainable and environmentally friendly practices. The initiative encourages industries to adopt green technologies and sustainable models, which is crucial in the context of global climate challenges. The push towards renewable energy, such as solar power and wind power, is also a significant aspect of this initiative, aiming to make the manufacturing process as eco-friendly as possible. By doing so, India is not only looking to transform its economic landscape but also ensuring that this transformation is sustainable and responsible in the long term.
Overall, MakeInIndia is a robust approach aimed at propelling India to the forefront of the global economic stage, creating vast job opportunities, and promoting sustainable industrial growth.