Hi
Let us focus on 'Make in India' Campaign of government of India. Three pillars are identified by Dept. of Industrial Policy and Promotion for transformation in Manufacturing Sector . They are:
- Improving business environment by the way of good governance
- Enabling manufacturing by introducing industrial corridors, industrial cluster, smart cities, skill development, innovation etc.
- Opening up Foreign Direct Investment(FDI) in key sectors
PM wooed foreign investors by the promising good governance as India rank at 134th position out of 190 countries as far as easiness of doing business is concern as per World Bank Report. So " Goodbye to red tape, hello to red carpet" is really a good change .
Around 25 sectors are included in Make in India Campaign. Entry of foreign companies will enable higher industrial production, increasing share of industrial sector in GDP and most importantly higher employment and export.
But it may create challenges for existing domestic players. Are our industries ready for this?They need to innovate to stay in the business. Besides India needs to work on skill set of the workers. Changes are taking place.
Entry of foreign companies may help in increasing export. But do we really want export led growth? As there is overall downswing in the global market. So how far this strategy will work? Poor infrastructure and low skill base are not encouraging factors for FDI. So the success of 'Make in India' has limitations. And why not to focus on domestic large market base provided by huge population of India ? What was possible to achieve for China last decade is possible to India at this time when global scenario is changing?
Friends we can brainstorm on this issue. let us discuss this ...
Just adding a link of Make in India Campaign http://www.makeinindia.com/mumbai-week/
