Question : Promotion of Manufacturing sector

(a) whether India has called for more Governmental support for domestic business and stressed the need for strong policies to foster and promote manufacturing in the country;

(b) if so, the details thereof;

(c) whether the Government has held the fifth Asia Economic Dialogue 2021;

(d) if so, the details thereof;

(e) whether a huge potential for manufacturing exist in India which had not been fostered by the right policies at home till now; and

(f) if so, the details thereof along with the progress made and results yielded in this regard?

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY
(SHRI SOM PARKASH)

(a) & (b): Promotion of manufacturing is influenced by a range of factors. Government is continuously taking steps to boost manufacturing and spur economic growth, through its initiatives such as Make in India, Startup India, Ease of doing Business, Business Reform Action Plan, Intellectual Property Rights (IPR) Policy and sectoral schemes/programmes. The Government aims at creating a conducive environment for manufacturing by streamlining the existing regulations and processes and eliminating unnecessary requirements and procedures. Further, Foreign Direct Investment (FDI) policy and procedures have been simplified and liberalized progressively.

(c) & (d): The Fifth Asia Economic Dialogue (AED) 2021, co-hosted by the Government (Ministry of External Affairs) and Pune International Centre, was held virtually during 26th-28th February, 2021. A wide range of international speakers participated during the event. External Affairs Minister addressed the inaugural session on ‘Resilient Global Growth in a Post-Pandemic World’ on 26 February 2021. Foreign Ministers of Australia, Japan, Bhutan, Maldives and Mauritius also participated at Asia Economic Dialogue 2021. There were more than 1200 unique attendees and the event had 8 sessions with 34 speakers from 13 countries.

(e) & (f): Keeping in view India’s vision of becoming ‘Atmanirbhar’ and identifying huge potential of India’s Manufacturing Capabilities and Exports, an outlay of INR 1.97 lakh crore has been announced in Union Budget 2021-22 for PLI schemes for 13 key sectors for a period of 5 years starting from fiscal year (FY) 2021- 22. These 13 sectors include already existing 3 sectors named (i) Mobile Manufacturing and Specified Electronic Components, (ii) Critical Key Starting materials/Drug Intermediaries & Active Pharmaceutical Ingredients, and (iii) Manufacturing of Medical Devices and 10 new key sectors which have been approved by the Union Cabinet recently in November 2020. These 10 key sectors are:

(i) Automobiles and Auto Components, (ii) Pharmaceuticals Drugs, (iii) Specialty Steel, (iv) Telecom & Networking Products, (v) Electronic/Technology Products, (vi) White Goods (ACs and LEDs), (vii) Food Products, (viii) Textile Products: MMF segment and technical textiles, (ix) High efficiency solar PV modules, and (x) Advanced Chemistry Cell (ACC) Battery.

The PLI schemes will be implemented by the concerned Ministries/ Departments and will be within the overall financial limits prescribed. Domestic as well as foreign owned entities are eligible to be beneficiaries of these PLI schemes. The PLI Schemes are expected to enable the setting up of a widespread supplier base for the global champions established under the scheme. It will help bring scale and size in key sectors and create and nurture global champions.

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