Question : . SHUTTING DOWN OF MANUFACTURING UNITS



(a) whether the Government has taken note that many foreign companies are doing their business in India by importing their products from plants in China, Thailand, Malaysia and Japan;

(b) if so, the details thereof along with the reasons for shutting down their manufacturing units in India;

(c) the steps taken by the Government to simplify regulatory procedures to facilitate the manufacturers; and

(d) the details of manufacturing foreign companies which had shut down their manufacturing units in India having approached the Government to restart their manufacturing units after the announcement of Make in India Compaign Policy?

Answer given by the minister


THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF COMMERCE AND INDUSTRY (SHRIMATI NIRMALA SITHARAMAN)

(a),(b) & (d): Imports to cater to the demand of the Indian market take place under the provisions of the Foreign Trade Policy. Representations are received by the Government about the perceived threat to certain industries from cheaper imports. The Government does not collect and maintain information on foreign companies shutting down manufacturing facilities in India on account of cheaper imports from plants in China, Thailand, Malaysia and Japan.

(c): Government of India has taken a number of initiatives to simplify regulatory procedures as well as measures to improve Ease of Doing Business which include facilitation of global and domestic investors through “Investor Facilitation Cell in Invest India and opening up of new sectors for FDI. New infrastructure has been planned to be created to bolster manufacturing activities under ‘Make in India’ programme. Delicencing a large number of defence components and dual use products; making application for industrial licence, Industrial Entrepreneurs Memorandum, Environment Clearance, registration with Employees Provident Fund Organization (EPFO) and Employees State Insurance Corporation (ESIC) online and extending validity of industrial licence and security clearance given by the Ministry of Home Affairs are a few examples of the measures taken to ease of doing business.

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