“Entire world is looking towards Asia. I don’t need to waste time in inviting; I just need to make some efforts in giving the address that this is the place. He is ready to come. Entire world is ready to come. They just don’t know where to come in Asia. Then he thinks where is democracy, where is demographic dividend, where is demand in huge quantity? If these three are available in any part of the globe then this will be India.” – Those were the words of our Prime Minister Narender Modi, on 25th September 2014 at the Launch of “Make in India” movement. India has been an attractive region for companies worldwide. But do these companies see the purchasing power of the people of India? Do they see the potential we have? Do they realize that till bulk of the middle class Indians become stronger this market shall dissipate in long run? There are no two thoughts about how this can be addressed- it’s by generating Employment. This loop can only be straightened when employment and manufacturing meet the ends to create jobs. You may bring in as many Zara//Hyundai/Ikeas’ of the world but who will buy?
Any rational social human being, who is aware of the socio economic political turmoil threatening the very existence of mankind, would agree with the fact that “Make in India” needs to be run by Indian’s first while the Indian Government clears the way of unnecessary bureaucratic obstacles. Mr. Modi promised that he and his team is taking all measure to move India from 135th country in World Bank’s list of “ease in doing business” to 50th. Mapping of the skilled manpower vis-à-vis the need for the same has to be done effectively. If there is a need for textile labor and people in that region are being trained for engineering, then it makes no sense and a complete waste of resources. Thus, the government along with these entrepreneurs needs to map the sector and then provide an effective governance framework to ensure sustainability. There is a dire need of amalgamation of academic knowledge, government thinking, and industry vision with job seekers demands. Till then there shall be misallocate and unutilized resources. 65% of Indian population is below 35 years of age, certainly there is no dearth of skilled, talented and enthusiastic manpower. The recent Mars Mission stands as a testimony of India’s potential.
Under this initiative a dedicated cell has been created to answer the queries from different business entities through a newly created web portal (www.makeinindia.com). While there is an exhaustive set of FAQs on this portal which will help the investor find instant answers to their general queries, there is also a call centre team that would be operational 72 hours. A pro-active approach shall be followed to track visitors of the website for their geographical location, interest and real time user behavior. Visitors registered on the website or raising queries will be provided with relevant information and newsletter. Investor facilitation cell will provide assistance to the foreign investors from the time of their arrival in the country to the time of their departure. The initiative will also target top companies across sectors in identified countries. Along with these The ‘Make in India’ initiative also aims at identifying those domestic companies who have leadership in innovation and new technology and then turn them into global champions. The focus will be on promoting green and advanced manufacturing and helping these companies to become an important part of the global value chain.
Mr. Modi lead Government has identified 25 key sectors in which our country has the potential of becoming a world leader. These include automobiles, chemicals, IT, pharmaceuticals, textiles, ports, aviation, leather, tourism and hospitality, wellness, railways among others in the list. The initiative will provide them all the information with regards to the drivers, investment opportunities, sector specific FDI and other policies and related agencies as inputs for them to formulate a structured business plan.
Let’s do a SWOT analysis on this initiative .To give you a brief about SWOT analysis – SWOT analysis is a method or you can call this as a tool, used to evaluate the strengths, weaknesses, opportunities and threats of a product or a system. Using this methodology we can evaluate a Business, Industry, Sector or even a person or your project.
- Its backed by Government
- Resources are already available in our country ( Land, Labor & Capital) only a sound policy needed
- Employment created along with skill development
- Initiative handhold the entrepreneurs inviting them to invest and grow with India.
- Gaining the trust of “profit-oriented” industrialists and corporate
- Ensuring smooth operations and no bureaucratic hurdles
- Focus might be too much on employment generation and not profitability
- Will it last longer than the reign of current government at center?
- Export-Import Balance recovery
- Ensure higher trust in Government by its people
- Attract foreign investors
- India might become a hub for new entrepreneurs
- Can be an example for other industrial reforms.
- Countries like Japan and China already have expertise in “zero defect”
- Indian consumers might be deprived of choice
- The initiative can be skewed in the long run towards environment, tourism, and textile sector.
- Change of government at center
The economic resurgence of Gujarat is an epitome of effective governance which has a vision of inclusive and sustainable development. Leading Indian industrialists like Ratan Tata, chairman of the Tata Group, and Mukesh Ambani of Reliance Industries amongst others have lavished praised on Mr. Modi for his work in Gujarat. The “Vibrant Gujarat Summit” has been successful every year; the seven summits held so far have immensely contributed to transformation of Gujarat into a “Global Business Hub”. On his visit in January 2015, German Finance Minister Dr. Wolfgang Schäuble expressed interest in working with India in the manufacturing sector, especially in the auto and solar energy industries. Germany is the world leader in solar energy generation with the largest solar photovoltaic (PV) installed capacity. But, the world is reacting differently to this initiate, like U.S. Secretary of State John Kerry’s during his visit for “Vibrant Gujarat 2015” voiced Obama administration’s worries over the initiative. This was a repercussion of Modi government’s announcement of a series of 1,000 MW grid-connected solar PV power projects that carry a mandatory condition that all PV cells and modules used in solar plants set up under this scheme will be made in India. Now that President Barack Obama himself has said he would like to wear the “Modi Kurta”, be it pinstriped or not with whoever’s name, we surely know why the civil nuclear trade impasses is now on its way to implementation. FDI has been given another definition in “Make in India” scheme – First Develop India, wherein the onus lies on us along with investors to make sure we develop India first as we reap the benefit of this 125 crore Indians market.
From ABCD ( A means Avoid, B-Bypass, C-Confuse, D-Delay) the target is to move the culture to ‘ROAD’ where R stands for Responsibility, O-Ownership, A-Accountability, D-Discipline, the roadmap has been laid, what we need to see is how the Government moves along as it launches initiatives, policies and reforms keeping in mind to KISS ( Keep it Simple, Stupid).