Research Paper Volume : 4 | Issue : 5 | May 2015 • ISSN No 2277 - 8179

Commerce
Make In India: an Innovation for Transforming KEYWORDS : Make in India, FDI, Intel-
lectual property, Domestic manufacturing,
India Into A Manufacturing Leader and Global competitiveness.

Ph.D Scholar, P.G. Department of Commerce, Utkal University, Bhubaneswar, Odisha,

Giridhari Sahoo India.

ABSTRACT After the global slowdown of the World economy in 2008, it is recovering gradually with its key economic groups
including USA, Europe and BRICS, expecting higher growths over the next few years. India in turn recently witnessed
the change in Government and is thus gearing up for economic growth. The overall outlook is positive among the industry leaders expressing
confidence in this economic revival. In keeping with the theme of development, “Make in India” is an initiative of the Government of India,
launched by Prime Minister, Mr.Narendra Modi on 25th September 2014 to encourage companies to manufacture their products in India.
Amid this background, the present paper endeavors to study major new initiatives designed to facilitate investment, foster innovation, protect
intellectual property, and build best-in-class manufacturing infrastructure.

INTRODUCTION: OBJECTIVES AND RESEARCH METHODOLOGY OF THE

The ‘MAKE IN INDIA’ initiative was launched on September 25, STUDY
2014 with an aim of providing global recognition to the Indian The study is based on secondary data which is collected from
economy. The program includes major new initiatives designed the published reports of ministry of external affairs, newspapers,
to facilitate investment, foster innovation, protect intellectual journals, websites, etc. The study was planned with the following
property, and build best-in class manufacturing infrastructure. objectives:
Besides focus on enabling manufacture, major initiatives have
been taken in 2014 for improving the ‘EASE OF DOING BUSI-  To study major new initiatives designed to facilitate invest-
NESS’ in India through simplification and rationalization of ex- ment and fostering innovation in manufacturing sector in
isting rules and the introduction of information technology to India.
make governance more efficient and effective. ‘SKILL INDIA’ - a  To critically examine the protection of intellectual property
multi-skill development programme has been initiated with a and build best-in-class manufacturing infrastructure.
mission for job creation and entrepreneurship for all socio-eco-
nomic classes. ‘DIGITAL INDIA’ is another initiative of Govern- NEW INITIATIVES FOR MAKE IN INDIA CAMPAIGN:
ment of India to integrate the government’s departments and NEW PROCESSES:
the people of India and to ensure effective governance. It also  Doing business in India just got easier – new de-licensing
aims at ensuring government services made available to citizens and deregulation measures are reducing complexity, and sig-
electronically by reducing paperwork. All these initiatives open nificantly increasing speed and transparency.
up numerous opportunities for investments across various sec-  Process of applying for Industrial License & Industrial
tors, including infrastructure. The “INVESTMENT OPPORTUNI- Entrepreneur Memorandum made online on 24×7 basis
TIES IN INDIA” publication includes various opportunities in through eBiz portal.
roads and highways, ports and shipping, civil aviation, power  Validity of Industrial license extended to three years.
and other major infrastructure development projects.  States asked to introduce self-certification and third party
certification under Boilers Act.
CONCEPT OF MAKE IN INDIA:  Major components of Defence products’ list excluded from
In keeping with the theme of development, “Make in India” industrial licensing.
is an initiative of the Government of India, launched by Prime  Dual use items having military as well as civilian applica-
Minister, Mr.Narendra Modi on 25th September 2014 to encour- tions deregulated.
age companies to manufacture their products in India. To im-  Services of all Central Govt. Departments & Ministries will
prove the regulatory climate, to enable manufacturing and to be integrated with the eBiz – a single window IT platform
open Foreign Direct Investment in key sectors, i.e., the three for services by 31 Dec. 2014.
pillars to bring about a positive transformation in manufactur-  Process of obtaining environmental clearances made online.
ing. Important sectors like defense production, civil construction
and railways have been opened to greater foreign investment by Following advisories sent to all Departments/ State Govern-
the government. The process of applying for industrial licenses ments to simplify and rationalize regulatory environment.
has been greatly simplified and made online. Manufacturing  All returns should be filed on-line through a unified form.
units, except for those producing hazardous materials, can now  A check-list of required compliances should be placed on
do a great deal of self-certification, thereby reducing the ambit Ministry’s/Department’s web portal.
of government inspectors in the private manufacturing sector.  All registers required to be maintained by the business
Much of the interface between entrepreneurs and the govern- should be replaced with a single electronic register.
ment, both central and state, has been made online.  No inspection should be undertaken without the approval of
the Head of the Department.
All the economic measures have been taken by the govern-  For all non-risk, non-hazardous businesses a system of self-
ment, to improve the climate for doing business in India, along certification to be introduced.
with their resolve to improve employment and decrease poverty
among the people. There is a new confidence among the entre- NEW INFRASTRUCTURE:
preneurial community in the legislative framework and the regu- India’s manufacturing infrastructure and capacity for innovation
latory mechanisms of the government. Hence it leads to new is poised for phenomenal growth: new smart cities and indus-
belief among the common people for rapid progress and devel- trial clusters, being developed in identified industrial corridors
opment and enhanced growth. having connectivity, new youth-focused programs and institu-
tions dedicated to developing specialized skills.

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 Volume : 4 | Issue : 5 | May 2015 • ISSN No 2277 - 8179
Research Paper

 Impetus on developing Industrial Corridors and Smart Cities. ■ Suburban corridor projects through PPP
 A new ‘National Industrial Corridor Development Authority’ ■ High speed train projects
is being created to coordinate, integrate, monitor and super- ■ Dedicated freight lines
vise development of all Industrial Corridors. ■ Rolling stock including train sets and locomotives/coaches
 Work on 5 smart cities in progress as a part of the Delhi- manufacturing and maintenance facilities
Mumbai Industrial Corridor: Dholera, Shendra-Bidkin, ■ Railway electrification
Greater Noida , Ujjain and Gurgaon
. ■ Signaling systems
 Chennai-Bengaluru Industrial Corridor: master Planning for ■ Freight terminals
3 new Industrial Nodes [Ponneri (TN), Krishnapatnam (AP), ■ Passenger terminals
Tumkur (Karnataka)] in progress. ■ Infrastructure in industrial park pertaining to railway line/
 The East Coast Economic Corridor (ECEC) with Chennai- sidings including electrified railway lines and connectivity to
Vizag Industrial Corridor as the first phase of this project: main railway line
Feasibility Study commissioned by ADB. ■ Mass Rapid Transport Systems
 Amritsar-Kolkata Industrial Corridor: DMICDC selected as
Nodal Agency for doing Feasibility Study, which is being con-  Easing of norms underway for FDI in the Construction De-
ducted at fast pace. velopment sector.
 North-eastern part of India planned to be linked with other
Industrial corridors in cooperation with government in Japan. NEW MINDSET:
 New Industrial Clusters for promoting advance practices in Most importantly, the Make in India program represents an at-
manufacturing. titudinal shift in how India relates to investors: not as a permit-
issuing authority, but as a true business partner.
 Approval accorded to 21 Industrial projects under Modified
Industrial Infrastructure Up gradation Scheme with an em-  Dedicated teams that will guide and assist first-time inves-
phasis on: tors, from time of arrival.
■ Use of recycled water through zero liquid discharging sys-  Focused targeting of companies across sectors.
tems.
■ Central Effluent Treatment plants. PROTECTION OF INTELLECTUAL PROPERTY RIGHTS:
■ Approval accorded to 17 National Investment and Manufac- The Indian government has taken several initiatives to create
turing zones. conducive environment for the protection of intellectual proper-
ty rights of innovators and creators by bringing about changes at
 Nurturing Innovation
 – approval obtained for strengthening legislative and policy level. In addition, specific focus has been
Intellectual Property regime in the country through: placed on improved service delivery by upgrading infrastructure,
building capacity and using state-of-the-art technology in the
■ Creation of 1,033 posts. functioning of intellectual property offices in the country. This
■ Further up gradation of IT facilities. measure has resulted in sweeping changes in IP administration
■ Compliance with global standards. within the country.
■ Application processes made online.
Objectives of Intellectual Property Rights:
An Act recognizing National Institute of Design (NID),  Establishing a vibrant IP regime in the country.
Ahmedabad, as an institute of National Importance notified.  Efficient processing of IP applications by inducting addition-
This will enable NID to confer degrees, promote research and al manpower, augment IT facilities and automation in Intel-
function as an Apex body in Design Education. Four more NIDs lectual Property Offices.
are being developed.  Adopt best practices in IP processing.
 Strengthening public delivery of IP services.
■ Major impetus given to skill development through Indian  Highest levels of transparency and user-friendliness
Leather Development Programme:
NATIONAL MANUFACTURING POLICY MEASURE:
■ Training imparted to 51,216 youth in the last 100 days. The need to raise the global competitiveness of the Indian
■ It is further planned to train 1,44,000 youth annually. manufacturing sector is imperative for the country’s long term-
■ For augmentation of training infrastructure, funds released growth. The National Manufacturing Policy is by far the most
for establishment of 4 new branches of Footwear Design & comprehensive and significant policy initiative taken by the Gov-
Development Institute at Hyderabad, Patna, Banur (Punjab) ernment. The policy is the first of its kind for the manufacturing
and Ankleshwar (Gujarat). sector as it addresses areas of regulation, infrastructure, skill
development, technology, availability of finance, exit mechanism
NEW SECTORS: and other pertinent factors related to the growth of the sector.
With the easing of investment caps and controls, India’s high-
value industrial sectors defense, construction and railways – are Vision:
now open to global participation.  An increase in manufacturing sector growth to 12-14% per
annum over the medium term.
 Policy in Defence sector liberalized and FDI cap raised from  An increase in the share of manufacturing in the country’s
26% to 49%. Gross Domestic Product from 16% to 25% by 2022.
 Portfolio investment in Defence sector permitted up to 24%  To create 100 million additional jobs by 2022 in manufactur-
under the automatic route. ing sector.
 100% FDI allowed in Defence sector for modern and state of  Creation of appropriate skill sets among rural migrants and
the art technology on case to case basis. the urban poor for inclusive growth.
 An increase in domestic value addition and technological
 100% FDI under automatic route permitted in construction, depth in manufacturing.
operation and maintenance in specified Rail Infrastructure pro-  Enhancing the global competitiveness of the Indian manu-
jects such as: facturing sector.
 Ensuring sustainability of growth, particularly with regard to

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Research Paper Volume : 4 | Issue : 5 | May 2015 • ISSN No 2277 - 8179

environment.

Strength of Indian Manufacturing:

 India has already marked its presence as one of the fastest
growing economies of the world.
 The country is expected to rank amongst the world’s top
three growth economies and amongst the top three manu-
facturing destinations by 2020.
 Favourable demographic dividends for the next 2-3 decades.
Sustained availability of quality workforce.
 The cost of manpower is relatively low as compared to other
countries.
 Responsible business houses operating with credibility and
professionalism.
 Strong consumerism in the domestic market.
 Strong technical and engineering capabilities backed by top-
notch scientific and technical institutes.
 Well-regulated and stable financial markets open to foreign
investors.

CONCLUSION:
This is the actual time of great expectations for India to increase
the growth in manufacturing sectors, which contribute major
part to GDP. We have a strong pro-industry Government, global
economy is picking up and our core advantages are still strong
and relatively unaffected from the global slowdown. In the view
of that, there is a long journey ahead of us to achieve the global
competitiveness by taking global leadership.

A good start has been taken by the present Government and yet
has to need few important changes to improve manufacturing
sector. In my point of view this year is crucial to implementing
the announcement well and seizing the opportunity to make the
right investments at a company level.

REFERENCE • B.R. Choudhuri, P.K. Pyne & A. Roy (2013) The Journal of Industrial Statistics Vol.2 (2) pg-217-231, “Determinants of Mnagufacturing FDI in
India: A Sectoral Analysis”. | • Amitabh K, (2015), secretary, Govt. of India in policy measures “Investment Opportunities In India January 2015”. |
• V. Handa & N. Grover ( 2012), ZENITH International Journal of Multidisciplinary Research Vol.2 Issue 5, pg-244 “Retail Sector in India: Issues & Challenges”. | • Ashourouq, (2014)
‘Make in India’ Q&A Friday, 7th November. | • A. Bhatacharya, A. Bruce & A. Mukherjee (2014), CII 13th Manufacturing Summit, “Make in India: Turning Vision into Reality”. | •
http://www.makeinindia.com/policies/ March 23, 2015. |

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