Make in India
|Make in India|
|Prime Minister(s)||Narendra Modi|
|Key people||Ministry of Commerce and Industry (India)|
|Launched||25 September 2014|
|This article is part of a series on the|
politics and government of
Make in India is an initiative by the Government of India to encourage companies to manufacture in India and incentivize dedicated investments into manufacturing. The policy approach was to create a conducive environment for investments, develop a modern and efficient infrastructure, and open up new sectors for foreign capital. The initiative targeted 25 economic sectors for job creation and skill enhancement, and aimed "to transform India into a global design and manufacturing hub."
"Make in India" had three stated objectives:
- to increase the manufacturing sector's growth rate to 12-14% per annum;
- to create 100 million additional manufacturing jobs in the economy by 2022;
- to ensure that the manufacturing sector's contribution to GDP is increased to 25% by 2022 (later revised to 2025).
After the launch, India gave investment commitments worth ₹16.40 lakh crore (US$230 billion) and investment inquiries worth of ₹1.5 lakh crore (US$21 billion) between September 2014 to February 2016. As a result, India emerged as the top destination globally in 2015 for foreign direct investment (FDI), surpassing the United States and China, with US$60.1 billion FDI. As per the current policy, 100% Foreign Direct Investment (FDI) is permitted in all 100 sectors, except for Space industry (74%), defence industry (49%) and Media of India (26%). Japan and India had also announced a US$12 billion 'Japan-India Make-in-India Special Finance Facility" fund to push investment.
In line with the Make in India, individual states too launched their own local initiatives, such as 'Make in Odisha,' 'Tamil Nadu Global Investors Meet,' 'Vibrant Gujarat,' 'Happening Haryana' and 'Magnetic Maharashtra.' India received US$60 billion FDI in FY 2016–17.
The World Bank's 2019 Ease of Doing Business report acknowledges India's jump of 23 positions against its rank of 100 in 2017 to be placed now at 63rd rank among 190 countries. By the end of 2017, India had risen 42 places on Ease of doing business index, 32 places World Economic Forum's Global Competitiveness Index, and 19 notches in the Logistics Performance Index, thanks to recent governmental initiatives, which include converges, synergies and enables other important Government of India schemes, such as Bharatmala, Sagarmala, Dedicated Freight Corridors, Industrial corridors, UDAN-RCS, Bharat Broadband Network, Digital India.
Make in India has not yet achieved its goals. The growth rate of manufacturing averaged 6.9% per annum between 2014-15 and 2019-20. The share of manufacturing dropped from 16.3% of GDP in 2014-15 to 15.1% in 2019-20.
The "Make In India" initiative
Ease of Doing Business
India jumped to 63rd place out of 190 countries in the world Banks' 2019 Ease of Doing Business Index from 130th in 2016. In February 2017, the government appointed the United Nations Development Programme (UNDP) and the National Productivity Council "to sensitise actual users and get their feedback on various reform measures." As a result, now there is competition among the states of India to improve their current ranking on the ease of doing business index based on the completion percentage scores on 98-point action plan for business reform under Make in India initiative. Currently Andhra Pradesh, Telangana, Haryana, Odisha, Chhattisgarh and West Bengal (44.35%) are top six states (c. Feb 2018).
Ongoing global campaign
The campaign was designed by Wieden+Kennedy, with the launch of a web portal and release of brochures on the 25 sectors, after foreign equity caps, norms and procedures in various sectors were relaxed, including application of manufacturing application made available online and the validity of licenses was increased to three years.
"Zero Defect Zero Effect" slogan was coined by Prime Minister of India, Narendra Modi, as essence of the Make in India initiative that manages advanced processes, materials and technologies, to guide the production mechanism that produces products with no defects with no adverse environmental and ecological effects.
"Make in India Week" multi-sectoral industrial event at the MMRDA from 13 February 2016 was attended by 2500+ international and 8000+ domestic, foreign government delegations from 68 countries and business teams from 72 countries and 17 Indian states also held expos. Event received over ₹15.2 lakh crore (US$210 billion) worth of investment commitments and investment inquiries worth ₹1.5 lakh crore (US$21 billion), where Maharashtra led with ₹8 lakh crore (US$110 billion) of investments. Previously between September 2014 and November 2015, the government received ₹1.20 lakh crore (US$17 billion) worth of proposals from companies interested in manufacturing electronics in India.
Revision in Public Procurement Order & GFR
On June 15, 2017, Ministry of Commerce and Industry (India), the nodal ministry revised the Indian public procurement order and general financial rule to incorporate preference to Make In India. Subsequently, all the nodal agencies published their own orders to extended the scope of Make In India in procurement related to their line of products.
Make in India focuses on the following 25 sectors of the economy:
In April 2017, Kia announced that the company would invest over $1.1 billion to build a car manufacturing plant in Anantapur, Andhra Pradesh. The facility is the company's first manufacturing plant in India. Kia stated that it would hire 3,000 employees for the plant, and it would produce 300,000 cars annually. Construction of the plant began in mid-2017, and is expected to be completed by March 2019. The first vehicles are scheduled to roll off production lines in mid-2019. Kia president Han-Woo Park announced that the first model produced at the plant would be an SUV(sport utility vehicle) specifically designed for the Indian market. Park also added that Kia would invest over $2 billion and create 10,000 jobs in India by 2021.
In mid-2017, European automobile major PSA announced that in a partnership with CK Birla Group, it is going to build a car manufacturing plant in Tamil Nadu at the cost of ₹7,000 crore ($1.03 billion).
During Magnetic Maharashtra: Convergence 2018, Thurst Aircraft Pvt Ltd signed a MOU with Govt. of Maharashtra to build an aeroplane manufacturing plant near Palghar district (roughly 140 km north of Mumbai) with an investment of ₹35,000 crore($5.2 billion).
In January 2016, Chinese conglomerate Dalian Wanda Group announced that it would construct an industrial, residential and tourism city in Haryana at the cost of ₹68,000 crore ($10 billion). However the project was deadlocked as on 28 April 2017 because the company management was resisting a demand by the Haryana state government for a 26% equity share.
As part of Prime Minister Narendra Modi's Narendra Modi Atma Nirbhar Bharat Abhiyan (Self Reliant India Campaign), India's ministry of defence last month reserved 26 items that will only be procured from the local suppliers. 
Modi government did it by amending clause (3)A of the Defence Procurement Order of 2017.
India and Russia have deepened their Make in India defence manufacturing cooperation by signing agreements for the construction of naval frigates, KA-226T twin-engine utility helicopters (joint venture (JV) to make 60 in Russia and 140 in India), Brahmos cruise missile (JV with 50.5% India and 49.5% Russia). A defence deal was signed during Prime Minister Narendra Modi's visit to Russia in December 2015 which will see the Kamov Ka-226 multi-role helicopter being built in India, was widely seen as the first defence deal to be actually signed under the Make in India campaign. In August 2015, Hindustan Aeronautics Limited (HAL) began talks with Russia's Irkut Corp to transfer technology of 332 components of the Sukhoi Su-30MKI fighter aircraft under the Make in India program. These components, also called line replacement units (LRUs) refer to both critical and non-critical components and fall into four major heads such as Radio and Radar; Electrical & Electronics System; Mechanical System and Instrument System.
Lockheed Martin announced in February 2016 its plans to manufacture F-16 in India, although it did not announce any time frame. In February 2017, Lockheed stated that it intended to manufacture the F-16 Block-70 aircraft with a local partner in India, if the Indian Air Force agreed to purchase the aircraft.
In May 2018, the Indian Army announced a ₹50,000 crore (US$7.0 billion) ammunition production project to be implemented in phases over a 10-year period. Under the project, 11 private firms will manufacture and supply ammunition for the Army's tanks, rockets, air defence system, artillery guns, infantry combat vehicles, grenade launchers, and other field weapons. The Army noted that the objectives of the program were to cut dependence on foreign imports and to establish an inventory of ammunition that would sufficient to fight a 30-day war.
India confirmed that it will upgrade Myanmar's T-72 tanks, supply DRDO's radars to Armenia, Kamov 226 T multi-utility helicopters to Jordan, indigenously developed lightweight torpedoes to Myanmar (previously sold to Sri Lanka and Vietnam), Astra 70-kilometer range air- to-air missile and 40,000 pieces of a component used in Bofors artillery guns for ₹322 crore to UAE, and manufacture DRDO weapons in Saudi Arabia by 2018 (Dec 2017 update).
With the demand for electronic hardware expected to rise rapidly to US$400 billion by 2020, India has the potential to become an electronic manufacturing hub and government is targeting to achieve net zero imports of electronics by 2020. After the launch of this project, 24.8% of smartphones sold in India in the April–June quarter of 2015 were made in India, up from 19.9% the previous quarter. By 2019 that number has jumped to 95%. Mobile manufacturing made the most of Make in India.
Various companies pledged investment in India to begin manufacturing
- Foxconn: US$5 billion investment over 5 years in research and development and hi-tech semiconductor manufacturing facility in Maharashtra but it backed out from the MOU as it could not acquire the land parcel at the terms it wanted.
- Huawei: new research and development (R&D) campus in Bengaluru with an investment of US$170 million and telecom hardware manufacturing plant in Chennai.
- Lenovo: manufacturing of Motorola at Sriperumbudur near Chennai run by Flextronics.
- Micromax: 3 new manufacturing units in Rajasthan, Telangana and Andhra Pradesh with ₹3 billion (US$42 million) investment).
- Qualcomm: "Design in India" programme to mentor ten Indian hardware companies with the potential to come up with innovative solutions and help them reach global scale.
- Samsung: 10 "MSME-Samsung Technical Schools" and manufacturing of Samsung Z1 in its plant in Noida).
- Spice Group: ₹5 billion (US$70 million) mobile phone manufacturing unit in Uttar Pradesh.
- Vivo Mobile India began manufacturing smartphones at a plant in Greater Noida with 2,200 employees .
- Wistron: Taiwanese company to start manufacturing of Blackberry, HTC and Motorola devices at a new factory in Noida.
- Xiaomi: smartphones to be manufactured at a Foxconn-run facility in Sri City made operational by producing Xiaomi Redmi 2 Prime.
- HMD Global: Finnish company announced in early 2018 that it will start manufacturing all the parts of Nokia phones in Foxconn run facility in Chennai.
- VVDN Technologies: ODM based out of India expanded its manufacturing with additional 10-acre Global Innovation Park in India in line with government's Make in India initiative.
India is among the largest producers of fruits, vegetables, rice and milk globally with trade surplus in food items export.
Pitha of Odisha, Gushtaba of Kashmir, Chicken Curry of Punjab, Khakhra and Khandvi of Gujarat, Bamboo Steam Fish, Vada and Medhu Vada of Karnataka, Khaja and Inarsa of Bihar, Kebab of Uttar Pradesh and Puran poli of Maharashtra have been selected as traditional regional food to be promoted in the ongoing campaign.
In Odisha Investor Summit, Poseidon Aquatech announced plans to undertake shrimp farming and processing in the state at the cost of ₹100 crore ($14.7 million).
Noodles manufacturer Indo Nissin Foods Ltd also announced that it intended to invest additional ₹50 crore ($7.3 million) to expand the existing facility in Odisha by 2017.
In December 2017, India announced it will shortly announce a new agricultural exports policy to promote Indian and organic foods, enhance compliance of phytosanitary international food-safety requirements, development of farm-to-port and farm-to-airport cold chain with focus on 25 farm export clusters.
Information technology and business process management
Media and entertainment
Oil and gas
In April 2018, Saudi Arabian Oil giant Aramco signed an initial deal with a consortium of Indian refiners to build a $44 billion refinery and petrochemical project on India's west coast. The project will include a 1.2 million-barrels-per-day (bpd) refinery, integrated with petrochemical facilities with a total capacity of 18 million tonnes per year.
Ports & shipping
ports and shipping is done from India to all places
- Alstom/GE Transportation: The French and American rolling stock manufacturers announced ₹400 billion (US$5.6 billion) locomotive manufacturing factories in Madhepura and Marhaura in Bihar.
- Hyperloop One: The American company working to commercialise Hyperloop, signed a Framework Agreement with govt. of Maharashtra to begin the development of the route from Mumbai to Pune, starting with an operational demonstration track.
- Train 18 began operating tests in October 2018. It is a semi-high speed train, 80% domestically sourced.
- CRRC: The Chinese Giant announced in 2016 that it is going to set up a Railway equipment plant in Bavo, Haryana in DMIC with an investment of $69.5 million.
In February 2018, during Uttar Pradesh investors summit. Avaada Power and ReNew Power announced Solar projects worth ₹ 10,000 crore ($1.4 billion) and ₹8,000 crore ($1.1billion) each.
Roads and highways
Space and astronomy
In May 2017, the Union Cabinet approved the construction of 10 indigenously-built Pressurised Heavy Water Reactors (PHWRs). The contracts for the reactors worth an estimated ₹70,000 crore (US$9.8 billion) will be awarded to Indian companies. The construction 10 reactors with a combined nuclear capacity of 7 GW is also expected to create 33,400 direct and indirect jobs.
Textiles and garments
Wellness and Healthcare
International healthcare firm Columbia Asia announced in June 2017, that it will invest over ₹400 crore ($60 million) to set up two new hospitals in India by the end of 2019 as it looks to expand presence in the country.
In April 2015, Patanjali Ayurved announced that it is going to open 10000 Yoga Gym in Haryana to promote wellness, develop positive thinking among youths and immunise them from day-to-day ailments.
- "Look East, Link West, says PM Modi at Make in India launch". Hindustan Times. 25 September 2014.
- "Focus on 'Make In India'". Business Standard. 25 September 2014. Retrieved 27 February 2015.
- "Make in India - About Us". www.facebook.com. Retrieved 26 May 2018.
- Babu, M. Suresh (20 January 2020). "Why 'Make in India' has failed". The Hindu. ISSN 0971-751X. Retrieved 21 January 2020.
- "Modi's 'Make In India' racks up $2 billion in investment pledges", Reuters, 18 February 2016
- "'Make in India Week' gets ₹15.2 lakh crore investment commitments", The Economic Times, 18 February 2016
- "Make in India: Centre gets ₹1.20 lakh crore worth investment proposals in electronics sector". timesofindia-economictimes.
- "India replaces China as top FDI destination in 2015: Report - The Economic Times", The Economic Times, retrieved 14 January 2017
- "Sectors". Make In India. Archived from the original on 14 August 2015. Retrieved 1 October 2015.
- "PM Modi's 'Make in India' turns one: All you need to know about the initiative". dna. 25 September 2015.
- "Japan's $12 billion 'Make in India' fund to push investments", timesofindia-economictimes
- "Make-in-Maharashtra mission to generate 20 lakh jobs", The Times of India
- New India visible across nation: PM Modi, Times of India, 10 Jan 2018.
- India Improves Rank by 23 Positions in Ease of Doing Business. The campaign is more of a poster campaign. (Press Information Bureau, Government of India, Ministry of Commerce & Industry), , 31-October-2018
- "Key Economic Indicators" (PDF). Office of the Economic Advisor. 25 June 2020. Retrieved 10 July 2020.
- "Ease of Doing Business in India". www.doingbusiness.org. Retrieved 25 April 2016.
- "On ease of doing business Narendra Modi govt does a first, to improve India's World Bank ranking". The Financial Express. 18 February 2017.
- Andhra Pradesh, Telengana set to top the charts for ease of doing business, Business Standard, 31 Oct 2016.
- OECD Economic Surveys: India 2017, Page 123.
- Centre to announce ‘Ease of Doing Business’ ranking for states, Live Mint, 15 Aug 2015.
- "State Rankings - Ease of Doing Business - Lift Licenses, Lift Lives". easeofdoingbusiness.org.
- "Business Reforms Action Plan". eodb.dipp.gov.in. Retrieved 23 June 2017.
- "2015 Rankings DIPP" (PDF). Archived from the original (PDF) on 7 January 2018. Retrieved 22 December 2017.
- Telangana leads state-wise ease of doing business ranking, The Hindu, 9 Nov 2017.
- "Revealed: Man behind PM's Make in India campaign". DNA India. 18 November 2014. Retrieved 27 February 2015.
- "Modi Launches 'Make in India' Campaign, Portal and Logo". The New Indian Express. 26 September 2014. Retrieved 27 February 2015.
- "Ecologists cheer Modi's 'zero defect, zero effect' slogan". The Times of India.
- Mahajan, Neha (15 August 2014). "'Zero defect, zero effect' to 'Make in India': Modi's jugglery with words". hindustantimes.com. Retrieved 20 April 2015.
- "Public Procurement (Preference to Make in India), Order 2017" (15 June 2017). Press Information Bureau. Retrieved 10 May 2020.
- "Public Procurement". DIPP.GOV.IN. DIPP. Retrieved 10 May 2020.
- "Boost for 'Make in India': Foxconn to invest $5 billion in Maharashtra", The Times of India
- "Kia Motors targets annual car sales of 300,000 in India from 2021". Reuters. 2018. Retrieved 22 February 2018.
- "Kia India to commence production mid-2019 with the SP SUV - Autocar India". Autocar India. Retrieved 22 February 2018.
- "Kia's first India model to hit roads by mid-2019". The Economic Times. 22 February 2018. Retrieved 22 February 2018.
- "Kia Motors Increases Investment In India To $2 Billion - NDTV CarAndBike". CarAndBike. Retrieved 22 February 2018.
- SAIC Motor's New Car Plant Will Come Up In Gujarat; To Invest Over Rs. 2,000 Crore, NDTV.com
- Peugeot may invest ₹7,000 crore in Tamil Nadu plant, business standard
- "Tesla Optimistic to Enter India by 2019, Elon Musk Re-Confirms". News18. Retrieved 22 March 2019.
- "Hitachi keen to push 'Make in India' programme", The Hindu, 16 February 2015
- "French drone maker LH Aviation to Make in India now | business", Hindustan Times, 19 June 2015
- Maharashtra signs ₹35,000 cr venture with Mumbai pilot who built aircraft on his rooftop, Hindustan times, 20 February 2018
- Wanda Group signs MOU with India's Haryana State for $10 billion development, Wanda Group, 25 January 2016
- "Dalian Wanda's $10-billion Haryana project on the verge of being pulled out over equity share row". The Economic Times. 28 April 2017. Retrieved 26 May 2018.
- "Make in India: Defence Ministry reserves 26 items only for local defence companies". Meri Sarkar. 21 May 2020.
- Deeper defence & security cooperation with Russia enhances India's strategic choices, Economic Times, 21 dec 2017.
- Pubby, Manu, "Make in India: Russia ties up with Reliance Defence to manufacture Kamov 226T choppers", The Economic Times (28 August 2015)
- Farchy, Jack; Kazmin, Amy (25 December 2015), "Russia and India sign new defence deals", CNBC
- "India sees opportunity in manufacturing Sukhoi parts", The Times of India
- "newsindia - lockheed-martin-ready-to-manufacture-f-16-jets-in-india - News - msn". www.msn.com.
- "Lockheed says US may take 'fresh look' at its India F-16 plan". Business Today. Retrieved 18 February 2017.
- "Boeing boost for Make in India", The Times of India, New Delhi, TNN, 17 October 2015
- "Boeing all for made-in-India F-18s fighter jets for IAF", hindustantimes.com
- "Indian Army's new ₹15,000 crore ammunition production project is a big leg up for Make In India". The Financial Express. 13 May 2018. Retrieved 13 May 2018.
- India to seek supply of radars, missiles by 2018, Hindustan Times, 21 Dec 2017.
- Majumdar, Arkamoy Dutta (30 November 2017). "India looking to scale up military hardware exports".
- "Digital India Initiative To Transform Country, Says Ravi Shankar Prasad", NDTV, 16 February 2016
- Press Trust of India (24 August 2015). "Global Electronics Manufacturers Propose ₹90,000 Crore Investment In India". Huffingtonpost.in. Retrieved 1 October 2015.
- "Make in India: Govt receives proposals worth ₹90,000 crore from global electronics companies". Dnaindia.com. 24 August 2015. Retrieved 1 October 2015.
- "E-boost for Make in India: Global electronic companies line up ₹90,000 cr for India plants". Firstpost. Retrieved 1 October 2015.
- Gokul Bhagabati (11 August 2019). "How mobile manufacturing made the most of 'Make in India'". LiveMint.
- Rai, Saritha, "Foxconn Could Make India Its Next Manufacturing Base After China, Investments Suggest", Forbes
- "PM Narendra Modi urged to make reality match 'Make in India' hype", The Economic Times, 14 February 2016
- "Foxconn cancels plans for $5 billion investments in India". GSMArena.com. Retrieved 4 February 2020.
- "China's Huawei makes $170 million "Make in India" investment", Reuters, 5 February 2015
- "Huawei India opens new R&D campus in Bengaluru", Deccan Herald, 5 February 2015
- Aman Sharma, "Make in India: Chinese telecom giant Huawei to set up a unit in Tamil Nadu", Times of India
- "Make In India: Lenovo-Motorola starts making smartphones at Chennai plant", Economictimes.indiatimes.com
- "Lenovo starts manufacturing smartphones in India", Livemint
- PTI, "Make in India: Micromax to invest ₹300 cr", The Hindu Business Line
- "Micromax to invest ₹300 cr for 'Make in India'", timesofindia-economictimes
- "Qualcomm announces 'Design In India' challenge as promised to PM Modi", The Indian Express, 2 December 2015
- "MSME-Samsung Technical School to promote 'Make in India'", Business Standard, 15 January 2015
- "Samsung launches new 4G phones, says still on top in India", The Indian Express, 17 February 2015
- "Spice Group announces ₹500 crore investment to build mobile manufacturing unit in UP", DNA India, 28 January 2015
- "#MakeInIndia: Vivo inaugurates its first manufacturing unit in Greater Noida", The Indian Express, 22 December 2015
- "After Foxconn, Taiwanese contract manufacturing major Wistron to Make in India", The Times of India
- #MakeInIndia: Xiaomi launches Redmi 2 Prime which is made in Andhra Pradesh, The Indian Express, 11 August 2015
- "Make In India Project – All You Need to Know About It". 25 January 2016.
- Shaffer, Leslie (24 November 2015). "Make in India: Big business delivers a report card".
- HMD Global to make Nokia phones in India by 2022, liveMINT, 5 April 2018
- Agriculture reforms: To stem falling prices, govt looks at new farm exports policy, Hindustan Times, 21 Dec 2017.
- Singha, Minati (2 August 2015). "Mudhi to be a part of global 'Make in India' campaign". The Times of India. Retrieved 4 August 2015.
- "MPEDA keen on producing 'Make in India' shrimp seed", The Hindu, 1 February 2015
- NLC India announces ₹25,000 crore investment in Odisha, Business Standard
- AstraZeneca to invest $90 million in India over next 5 years, Economic times
- "In boost for 'Make in India', railways inks pacts with Alstom and GE Transport", timesofindia-economictimes
- "India could be the first country to get Hyperloop One, Mumbai-Pune travel time to come down to 25 minutes", The Business Today
- Barrow, Keith (22 October 2018). "ICF rolls out prototype 160km/h EMU for Indian Railways". International Railway Journal. Retrieved 10 December 2018.
- pledges rs 60000 crore renewable energy investors summit, Solar Association
- ReNew Power Signs Pact with Maharashtra Government for Investment Worth $2.17 Billion, MERCOM India
- "7,000 MW 'Make in India' nuclear projects to create 33,400 jobs: Govt". Business Today. Retrieved 18 May 2017.
- "Columbia Asia to invest Rs 400 crore on 2 new hospitals in India". The Economic Times.
- Indo-UK Institute of Health to Invest Rs 1,600 Cr to Set up Medicity in Assam, Northeast Today
- Patanjali to set up healthcare unit, varsity in Haryana for 5k crore, Economic Times
- Ramdev plans to open 10,000 gyms in Haryana, Financial Express