Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development.
Q5. To what extent has ‘Make in India’ succeeded in promoting local manufacturing and reducing imports? Critically assess its performance and recommend steps to further integrate local industries into global value chains. (15 M)
Difficulty Level: Medium
Reference: IE
Why the question
The question seeks to evaluate the effectiveness of the ‘Make in India’ initiative in achieving its core objectives of boosting local manufacturing and reducing dependence on imports
Key Demand of the question
The answer must provide a critical assessment of the achievements and shortcomings of the ‘Make in India’ initiative, with a focus on local manufacturing and import reduction, followed by recommendations to strengthen India’s presence in global value chains.
Structure of the Answer:
Introduction
Brief overview of the objectives of the ‘Make in India’ initiative and its relevance in the context of local manufacturing and import reduction.
Body
- Achievements: Highlight successes in sectors such as automobiles, electronics, and textiles, supported by data on increased FDI, growth in manufacturing, and export performance.
- Challenges: Discuss areas where ‘Make in India’ has faced hurdles, such as infrastructure bottlenecks, lack of skilled labor, and dependency on imported raw materials.
- Recommendations: Suggest measures like infrastructure development, skill enhancement, R&D investment, and trade agreements to further integrate local industries into global value chains.
Conclusion
Mention about the partial success of the initiative, acknowledge the challenges that remain, and emphasize the need for comprehensive reforms to make Indian industries globally competitive.
